Fooling Some of the People All of the Time

In 2002 Einhorn, the president of Greenlight Capital, was asked to share at a charity investment conference his best investment advice. He responded by recommending that attendees short sell Allied Capital. Given the recent revelations about Allied Capital's questionable accounting practices and its role in the 2008 credit crisis, this cautionary tale should be of interest to any financial market participant or regulatory watchdog.