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Authorities have identified more than $1 billion in assets that can be distributed to victims.
Today, the jitters are in assets that are already modestly priced, and among investors who are less exposed.
Most pensions are invested in assets that will rise or fall over time, depending on the markets.
"Using debt is a responsible way to invest in assets that are going to last a long time," he said.
People borrow more to buy property than they otherwise would, raising house prices and encouraging over-investment in real estate instead of in assets that create wealth.
They go to qualified purchasers who have at least $5 million in assets that can be invested and qualified institutional buyers with over $100 million.
Experts said the fund was invested in assets that were illiquid and difficult to pull out of quickly such as real estate and private equity.
Oil giants like BP are looking to increase production by investing in assets that have huge potential but where natural resources are more difficult to get to.
Still, an even bigger potential problem for Citigroup is the $1.2 trillion in assets that shareholders do not see because they are not on its balance sheet.
A top British regulator on Tuesday highlighted the potential risk to such funds, which invest heavily in assets that are tough to sell quickly.
On Sept. 8, the judge, Mark Kravitz, froze about $3 million in assets that belonged to Mr. Prater and his company, Wellspring Capital Group.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com