Madoff gives investigators a tally of what is left

Yet the Securities and Exchange Commission and Federal prosecutors in Manhattan still seem a long way from working out where the missing billions in the alleged fraud have gone. A court-ordered report Madoff gave the SEC this week included a declaration of assets, stock holdings, and bank accounts that hold any of his or his firm's remaining funds, but the SEC has so far ignored calls to make the details public.

Madoff's personal wealth is regarded as sizeable, including a Manhattan penthouse, a mansion in Florida and a fleet of yachts, but these are likely to represent only a fraction of the money entrusted by investors.

The SEC has been criticised for not fully examining allegations against Madoff's firm. Its representative Paul Kanjorski said: "Sadly, Mr Madoff's actions have further weakened the already-battered investor confidence in our securities markets. We can, however, better understand how to reform the US financial system by carefully examining this Ponzi scheme."

But Madoff's arrest in December has tainted the reputation of hedge funds. Although he was not a hedge-fund manager, the fallout from the alleged fraud has hit investors' faith in private fund managers.