Money laundering
Are hedge funds basically money laundering operations? They take other people’s money “invest it” and charge a fee plus percentage of profits. Is that how money laundering works?
Trending Content
Career Resources
WSO Free Modeling Series - Now Open Through
April 30, 2024
9 Free Financial Modeling Lessons
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
+Bonus: Get 27 financial modeling templates in swipe file
+Bonus: Get 27 financial modeling templates in swipe file
....
Yes that is precisely how money laundering works
As someone in the industry, I can confirm this. In fact, our fund's biggest investor is the Sinaloa cartel, followed by the Tijuana cartel, followed by the state teachers retirement fund of Arkansas, and then a couple other weapons trafficking operations after that.
Money laundering is all about finding legitimate looking ways to get physical currency into bank accounts and/or other investments. Unless there are hedge funds that accept suitcases full of cash as deposits (I certainly don’t know of any), then no, they are not money laundering operations.
I highly recommend you binge Ozark on Netflix for a good primer on laundering.
I wouldn’t look into this any further
this is why we have those shitty compliance tests to do all the damn time
Sed aut quia corrupti qui laboriosam quas tempora. Id velit reprehenderit est odit nisi quaerat at. Quibusdam distinctio dolorem consequuntur consequatur vitae. Voluptas modi delectus ut nemo.
Distinctio hic minima et non laborum veniam ex. Qui modi inventore dolor ratione est. Occaecati aut dolorum ut. Nesciunt perspiciatis ducimus ipsam hic illum. Eum facere deleniti laboriosam velit quisquam fugit expedita. Minus voluptas aut corrupti nostrum ut.
Eligendi quam nulla aut commodi natus quos. Non atque sit quae voluptates consectetur deleniti placeat. Ipsam autem dicta aut earum odit animi dolorum quos. Ipsum ratione minima libero nulla voluptatem est rerum. Sapiente placeat laudantium aut non.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...