Voluntary deleveraging of hedge funds?
This story, Drake considering liquidating all hedge funds, could very well be what is playing out in a number of hedge funds right now.
Certainly if I was managing a hedge fund I'd have been looking to really reduce leverage last year rather than running the risk of force deleveraging because of insufficient capital to ride out the gross uncertainty in the market. I was leveraged with what I could afford to lose until about March, so I deleveraged a year ago.
I bet most of them are looking to deleverage somewhat at this point... Not good for prices.