Hedge funds put Greenwich, a small town in Connecticut on the world map. The industry effectively made the Southern Connecticut area code synonymous with hedge funds.

Now the town is learning what happens when hedge funds don’t get it right. During a recent visit, Reuters reporter Joe Giannone found out that things aren’t quite what they used to be.

The luxury car dealers are quiet, the prices of mansions are declining and the retailers who have made a good living serving its wealthy residents are complaining about a sudden drop in business, Giannone writes.

It’s all relative though. Roxana Bowgen, an estate agent at Engel & Volker, an international broker of high-end properties, tells Giannone that houses are still selling, just at a slower pace. “There are fewer people buying $10 million, $20 million homes. We’re seeing an adjustment, a correction taking place,” she said.

(Photo credit: Mike Segar, Reuters)