In the case of hedge funds, the issue was investor rather than manager queasiness. Most funds did not have LTCM's long capital lockup: "they knew that investors were starting to drain money if they saw more than 15 percent [loss] or whatever.... They knew that if they showed big losses a lot of investors would want to get out. They wouldn't wait until they lost 80 percent of their money ... so that was the behavioral constraint that led to people unwinding positions even though they knew that those positions had value in the long run. They just had no choice." (Kaplanis interview) (The fourth quarter of 1998 saw net withdrawals from hedge funds of about $6 billion.)

Donald MacKenzie, An Engine, Not a Camera, loc. 1046