between the two shifted and raj rajaratnam wanting to to get plug is into those and when raja gets the kkroffer he asks raj rajaratnam's advice. do you think that balance of power shifted and raj rajaratnam had the upper hand at this stage when the whole thing blew up? >> guest: i do. when he got close to raj rajaratnam i think -- he came from the position of superiority. he was the one who had a great contacts, the remarkable rolodex but by the time you get to that, here is the man who his entire life had been giving advice to other corporations, advice to boards, he was the one who actually worked at the preeminent firm in the financial services industry and here he was asking someone who never actually succeeded in a firm like kkr ford vice on how to take this job. sort of a stunning turn of events. >> host: in the back please, right in the back. >> my question is related -- from his college days, he probably graduated from the 60s and 70s. >> guest: 1971. >> i read everywhere that raja comes from a humble background where he had financial troubles at home. how could the afford to go to

mutual-fund come from those like fidelity but the actual managers are hedged fund managers like blackstone or kkr. gerri: it was worse than the broad market last year then to find it better than a hedge fund. >> it is underperformed. gerri: they tried to give it to us then they show marketing and advertising broadly to people. what is your gut? you are the products for? >> for the more sophisticated investor that have more ready to apportion pareve of the portfolio alternatives to be 20% or less for someone that wants to havel whole range of risk to understand what that means. gerri: we appreciate your time. people catch up with it on the "wall street journal" but bonuses are getting more rare but guess who gets them now? people who don't deserve that nearly one-quarter of workers to underperform also get a financial bonus from the corporate bosses with a senior policy analyst analyst, welcome back to the show. come on. people getting bonuses? why is this happening? >> the could be a few different factors but i hope that some of these firms that give them to employees the policy is to simply give

john paulson entered into a bidding war for steinway. 35 buck as share stops an offer from kkr back inthey have been in business for 160 years. its pianos are status symbols for concert halls. the stock has been rallying on the idea this company would be bought. had a rough go in the recession, a really rough go. strong command from china where they love brand name labels like steinway. there may be a second act, if that's a metaphore. we are officially uncrunched. banks have lent out more money than they did in late july 2008. in mid-july, banks have $7.33 trillion in loans outstanding. it's similar to 2008 when credit peaked. we are back. we are back. a lot of you are going to say i need a mortgage and they are not giving it to me. i hear ya. when you look at the numbers, it shows the big picture. >> thank you. >> you are welcome. >>> 22 minutes after the hour. a banking executive accused of trying to kill, kill, his estranged wife. >>> michael jackson's wrongful death lawsuit. were his spending habits outpacing his earnings? n] there you are. [speaking german] hi, grandpa! [off scre

private equity firms like blackstone, kkr, carlyle, cerberus, they have bought dozens of companies ins. in many cases, they paid far too much for them. they badly need to off-load these companies into what's known as the open market, so they can get them off the books. some of them will barely be profitable, others will be stinkers that the brokers will try to entice you to pick up with a hope that a rising tide can lift all boats. the way i see it, these private equity ipos, almost as a rule, are difficult to judge. i'm not being that pejorative. some will work, but they're difficult. and this brings up another important aspect of analyzing ipos, recognize that just because a company can be publicly traded, that doesn't mean it can't be a piece of junk. there are plenty of publicly traded companies that will qualify as a travesty, a mockery, a sham. some of the smaller social media names fit this category. the regulators don't have a mandate to judge the quality of the business of ipos, they just make companies disclose as many facts and financials as possible, so you can judge yours

that would trump the offer that pianomaker agreed to in june from kkr.ree days to match or top the new bid. paulson's offer is a rare topping bid made during a so-called go shop period. and after the fact option companies used to search for better deal than what they have accepted. steinway jumped 9% on this on monday and is up about 86% this year. >>> warren buffett may just be a modern day willy wonka. today's the last day to bid on an all you can eat tour of the candy factory in los angeles. buffett and berkshire hathaway bought the company in 1972. after the tourks you'll have a meet and greet with the oracle of omaha who will show you the only acceptable way to eat a bonbon. the estimated value of the tour is $75,000. the current bid on charity buzz.com is $42,500. so still a couple of dollars away from that. proceeds go to a benefit l.a.'s communities and schools project. >>> coming up, a blackberry put itself on the auction block and reports are swirling over who might bid to take the smartphonemaker private. we get the latest details next. [ kitt