At last count there were between 30 billion and 50 billion reasons to be upset at Bernard Madoff this month. In fact, if you count the (now excluded) potential recipients of funding from the charitable organizations he harmed, you can add thousands more to the list. In one fell swoop, Mr. Madoff harmed individuals, businesses, the arts, and sciences for decades to come and generations to follow. If you believe in the butterfly effect, his selfish actions may have wiped out whole worlds.
The need for transparency and regulation is obvious. If transparency eliminates "the edge" that exists for certain managers, so be it. If regulation becomes onerous and difficult, so be it.
The LTCMs, Madoffs, Enrons, Leesons, Amaranths, etc. have soiled the sandbox for everyone.