Too many cooks in the kitchen
I read two very interesting observations about hedge funds last week from two very respectable sources. One was in the quarterly letter of Dan Loeb’s Third Point LLC and the other from Oaktree Capital Group LLC’s Howard Marks. Each said, in their own unique style, of course, that there are too many hedge funds, leading […]
The American’s are coming, the American’s are coming
Last week, the European Securities and Markets Authority (ESMA) told the EU’s executive European Commission that asset managers based outside the EU should get a “passport” to continue offering services to investors across Europe. This new directive replaces a country-by-country private placement authorization system that has been in place for some time. Read the story […]
Observe first, react second
The voters of Great Britain clearly shocked the world last week with their historic vote to leave the European Union. The people have clearly spoken, they want change and change is what they are going to get. To me, though, what’s more shocking than the outcome of the vote is the fact that almost none […]
It is about performance, not fees
The chorus of investors complaining about hedge fund fees is getting louder as performance continues to get softer. This past weekend, the Old Gray Lady once again featured a piece on why managers are doing all they can to quiet the sound coming from investors by offering new fee structures — a new take on the […]
The April Fools The New York Times
When I read the Op-Ed titled “How Hedge Funds Held Argentina for Ransom,” at first I thought The New York Times was publishing an April Fool’s joke. Once I got into the meat of the piece, though, I found out that I was wrong. The Old Gray Lady was continuing its chorus of anti-hedge fund, […]
People love it when others fail
The recent news of the continued troubles at Valeant and hedge fund manager Bill Ackman’s losses in the stock have gotten many people excited. Lots of investors and other hedge fund managers are metaphorically screaming, “I told you so.” They’re even excited that Mr. Ackman is on the losing side of the trade while they’re […]
And now for more of the same
Another crazy week everywhere: the markets, politics and not least the future of the republic. We just can’t catch a break. Republicans are slicing each other to shreds in the fight for their nomination, a smaller number of Democrats are doing the same, and before you know it, the two survivors will be kicking each […]
A strange but profitable group
Everybody knows that things are strange at Bridgewater Associates LP. The stories of its confrontational meetings, its banning of cell phones, the instant feedback on superiors and subordinates are of part of the legend of the firm. But the article in Friday’s Wall Street Journal takes it to a new level. No matter how you […]
The fall will probably kill ya
One of my favorite films is the Newman and Redford classic Butch Cassidy and the Sundance Kid. It’s almost a perfect movie. One of my favorite scenes is when Sundance reveals that he doesn’t want to jump off the ledge because he can’t swim and Butch so eloquently says, “Why, you crazy — the fall’ll […]
Call me bullish
Everybody is down on the markets these days, except for me. True, I do believe the economy is weak and that there is little if any real job growth, but that being said, there are still opportunities out there and now is the time to start evaluating them. That being said, I am the last […]