Main News

 

When Economies Overlap Lehman Bros.' chief global economist thinks that downturns in the U.S. and Europe will put a dent in China and other Asian economies this year.
http://online.barrons.com/article/SB120354235825980819.html?mod=djemBF

 

U.S. recovery may take longer than usual: Greenspan
February 25, 2008 03:59 AM ET
JEDDAH (Reuters) - U.S. economic growth has stalled and recovery
may take longer than usual, former U.S. Federal Reserve chairman
Alan Greenspan said on Monday.
http://links.reuters.com/r/YMQP2/9EO4I/PWE37/00RJF/WKDCL/YT/t

 

BlackRock quashes market talk of CDO losses
Hedge Funds Review Magazine - London,England,UK
In its fourth-quarter results, announced on January 17, BlackRock disclosed a $12m (€8.1m) impairment charge relating to CDO seed investments, which it said ...

 

Sounding the depths of the credit crisis
It is nice to see that Goldman Sachs might be human after all. But an alternative interpretation of the sharp reduction over the past three weeks in forecasts for the US bank's first quarter results is altogether more worrying. Could it be that things are so bad even Goldman Sachs, which seemed last year to be operating in a parallel universe to the rest of Wall Street, is heading for a fall?
http://mail2.efnmail.co.uk/r/342588/MTk4MTI1OjE2NTE0/

 

Marking to market is a devalued exercise
Just over 35 years ago, my father developed an unhealthy obsession with investing in stamps. He bought sheet after sheet of them, each distinguished by appearances technically different to the norm. In succeeding months, he often brought our attention to stamp catalogues that suggested their overall value was rising exponentially.
http://mail2.efnmail.co.uk/r/342596/MTk4MTI1OjE2NTE0/

 

Aggressive investors target auction-rate bond market
Investors have moved into the vacuum after failed auctions drove up borrowing costs in the auction-rate bond market for U.S. municipal borrowers. "Aggressive institutional investors have moved in to pick up auction-rate issues at short-term rates ranging from 5% to as much as 15% or more," Citigroup municipal strategist George Friedlander said. Bloomberg (25 Feb.)

 

 

Hedge fund clones slow to develop
Financial Times - London,England,UK
... banks were falling over themselves to stake their claim to a slice of the nascent, but potentially highly lucrative, hedge fund replication industry. ...

 

Housing Bailout: Crony Capitalism Comes to America? <http://seekingalpha.com/article/65855-housing-bailout-crony-capitalism-comes-to-america?source=i_email> 
Or, who will be the Keating 5 <http://en.wikipedia.org/wiki/Keating_Five>  of the 2000's? Perspectives from those of us who remember the East Asian crises of the 1990's.

 

 

 

 

Sovereign funds to save assets in distress
http://www.ipe.com/realestate/Sovereign_funds_to_save_assets_in_distress_27232.php

 

Finance in the EU: A Code of Conduct for Sovereign Wealth Funds?
February 25, 2008 1144 GMT
The European Union this week is likely to approve a new code of conduct it wants rich countries like Saudi Arabia, the UAE, China, Singapore and South Korea to impose on their state-owned trillion-dollar wealth funds. Like Americans, the Europeans want the foreign funds, but not foreign political influence.
http://www.stratfor.com/podcast/eu_seeks_curb_political_clout_sovereign_funds

 

 

 

Dark liquidity is on the starting blocks
Europe's equity trading companies are gearing up for the increased use of dark liquidity pools, with rivals launching systems in the next weeks and months. However, it is unclear if Europe, where dark pools handle less than 1% of trading, will mirror the adoption of these systems in the US, where they have about a 10th of the market.
http://mail2.efnmail.co.uk/r/342599/MTk4MTI1OjE2NTE0/

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Yield Curve Corner

 

Treasury Two-Years Can't Escape Inflation as Fed Mulls Reversal
Bloomberg - USA
25 (Bloomberg) -- Treasury two-year notes are about to become the next casualty of Federal Reserve Chairman Ben S. Bernanke's interest-rate cutting campaign ...

 

ECONOMIC PREVIEW: Warm Wholesale Inflation, Cool Durable Goods ...
CNNMoney.com - USA
Bernanke headlines a cast of Fed speakers with testimony Wednesday before Congress. Investors will be listening for whether the Fed will keep its concerns ...

 

Bernanke to tell Congress has eyes on growth risks
Washington Post - United States
Federal Reserve Chairman Ben Bernanke will deploy his most reassuring bedside manner in congressional testimony on Wednesday and Thursday to explain how the ...

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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/VSHanatahan056_MO.jpg

 

Bluetongue risk 'starts in April' *
UK livestock farms will again be at risk from bluetongue from the second half of April, predict scientists.
Full story:
http://news.bbc.co.uk/go/em/-/1/hi/sci/tech/7258796.stm

 

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Iranian Situation and Other Man Made Disasters

 

U.S. Weighs Sanctions
On Iran's Central Bank

By GLENN R. SIMPSON
February 25, 2008; Page A1

http://online.wsj.com/article/SB120391276365489981.html?

IAEA hears Iran nuclear weapons work went on beyond 2003
AFP via Yahoo! News Mon, 25 Feb 2008 12:13 PM PST
Documentation presented Monday to the governors of the UN's nuclear watchdog suggests Iran continued nuclear weapons work beyond the 2003 date cited in a recent US intelligence report, diplomats said.

 

Diplomats discussing Iran sanctions
AP via Yahoo! News Mon, 25 Feb 2008 8:16 AM PST
Diplomats from the United States and five other countries are meeting in Washington to discuss a draft resolution for sanctions against Iran.

 

Iran reformists still weakened in parliamentary election
AFP via Yahoo! News Mon, 25 Feb 2008 3:20 AM PST
Iran's embattled reformist forces can only compete in around 50 percent of seats in parliamentary elections despite the reinstatement of candidates disqualified in vetting, officials said on Monday.

 

Banks Probed Over Dealings With Iran
BY JOSEPH GOLDSTEIN - Staff Reporter of the Sun
Two British banks are under investigation for potential violations of American sanctions that forbid Iran and other state sponsors of terrorism from transferring money through New York. In recently released reports for 2007, Lloyds TSB and Barclays...

 

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Opalesque’s Corner

 

- Citigroup extends $500m credit line to Falcon hedge fund
- Franklin Resources wants to buy an alternative asset manager
- Fund launches: Opalesque Exclusive: Addax launches Asian ex-Japan FoFs, Hedge-fund backed Aramid plans move into TV production with new fund and more capital into existing fund, MSS Capital opens doors to start-ups, Energy firm RNK Capital to launch L/S equity water strategy, First Avenue raising funds for new Brazil-focused Arsenal Investimentos FoHFs, Choice Alternatives Investments launched two new strategies, Brevan Howard to start India-focused fund
- Cazenove`s listed FoHF to issue new shares
- Performance: Opalesque Exclusive: European financials market neutral fund returns +3.80% ($ class) in January, Goldman`s Global Alpha up 1% this month, Manduca has shut down Titanium Capital
- Trends: Hedge funds feel new heat as worried investors pull back, demand for commodities and treasuries soar, Investors worried about recession seek the new `on-the-run` bonds, the most liquid U.S. treasurys, Freight futures have grown 150% as banks and hedge funds seek refuge from credit crunch, Fund management companies` greater use of derivatives drives up number of operational and compliance staff
- Manager profiles: Charlemagne Capital: Would-be conqueror advances into new territory, Morgan Creek Capital`s AUM hits $10bln, FT Interview - Jim Cramer, manic Wall Street preacher
- HF Replication: Hedge fund clones slow to develop, no significant market share yet
- Reports: Edhec: Strategy-by-strategy account of 2007 hedge fund performance, McKinsey Quarterly: How investors can get more out of infrastructure
- Regulators: FSA announces further progress on access for retail investors to alternative investments, IMA to provide comments on due diligence requirements to FSA, welcomes new tax regime for funds of alternative investment funds, Dublin `approves` FTSE hedge fund indices, Dubai DFSA growth surpassed its own expectations, FSA Japan establishes framework for regulatory cooperation with China related to QDII system
- Credit Crunch Update: Northern Trust to provide $229m to investment companies, HSH Nordbank to sue UBS over subprime losses, Lloyds TSB Group may stay ahead of the fast pack, Investment banks secretly access European Central Bank funding, Report highlights subprime spillover into the credit card sector, Opinion: Hedge funds aren`t to blame for mortgage mess
- SocGen Update: SocGen took 16 days, 28 people to uncover Kerviel lie, Walter Lukken demands `collective effort` to prevent massive frauds in the future
- Institutions: Britt Harris, Teacher Retirement System of Texas` CIO, on plan to shift about $38bln into alternative investments, Taiwan to award $1.5bln in pension fund mandates, Pension fund buy-out group Paternoster seeks to boost acquisition chest, in talks with Eaton Park, Update: New Jersey`s pension fund to invest in commodities again and in William Ackman
- People: Opalesque Exclusive: EIM`s Benedict Yap joins Mercer, Joanne Murphy leaves Fortis, Merrill hires hedge fund manager for prime broking sales, NFA announces Board of Directors election results
- Exchanges: Legacy deal could force CME to boost NYMEX offer
- Commodities: China becomes world`s second largest gold market, Investec sees gold and platinum prices rise further, Wheat looks tasty, even in recession, Fresh and processed food prices expected to rise due to soaring agricultural prices
- Legal: Ponzi scheme operators ordered to pay $16.7m
- Middle East: Mirabaud forecasts Middle East hedge fund boom
- Asia: Greenwich Associates: Hedge funds driving Asia`s trading volume, Interview: Franklin Templeton looking to expand in Asia, Philippines developing derivatives market, China overcapacity to be exposed by year end, says Lehman`s economist, Nikko AM to list `emerging Japan` ETF
- Events: Mid-Atlantic Hedge Fund Association to hold March 6th afternoon event in Princeton, NJ: 2008 Outlook for the Hedge Fund Industry
- Activist News: Activist fund seeks ban on `nuisance shareholders`, i.e. other activists, Quantek Opportunity Fund converts Network loan into equity, Children`s Investment Fund gets bad shock in Japan, Goldman Sachs analyst skeptical of hedge fund `strategy` for NYT Co
- Sovereign Wealth Funds: Poll: Most Americans fear sovereign wealth funds, EU wants code of conduct for sovereign wealth funds, says Trade Commissioner, &P: Gulf SWFs unhindered by Sharia compliance as surpluses grow, Saudi Arabia expected to establish own SWF
- News Briefs: Thomson IR practices survey: Navigating Reg FD treacherous for IROs besieged by hedge funds, RREEF offloads half stake in property group, Fifth monthly fall in prices confirms UK housing market gloom, Tax-evasion case spreads to U.K. from Germany, Lazard buys into Argentina-based MBA
- ... And finally: Japanese school girl turns out to be 39-year-old man
- Logon: http://www.opalesque.com/main.php?act=archive

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Misc. Items of Interest

 

For the love of failure
Why the worst artists deserve recognition
Full article

 

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Funnies, Facts, Quotes, etc….

 

lissom LISS-uhm, adjective;
also lissome:

1. Limber; supple; flexible.
2. Light and quick in action; nimble; agile; active.

 

Sarkozy "get lost" video becomes Internet hit
February 24, 2008 01:03 PM ET
PARIS (Reuters) - A video of French President Nicolas Sarkozy
telling a bystander to "get lost" has become a hit on the Internet.
http://links.reuters.com/r/YMQP2/9EO4I/PWE37/00RJF/1Q97O/YT/t

 

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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.