Denver hedge fund manager Bo Brownstein is headed to prison after pleading guilty to insider trading charges.
For $2.5 million in illegal trading gains, he’s likely to lose three to four years of his freedom. And it’s not like the 35-year-old son of prominent Denver attorney and powerbroker, Norm Brownstein, needed the money.
“I’ve severely disappointed my family, colleagues, investors and friends,” the junior Brownstein told U.S. District Judge Robert Patterson in Manhattan federal court.
Amid a rash of similar cases, insider trading is starting to seem like the standard operating procedure for hedge fund managers. Billionaire Galleon Group CEO Raj Rajaratnam, for one, was recently sentenced to 11 years.
Some people on Wall Street are just so enamored with their own success, they think they can get away with it. The Justice Department has done a pretty good job showing some of them otherwise. But with all these big guys breaking the rules, does the little guy even stand a chance in the stock market?