U.S. hedge funds lick wounds after May market mayhem

``... the $1.6 trillion hedge fund industry suffered along with other investors, with the average portfolio falling 3 percent, according to preliminary data from Bank of America's Merrill Lynch... Some of the industry's biggest stars -- including John Paulson, Louis Bacon and Steve Cohen -- all were caught flat-footed by the market's tumble, leaving many with losses through May 21, investors in their funds said.''