Archive: 11/08/2007
Main News
Surging Threat of Forced Sales for CDOs
Financial Times - Wednesday November 07, 09:51 GMT
Financial Times - Wednesday November 07, 09:51 GMT
The Case of the Mysterious Attack on Fortress
Deal Book - Wednesday November 07, 08:27 GMT
Deal Book - Wednesday November 07, 08:27 GMT
International Herald Tribune/Bloomberg
Hedge fund managers should toughen internal rules for valuing securities and preventing insider trading, while giving clients more information about investment risks, according to the industry's main US lobbying group. The Managed Funds Association, whose members include D.E. Shaw and Steven Cohen's SAC Capital Advisors, called Tuesday in a new report for "significantly heightened standards" for preventing trading abuses and preparing for financial crises. The 276-page report, "Sound Practices for Hedge-Fund Managers," is the fourth version of a document first published by the Washington group in 2000.
Hedge fund managers should toughen internal rules for valuing securities and preventing insider trading, while giving clients more information about investment risks, according to the industry's main US lobbying group. The Managed Funds Association, whose members include D.E. Shaw and Steven Cohen's SAC Capital Advisors, called Tuesday in a new report for "significantly heightened standards" for preventing trading abuses and preparing for financial crises. The 276-page report, "Sound Practices for Hedge-Fund Managers," is the fourth version of a document first published by the Washington group in 2000.
Citigroup and Prince: Too-Risky Business
(By Steven Pearlstein, The Washington Post)
(By Steven Pearlstein, The Washington Post)
Finance Company 2008 Outlook: A Daunting Year Ahead
Up until August, the big story heading into 2008 for U.S. finance companies was the slumping housing market and the altered competitive landscape for specialty mortgage lenders. As the fourth quarter marches on, however, we believe that our future credit ratings for most finance companies will depend on their ability to access liquidity. This shouldn't be all that surprising, as capital market funding has long been the lifeblood for consumer and commercial finance businesses, many of which are struggling through a difficult 2007.
To learn more, click or copy and paste the URL below:
(subscription required)
http://standardandpoors.rsys1.net/servlet/cc5?kHiQYWUUQTVsLgHxhilpuHQJhuV2VR
Up until August, the big story heading into 2008 for U.S. finance companies was the slumping housing market and the altered competitive landscape for specialty mortgage lenders. As the fourth quarter marches on, however, we believe that our future credit ratings for most finance companies will depend on their ability to access liquidity. This shouldn't be all that surprising, as capital market funding has long been the lifeblood for consumer and commercial finance businesses, many of which are struggling through a difficult 2007.
To learn more, click or copy and paste the URL below:
(subscription required)
http://standardandpoors.rsys1.net/servlet/cc5?kHiQYWUUQTVsLgHxhilpuHQJhuV2VR
Goldman Pay Tops Bear Stearns's Slumping Market Value (Update1)
NORWAY – The Government Pension Fund – Global is expected to grow from current value US$350bn to $600bn by the end of 2010. In a speech by Svein Gjedrem, governor of Norges Bank, at the opening of its office in Shanghai, he said: “A key feature of the fund is its rapid historic inflow and growth in assets. This development is expected to continue.”
Tuesday , 06 Nov 2007
BlackRock pays bargain-basement price for Russian gold miner after IPO fails.
BlackRock pays bargain-basement price for Russian gold miner after IPO fails.
Motorhead Messiah | by Clive Thompson
Johnathan Goodwin can get 100 mpg out of a Lincoln
Continental, cut emissions by 80%, and double the
horsepower. Does the car business have the guts to
follow him?
http://trax.fastcompany.com/k/w/mailman/fasttake/20071107/motorhead
Johnathan Goodwin can get 100 mpg out of a Lincoln
Continental, cut emissions by 80%, and double the
horsepower. Does the car business have the guts to
follow him?
http://trax.fastcompany.com/k/w/mailman/fasttake/20071107/motorhead
NEW YORK (HedgeWorld.com)—Beyond Citigroup's recent leadership changes and large write-downs related to U.S. subprime mortgage exposure, other questions remain about the health of the United States' largest bank. ......
WASHINGTON (HedgeWorld.com)—Rep. Charles Rangel, chairman of the House Ways and Means Committee, indicated Tuesday [Nov. 6] that he is open to removing the carried interest provision from his tax bill designed to keep middle class taxpayers from being subject to the alternative minimum tax. ......
Rating downgrades raise risk of sub-prime securities fire sale
The risk of fire sales of mortgage-backed securities was rising on Tuesday after rating downgrades pushed a clutch of complex debt vehicles into default, threatening a further escalation of the turmoil caused by the sub-prime mortgage meltdown. (Financial Times)
http://mail2.efnmail.co.uk/r/322939/MTk4MTI1OjE1NTgy/
The risk of fire sales of mortgage-backed securities was rising on Tuesday after rating downgrades pushed a clutch of complex debt vehicles into default, threatening a further escalation of the turmoil caused by the sub-prime mortgage meltdown. (Financial Times)
http://mail2.efnmail.co.uk/r/322939/MTk4MTI1OjE1NTgy/
NEW YORK (HedgeWorld.com)—Not many segments of the credit market did well in this summer's crisis, but private investments in public equity may be an exception. ......
Mon, 05 Nov 2007, 08:12
Bloomberg
The hedge-fund industry is grappling with its first shakeout in a decade as investors increasingly recoil from startups considered susceptible to the toxic shocks of this year's credit markets. New hedge funds are opening at the slowest pace since 2003 with almost all of the USD164 billion of new investments going to managers with proven records, data compiled by Chicago-based Hedge Fund Research Inc show.
The hedge-fund industry is grappling with its first shakeout in a decade as investors increasingly recoil from startups considered susceptible to the toxic shocks of this year's credit markets. New hedge funds are opening at the slowest pace since 2003 with almost all of the USD164 billion of new investments going to managers with proven records, data compiled by Chicago-based Hedge Fund Research Inc show.
More than 635,000 properties entered foreclosure during the third quarter, according to RealtyTrac, an online marketplace for foreclosure properties, which released statistics last week.
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Yield Curve Corner
by Eric Miller
Bernanke praises organizations who provide small loans to start-up ...
International Herald Tribune - France
AP WASHINGTON: Federal Reserve Chairman Ben Bernanke, who has been devoting a lot of time lately to a credit crisis that has roiled global financial markets ...
See all stories on this topic
International Herald Tribune - France
AP WASHINGTON: Federal Reserve Chairman Ben Bernanke, who has been devoting a lot of time lately to a credit crisis that has roiled global financial markets ...
See all stories on this topic
_________________________________________________________________________
Natural Disaster Corner
Climate Prediction http://www.nws.noaa.gov/predictions.php
World Meterological Organization http://severe.worldweather.org/
Tornadoes: http://www.disastercenter.com/tornado.htm
Great Sat Pictures of events: http://www.osei.noaa.gov/Events/Current/DSTasia311_MO.jpg
Following in the mild footsteps of the first day of November, the first Monday of November featured 68°F in St. Louis, 60°F in Cleveland, and even 64°F in Poughkeepsie in the NYC suburbs.
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Iranian Situation
Nuclear Meltdown
Iran's nuclear program "irreversible": president
November 07, 2007 05:23 AM ET
TEHRAN (Reuters) - Iran's nuclear program is "irreversible,"
President Mahmoud Ahmadinejad said on Wednesday, voicing continued
defiance in the face of possible new international sanctions
on the Islamic Republic.
http://links.reuters.com/r/LHAKU/JPDRE/BGVWL/UTY9V/7JO2W/YT/t
November 07, 2007 05:23 AM ET
TEHRAN (Reuters) - Iran's nuclear program is "irreversible,"
President Mahmoud Ahmadinejad said on Wednesday, voicing continued
defiance in the face of possible new international sanctions
on the Islamic Republic.
http://links.reuters.com/r/LHAKU/JPDRE/BGVWL/UTY9V/7JO2W/YT/t
|
Bush, Sarkozy oppose nuclear-armed Iran
AP via Yahoo! News Wed, 07 Nov 2007 12:37 PM PST
President Bush and French President Nicolas Sarkozy stood shoulder-to-shoulder against a nuclear-armed Iran Wednesday, demonstrating the cozier relationship between the two countries under France's new conservative leader.
AP via Yahoo! News Wed, 07 Nov 2007 12:37 PM PST
President Bush and French President Nicolas Sarkozy stood shoulder-to-shoulder against a nuclear-armed Iran Wednesday, demonstrating the cozier relationship between the two countries under France's new conservative leader.
Bush defends World War Three comments on Iran
Reuters via Yahoo! News Wed, 07 Nov 2007 9:56 AM PST
President George W. Bush defended in a television interview on Wednesday his recent comments suggesting Iran's nuclear ambitions might trigger World War Three and insisted he wanted a diplomatic solution.
Reuters via Yahoo! News Wed, 07 Nov 2007 9:56 AM PST
President George W. Bush defended in a television interview on Wednesday his recent comments suggesting Iran's nuclear ambitions might trigger World War Three and insisted he wanted a diplomatic solution.
3,000 uranium centrifuges fully working, Iran says
USA Today Wed, 07 Nov 2007 9:26 AM PST
Iran has achieved a landmark with 3,000 centrifuges fully working in its controversial uranium enrichment program, President Mahmoud Ahmadinejad said Wednesday.
USA Today Wed, 07 Nov 2007 9:26 AM PST
Iran has achieved a landmark with 3,000 centrifuges fully working in its controversial uranium enrichment program, President Mahmoud Ahmadinejad said Wednesday.
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Opalesque’s Corner
- Value Partners targets $376 million from listing, second listed asset manager in Asia
- New Star looks to growth after most difficult quarter since listing
- Trend of investing in a firm ahead of its flotation fuelled by hedge funds
- Signal cap preps real estate, quant L/S hedge funds, Algebra launches Alpha Mena fund for institutions
- Top credit managers ready for further market slump
- TrimTabs report: Investors put $18.6 bln into hedge funds in Sept, Redemptions hit equity market neutral hedge fund losers
- More on KPMG / CREATE-Research study: Diversification of funds could drive down returns
- Preqin Hedge 2008 Institutional Investor Survey reveals investors' confidence in hedge fund asset class
- ETF Securities powers through the $2bn mark on high demand of exchange traded commodities in Europe
- People: Merrill hires head of A.I. for Pacific Rim alternatives team
- Pensions: LACERA looking to add 130/30s to portfolio, Watson Wyatt: Pension funds have proved resilient
- Indices: Hedge funds are shorting CMBX mortgage index, Quadrexx launches Canadian hedge fund index product
- Primus posts quarterly loss, to close Harrier Fund, results impacted by hedge fund loss, Shareholder vote delayed in Bear hedge fund case, Commercial paper freeze forced Citi to double subprime CDO exposure, Morgan Stanley writedowns may reach as much as $6bln, It`s time for RBS and Barclays to end silence on mortgage exposure
- FT comment: Basel is the root of the banking crisis, Central bankers see more pain for U.S. economy
- Risk of MBS fire sale rises after rating downgrades, Threat of forced sales grows for CDOs, Unusual price swings in credit derivatives, Covenant-lite loans hard hit, sold at discount, Lenders tighten standards, demand for loans weaker, Bonuses likely to shrink for many on Wall Street
- Tax Update: Rangel open to removing carried interest provision but offsets needed, Rangel tax bill spares US Virgin islanders IRS scrutiny, Hedge-fund tax rise faces `uphill climb` in senate
- Regulators: No movement on hedge fund registration bills, Bill calls for study of hedge funds, private equity, CFTC`s Chilton denounces defect in commercial markets provision of CFMA
- Events: NYC Event: Repricing Risk - How the credit crisis is changing the hedge fund industry, George Hall and Clinton Group`s event in support of the NYU Cancer Institute`s program in women`s cancer
- Legal News: SEC files settled enforcement action against HF TCMP3 Partners for engaging in unlawful PIPE trading, Broker Watson admitted that he was involved in a scheme to defraud investors in two hedge funds, UBS confirms Swiss-based employee arrested today in Brazil
- Exchanges: Nasdaq moves to buy Philadelphia Stock Exchange for about $650 million, Europe attracts Chinese listings, Junior Exchange in India will need specialists to beat illiquidity, stop migration to London`s AIM, Imarex posts $1.8 bln record trade on sea freight, Innovative dealing room for commodity and financial securities trading to open in Champaign, Illinois, USA
- What the energy sector will look like in 2030, As oil nears $100: if speculators flee the market, prices could drop quickly
- Third annual Hedge Fund Review Middle East Summit: Bahrain dominates region in hedge fund sector, Adopt Sharia principles! Fund managers could use the Arboon Contract
- Report - Hedge funds keen on China, India credit, Hedge funds in Asia are increasing risk appetite, India: Short-selling in derivatives in decline, rise in equity markets due to market inefficiency
- Kuromatsu Fund wins Best New Japan Fund at AsiaHedge awards
- Chinese Premier`s talk on offshore investment by Chinese citizens in Hong Kong may feed domestic share mania, What simply isn`t being said about China`s extraordinary growth: comment on political landscape
- Tech Update: Interactive Data Corporation to deliver real-time data to power Financial Mechanics` proprietary trading applications
- Activist News: James River shareholders approve buyout, Goldman Sachs, D.E. Shaw pursue Jiangsu Rongsheng, Erinaceous` new executive team working to salvage business, founders negotiate departure, Audley Capital and Everest Capital diplomatic in Norwegian merger proposal, Brazilian carrier grounds aircraft, Gavea and Goldman Sachs are minority shareholders, Nikanor and Katanga to merge, RP Capital largest shareholder
- News Briefs: Grant Thornton Seminar reveals that economic uncertainties are creating new paradigms for companies in distress, John Snow sees changes in the transaction environment, Wall Street is pressing Fed for more rate cuts, Dubai Holding gets $1.26b financing, partly to fund Och-Ziff acquisition, Wealth funds may expand to $12 trillion by 2015, Russia and South Korea may lead, Yuan seen replacing HK dollar, Australian dollar gains as central bank raises interest rate
- And Finally. Animal invasions: The UBS mice, Ravenous boars in eastern China
- Logon: http://www.opalesque.com/main.php?act=archive
- New Star looks to growth after most difficult quarter since listing
- Trend of investing in a firm ahead of its flotation fuelled by hedge funds
- Signal cap preps real estate, quant L/S hedge funds, Algebra launches Alpha Mena fund for institutions
- Top credit managers ready for further market slump
- TrimTabs report: Investors put $18.6 bln into hedge funds in Sept, Redemptions hit equity market neutral hedge fund losers
- More on KPMG / CREATE-Research study: Diversification of funds could drive down returns
- Preqin Hedge 2008 Institutional Investor Survey reveals investors' confidence in hedge fund asset class
- ETF Securities powers through the $2bn mark on high demand of exchange traded commodities in Europe
- People: Merrill hires head of A.I. for Pacific Rim alternatives team
- Pensions: LACERA looking to add 130/30s to portfolio, Watson Wyatt: Pension funds have proved resilient
- Indices: Hedge funds are shorting CMBX mortgage index, Quadrexx launches Canadian hedge fund index product
- Primus posts quarterly loss, to close Harrier Fund, results impacted by hedge fund loss, Shareholder vote delayed in Bear hedge fund case, Commercial paper freeze forced Citi to double subprime CDO exposure, Morgan Stanley writedowns may reach as much as $6bln, It`s time for RBS and Barclays to end silence on mortgage exposure
- FT comment: Basel is the root of the banking crisis, Central bankers see more pain for U.S. economy
- Risk of MBS fire sale rises after rating downgrades, Threat of forced sales grows for CDOs, Unusual price swings in credit derivatives, Covenant-lite loans hard hit, sold at discount, Lenders tighten standards, demand for loans weaker, Bonuses likely to shrink for many on Wall Street
- Tax Update: Rangel open to removing carried interest provision but offsets needed, Rangel tax bill spares US Virgin islanders IRS scrutiny, Hedge-fund tax rise faces `uphill climb` in senate
- Regulators: No movement on hedge fund registration bills, Bill calls for study of hedge funds, private equity, CFTC`s Chilton denounces defect in commercial markets provision of CFMA
- Events: NYC Event: Repricing Risk - How the credit crisis is changing the hedge fund industry, George Hall and Clinton Group`s event in support of the NYU Cancer Institute`s program in women`s cancer
- Legal News: SEC files settled enforcement action against HF TCMP3 Partners for engaging in unlawful PIPE trading, Broker Watson admitted that he was involved in a scheme to defraud investors in two hedge funds, UBS confirms Swiss-based employee arrested today in Brazil
- Exchanges: Nasdaq moves to buy Philadelphia Stock Exchange for about $650 million, Europe attracts Chinese listings, Junior Exchange in India will need specialists to beat illiquidity, stop migration to London`s AIM, Imarex posts $1.8 bln record trade on sea freight, Innovative dealing room for commodity and financial securities trading to open in Champaign, Illinois, USA
- What the energy sector will look like in 2030, As oil nears $100: if speculators flee the market, prices could drop quickly
- Third annual Hedge Fund Review Middle East Summit: Bahrain dominates region in hedge fund sector, Adopt Sharia principles! Fund managers could use the Arboon Contract
- Report - Hedge funds keen on China, India credit, Hedge funds in Asia are increasing risk appetite, India: Short-selling in derivatives in decline, rise in equity markets due to market inefficiency
- Kuromatsu Fund wins Best New Japan Fund at AsiaHedge awards
- Chinese Premier`s talk on offshore investment by Chinese citizens in Hong Kong may feed domestic share mania, What simply isn`t being said about China`s extraordinary growth: comment on political landscape
- Tech Update: Interactive Data Corporation to deliver real-time data to power Financial Mechanics` proprietary trading applications
- Activist News: James River shareholders approve buyout, Goldman Sachs, D.E. Shaw pursue Jiangsu Rongsheng, Erinaceous` new executive team working to salvage business, founders negotiate departure, Audley Capital and Everest Capital diplomatic in Norwegian merger proposal, Brazilian carrier grounds aircraft, Gavea and Goldman Sachs are minority shareholders, Nikanor and Katanga to merge, RP Capital largest shareholder
- News Briefs: Grant Thornton Seminar reveals that economic uncertainties are creating new paradigms for companies in distress, John Snow sees changes in the transaction environment, Wall Street is pressing Fed for more rate cuts, Dubai Holding gets $1.26b financing, partly to fund Och-Ziff acquisition, Wealth funds may expand to $12 trillion by 2015, Russia and South Korea may lead, Yuan seen replacing HK dollar, Australian dollar gains as central bank raises interest rate
- And Finally. Animal invasions: The UBS mice, Ravenous boars in eastern China
- Logon: http://www.opalesque.com/main.php?act=archive
_________________________________________________________________________
Misc. Items of Interest
Man gets life for lottery ticket scam
November 06, 2007 06:04 PM ET
BEIJING (Reuters) - A Chinese lottery ticket seller has been
jailed for life for fraud for taking advantage of a system flaw
to cash 28 million yuan ($3.76 million) in tickets illegally,
state media said Tuesday.
http://links.reuters.com/r/LHAKU/JPDRE/BGVWL/UTY9V/8R0AY/YT/t
November 06, 2007 06:04 PM ET
BEIJING (Reuters) - A Chinese lottery ticket seller has been
jailed for life for fraud for taking advantage of a system flaw
to cash 28 million yuan ($3.76 million) in tickets illegally,
state media said Tuesday.
http://links.reuters.com/r/LHAKU/JPDRE/BGVWL/UTY9V/8R0AY/YT/t
The Real Superhumans and the Quest
for the Future Fantastic
Discovery News Nov. 1, 2007
*************************
"The Real Superhumans and the Quest
for the Future Fantastic" forecasts
the next stage of human evolution.
It will air on Nov. 4 on Discovery
Channel and Discovery HD in Canada,
in the UK Nov 11, and in the US at
the end of January. Featured
"superhumans" include Ray Kurzweil,
on the Singularity; Elisabeth
Sulser, "The Synaesthete"; Esref...
http://www.kurzweilai.net/email/newsRedirect.html?newsID=7424&m=29780
for the Future Fantastic
Discovery News Nov. 1, 2007
*************************
"The Real Superhumans and the Quest
for the Future Fantastic" forecasts
the next stage of human evolution.
It will air on Nov. 4 on Discovery
Channel and Discovery HD in Canada,
in the UK Nov 11, and in the US at
the end of January. Featured
"superhumans" include Ray Kurzweil,
on the Singularity; Elisabeth
Sulser, "The Synaesthete"; Esref...
http://www.kurzweilai.net/email/newsRedirect.html?newsID=7424&m=29780
_____________________________________________________________________
Funnies, Facts, Quotes, etc….
fealty FEE-uhl-tee, noun:
1. Fidelity to one's lord; the feudal obligation by which the tenant or vassal was bound to be faithful to his lord.
2. The oath by which this obligation was assumed.
3. Fidelity; allegiance; faithfulness.
2. The oath by which this obligation was assumed.
3. Fidelity; allegiance; faithfulness.
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Conference, Courses, Books, Papers
Great Research Sites:
Merrill Lynch research Link to full report including important disclosures see example
John Mauldin’s Weekly Analysis
James Altucher’s Website:
Other useful sites:
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Index Corner
The CSFB/Tremont Hedge Fund Index www.hedgeindex.com.
The Cogent Dynamic Averages http://www.cogenthedge.com/home/inv_strategy.asphttp://www.cogenthedge.com/home/inv_strategy.asp
The Dow Jones Indices: http://www.djhedgefundindexes.com/index.cfm?event=viewPremiumContent (free registration)
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Regulatory Info
investor.info@sfc.hkhttp://www.sfc.hk/sfc/html/EN/inutilbar/contact/contact.htmlhttp://www.sfc.hk/sfc/html/EN/inutilbar/contact/contact.htmlhttp://www.sfc.hk/sfc/html/EN/inutilbar/contact/contact.html
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Disclaimer
The information contained in this document does not constitute an offer or solicitation to sell any security or other type of vehicles to or by anyone in any jurisdictions, nor should it be regarded as a contractual document. Under no circumstances should the information provided on this document be considered as financial advice, or as a sufficient basis on which to make investment decisions. The information contained herein has been gathered by Investor DNA, LLC from sources deemed reliable as of the date of publication, but no warranty of accuracy or completeness is given. Investor DNA, LLC is not responsible for and provides no guarantee with respect to any of the information provided herein or through the use of any hypertext link. Past results are no indication of future performance. All information in this newsletter is for educational and informational purposes and does not constitute investment, legal, tax or accounting advice. All materials are the property of the
respective publishers, as referenced by header and appropriate hypertext links.
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