Main News

 

Merrill's CDO Valuation Is Very Interesting
Seeking Alpha - New York,NY,USA
We had $15 billion of them (CDO's) on the books in September and now that has been written down to $4.4 billion. Essentially they are being valued on their ...

 

WestLB Owners Inject €1bn to Cover Loss - 2,000 Jobs at Risk!
Financial Times - Monday January 21, 09:51 GMT

 

US subprime to hurt China banks in 2008
Guardian Unlimited - UK
By George Chen SHANGHAI, Jan 21 (Reuters) - Earnings at Chinese banks will probably be hit this year by the snowballing US subprime mortgage crisis and ...
See all stories on this topic

 

HEARD ON THE STREET, by Jason Leow  and James T. Areddy 
from The Wall Street Journal.
U.K. banks, after coping with fallout from the U.S. housing bust, now must navigate a looming housing crunch at home.

http://online.wsj.com/article/SB120096589957905283.html?mod=djemheard

Hedgies make Dash for the Land as Investors Dig for Hidden Value
Business Times Online - Monday January 21, 09:50 GMT

 

Side-pocket solution to illiquidity
Financial Times - Monday January 21, 09:06 GMT

 

Blood On The Street
New York Post - Monday January 21, 07:05 GMT

 

Hedge-fund managers, lords of lucre
Times Online - UK
So what do hedge-fund managers actually do, and why are they shrouded in mystery? Investigation by Tim Rayment They have been called the masters of the ...

 

Protean unveils hedge-fund fraud insurance for investors
Market Watch Mon, 21 Jan 2008 5:17 AM PST
LONDON (MarketWatch) -- Amid a spate of allegations of fraud at hedge funds, a London-based firm has launched fraud insurance for investors. Protean Investment Risks, a newly-formed company, from Monday is offering its Protean insurance product to wealthy individuals and institutions to protect their hedge-fund portfolios from any misrepresentation of assets, theft or other type of fraud by ...

 

Sailfish Capital Partners, a US credit hedge fund run by former SAC Capital bond trader Mark Fishman, has recorded a ...
eFinancial News Mon, 21 Jan 2008 6:03 AM PST
Sailfish Capital Partners, a US credit hedge fund run by former SAC Capital bond trader Mark Fishman, has recorded a loss of more than 12% for the first 51 weeks of last year and is understood to be suffering significant client redemptions.

 

Green ambitions
Norway aims to become carbon neutral by 2030
Full article

 

China: Staving Off a Foreign Bad-Debt Problem
January 21, 2008 1408 GMT
China's most internationally exposed state-owned commercial bank, the Bank of China, is planning a significant write-down at the end of 2008 to cover for botched investments in the U.S. subprime mortgage securities market, the South China Morning Post reported Jan. 21.
http://www.stratfor.com/analysis/china_staving_foreign_bad_debt_problem

 

ZÜRICH, Switzerland (HedgeWorld.com)—ThomasLloyd Group has launched what it terms a "high conviction leveraged portfolio" that will invest in around 20 established flagship hedge funds across a broad range of strategies. ......

 

NEW YORK (HedgeWorld.com)—Fairfield Greenwich Group, a $16.1 billion New York-based alternative investment firm, has launched a new marketing unit that will act as a placement agent for third-party hedge funds, the firm said Thursday [Jan. ......

 

Putin puts Russian sovereign wealth fund back on agenda
Plans are back on track to spin off a sovereign wealth fund from Russia's $150bn (?101bn) oil reserves to invest in foreign stocks and bonds after President Vladimir Putin's decision to nominate a successor, according to Moscow analysts.
http://mail2.efnmail.co.uk/r/334600/MTk4MTI1OjE2MTk0/

 

Sovereign wealth funds rescue bad boards
Money has been falling from the sky for big banks. It is shoring up their capital positions and credit ratings and protecting their boards and regulators, but are shareholders the losers?
http://mail2.efnmail.co.uk/r/334662/MTk4MTI1OjE2MTk0/

 

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Yield Curve Corner

 

Bernanke Says Fiscal Stimulus Could Revive Expansion (Update5)
Bloomberg - USA
17 (Bloomberg) -- Federal Reserve Chairman Ben S. Bernanke said fiscal stimulus of as much as $150 billion would help revive economic growth, while warning ...

 

30-Year Rates Hit 21/2-Year Low
Washington Post - United States
Many economists say they don't think mortgage rates will decline much more, however, even though Federal Reserve Chairman Ben S. Bernanke said last week ...

 

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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/DSTafrica021_MO.jpg

 

Bird flu cases found in northern Iran
Payvand Iran News Sat, 19 Jan 2008 10:59 AM PST
Iran's Veterinary Organization has announced migratory and indigenous birds have tested positive for the virulent H5N1 bird flu virus. -Press TV

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Iranian Situation and Other Man Made Disasters

 

France says new Iran resolution imminent
AP via Yahoo! News Mon, 21 Jan 2008 11:24 AM PST
The U.N. Security Council's five permanent members and Germany are expected to agree Tuesday on a new resolution to pressure Iran over its nuclear program, a French diplomat said.

 

Iran leader backs parliament in dispute with Ahmadinejad
AFP via Yahoo! News Mon, 21 Jan 2008 2:20 AM PST
Iran's supreme leader Ayatollah Ali Khamenei has backed parliament in a dispute with hardline President Mahmoud Ahmadinejad, who had objected to several measures adopted by MPs, the ISNA news agency said on Monday.

 

Iran's small boats are a big problem
International Herald Tribune Sun, 20 Jan 2008 5:36 AM PST
As Iran steps up harassment of U.S. warships in the Gulf, it is important to remember that a tough but measured military response may lessen the odds of a much bigger clash down the road.

 

Russia delivers more than half nuclear fuel to Iran: official
AFP via Yahoo! News Sat, 19 Jan 2008 11:34 PM PST
Russia has delivered more than half the fuel for Iran's Bushehr nuclear power plant, after a fourth consignment arrived on Sunday, the official IRNA news agency reported.

 

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Opalesque’s Corner

 

- Opalesque Exclusive: French hedge fund says financial crisis boosts alternatives, AUM now at Eur 1bln, gets new Fitch rating, to double analysts to 30 following launch of two funds, ThomasLloyd to launch a new FoHFs in February, Sources say ICICI Venture, India, is planning hedge fund launch, Martin Asset Management launches alternative energy fund
- Fairfield Greenwich Group launches new business unit to market third-party managers
- Performance: Chicago hedge funds outperform global peers in Q4
- Indices: EDHEC Alternative Index for December 2007, strongest performance came from Emerging Markets (+1.27%)
- M&A: Dubai Holding has 51% class A stake in Och-Ziff, Comment: GSO founders strike gold as Blackstone buys fund for $930m
- Trends: Hedge funds go for agriculture, Palomar chief sees structured credit opportunities
- Outlook: Quant funds in 2008, the year of living dangerously
- Protean capitalises on fears over `cowboys`, to sell investors insurance against hedge fund scams
- FT reports: Side-pocket solution to illiquidity now used by FoHFs, FoHFs Aida on the advantages of closed-ended funds, Laven Partners: Valuation problems need in-house solution, key to investor confidence and continued growth of the HF industry, MPC Investors on convertible bonds` usefulness, Investor Analytics: Helping to balance risk and maintain secrecy
- Legal: Brothers bring $1.14bl claim against Lehman, Mrs. Yalincak, mom in hedge fund scam, ordered deported, CFA Institute Centre expresses disappointment with U.S. Supreme Court decision on shareholder lawsuits
- People: Former SAC portfolio manager joins Trivium, Thames River receives DFSA license, appoints new Middle East chief, Deutsche trader to join Pascucci hedge fund, Head of Asian prime broking leaves Merrill Lynch, Cadwyn Capital manager joins AXA Framlington
- Private equity firms employ 76,700 worldwide, CFA Institute announces 6,427 new CFA charterholders
- Credit Crunch Update: Credit squeeze hits Eurozone borrowing, Massachusetts town blames Merrill for CDO losses, dispute
- Counterparty risk is back, bond insurer ACA trying to avoid insolvency as counterparties wrote off billions worth of trades, MBIA priced for catastrophe but it is not that bad
- Environmental Trading News: Global carbon market grows 80% in 2007,  58 US companies, cities and organizations report emissions to Climate Registry,  Euroclear to support carbon trading,  Petrodollars, sun and low-cost base:  Abu Dhabi aims to become renewable energy leader
- Gold-bug fever is spreading, futures in China, an ETF in India are part of the frenzy
- Institutional Allocations: Top 1000 U.S. retirement plan assets enjoy strongest growth in a decade, hedge fund investments rose 51%, Canadian pensions post meagre gains in turbulent year, Schroders says institutional alternatives allocation could hit 50% in UK
- Other Voices: Hedge Funds and Corporate Governance: Who is driving the car? Examining your hedge fund directors: Executive, non-executive, interested or independent - what does it mean?, What to look for in an independent Director
- Events: 5th MondoHedge Italian hedge fund awards: Milan Feb. 7, 100 Women in Hedge Funds has named its beneficiary for 2008 events, London Gala will be held on September 24, Industry Leadership Award and Effecting Change Award will go to.
- Middle East Special: UAE set to launch nuclear programme, ADIA, world`s largest sovereign wealth fund, hires U.S. public relations firm,  Dubai suspends 40% of real estate projects (worth $160bln)  for defaulting payments for higher  materials costs
- Northern Rock Update: Northern Rock appoints ex-resolution chief to board, Financial package to be proposed today
- Update: Hedge-fund manager RAB sees flat profit
- Chinese sovereign fund CIC to invest only one third of capital abroad
- Investors pour $40bl into emerging markets funds, away from traditional bond and equity funds, Emerging markets gain in market`s fall, Doing business in North Korea: a few funds are preparing to invest
- News Briefs: Aberdeen sees dramatic jump in assets, Hefty bonuses for troubled Street, New stock lending exchange to be announced soon,  Dutch pension fund enjoys spectacular yields of 37.3% on commodities and 31.9% on timber,  WestLB owners inject Eur1bn to cover loss, BNP Paribas Japan to sell mutual fund replicating hedge fund techniques, PGGM has pulled investment out of PetroChina due to human rights violations
- ...And finally: Sarkozy plans to update measure of economic activity, to take more account of `joie de vivre`
- Logon: http://www.opalesque.com/main.php?act=archive

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Misc. Items of Interest

 

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Funnies, Facts, Quotes, etc….

 

callow KAL-oh, adjective:

Immature; lacking adult perception, experience, or judgment.

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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)

HFRX Indices https://www.hedgefundresearch.com/hfrx_reg/index.php?fuse=login&1170880431

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Regulatory Info

 

 

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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.