Owen Lamont Testifies in Senate Judiciary Hearing on Hedge Funds

New Haven, Conn., June 28, 2006 -- Professor Owen Lamont today testified as an expert witness in the United States Senate Judiciary Committee hearing on “Hedge Funds and Independent Analysts: How Independent are Their Relationships?”

In his testimony Lamont discussed short selling, a practice primarily done by hedge funds. Although short selling has come under harsh public criticism, Lamont said it plays an important role in getting negative information into the market which helps keep stocks from becoming overpriced.

Lamont said, “The short sellers have been the heroes of the past few years, alerting the public and the authorities to corporate fraud. And it has been the hedge funds which have simultaneously preserved investor capital and corrected mispricing.”

Read Professor Lamont’s full testimony >>