Archive: 09/09/2008
Main News
LSE's Computer Fix Is 'Taking Longer Than Expected'
New York Times - 1 hour ago
By STEPHEN LABATON and EDMUND L. ANDREWS WASHINGTON - A day after the government seized control of the nation’s two largest mortgage finance companies, policy makers and Congress began what promises to be an epic political fight over how to revamp the ...
There is a big difference between "time out" and "game over." Investors should keep that in mind before piling into debt issued by Fannie Mae and Freddie Mac on the back of the government's takeover of the two mortgage giants.
http://online.wsj.com/article/SB122090895290711811.html?mod=djemheard
http://online.wsj.com/article/SB122090895290711811.html?mod=djemheard
Fannie Mae And Freddie Mac 'AAA/A-1+' Unsecured Ratings Affirmed; Preferred Stock Rating Cut<http://now.eloqua.com/e/er.aspx?s=795&lid=7138&elq=56E86F2C511C48CD8986AA0ADBADB271>
We affirmed our long-term 'AAA' and short-term 'A-1+' senior unsecured debt ratings on Fannie Mae and Freddie Mac. We lowered our risk-to-the-government stand-alone issuer credit ratings on Fannie Mae and Freddie Mac to 'R' (regulatory supervision) from 'A-' and withdrew the ratings. These rating actions follow the announcement by the U.S. Treasury that Fannie Mae and Freddie Mac have been placed in conservatorship by their regulator, the Federal Housing Finance Agency.
We affirmed our long-term 'AAA' and short-term 'A-1+' senior unsecured debt ratings on Fannie Mae and Freddie Mac. We lowered our risk-to-the-government stand-alone issuer credit ratings on Fannie Mae and Freddie Mac to 'R' (regulatory supervision) from 'A-' and withdrew the ratings. These rating actions follow the announcement by the U.S. Treasury that Fannie Mae and Freddie Mac have been placed in conservatorship by their regulator, the Federal Housing Finance Agency.
In July, Congress granted the Treasury, the Federal Reserve and FHFA new authorities with respect to the GSEs, Fannie Mae and Freddie Mac. Since that time, we have closely monitored financial market and business conditions and have analyzed in great detail the current financial condition of the GSEs - including the ability of the GSEs to weather a variety of market conditions going forward. As a result of this work, we have determined that it is necessary to take action.
HEARD ON THE STREET, by Gregory Zuckerman
from The Wall Street Journal.
When the going gets tough, the weak cut fees. At least that is the approach of Camulos Capital, which is offering to roughly halve its fees in a bid to retain clients after a 20% decline this year.
Bolling: Fannie-Freddie Deal May Boost Builders
TheStreet.com - USA
When I heard that Treasury Secretary Henry Paulson, Fed Chairman Ben Bernanke and the two CEOs of Fannie Mae (FNM - Cramer's Take - Stockpickr) and Freddie ...
TheStreet.com - USA
When I heard that Treasury Secretary Henry Paulson, Fed Chairman Ben Bernanke and the two CEOs of Fannie Mae (FNM - Cramer's Take - Stockpickr) and Freddie ...
Analysis: Watershed Event for $8 trillion in MBS, Agencies Unfolds
By: Reuters
Posted: 09/08/2008 1:42:28 PM ET
http://www.hedgeworld.com/news/read_news.cgi?section=dail&story=dail15246.html
By: Reuters
Posted: 09/08/2008 1:42:28 PM ET
http://www.hedgeworld.com/news/read_news.cgi?section=dail&story=dail15246.html
Analysts Expect Lesser Raises
U.S. fixed-income analysts who work on the buy side anticipate an average 3.8 percent compensation increase this year, down from 9.3 percent in 2007, according to Institutional Investor’s U.S. Buy-Side Fixed-Income Compensation
U.S. fixed-income analysts who work on the buy side anticipate an average 3.8 percent compensation increase this year, down from 9.3 percent in 2007, according to Institutional Investor’s U.S. Buy-Side Fixed-Income Compensation
Seoul Salvation
Yes, Wall Street is desperate. But is Korea really going to be its savior? Read More
Yes, Wall Street is desperate. But is Korea really going to be its savior? Read More
Israeli Strategy After the Russo-Georgian War. September 8, 2008 | 1419 GMT. Graphic for Geopolitical Intelligence Report. By George Friedman ...
Russia Sets War Games in Caribbean
Monroe Doctrine Is Entangled
BY ELI LAKE - Staff Reporter of the Sun
WASHINGTON — With American-Russian relations declining to the point of Cold War-era posturing, Moscow is sending ships to the Caribbean. If the scheduled joint exercises with the Venezuelan navy take place, the maneuver would be one of Russia's most…
Monroe Doctrine Is Entangled
BY ELI LAKE - Staff Reporter of the Sun
WASHINGTON — With American-Russian relations declining to the point of Cold War-era posturing, Moscow is sending ships to the Caribbean. If the scheduled joint exercises with the Venezuelan navy take place, the maneuver would be one of Russia's most…
Recession looms as lending growth stalls at Japanese banks
The Bank of Japan said loans made by Japanese banks, not including credit associations, were up 2% in August over the same month last year. The increase is the same as it was in July. Lending in August by Japan's city banks increased 1%, the same pace as the previous month. The stall in lending growth comes as the Asian economy heads toward the brink of recession and bankruptcies surge. Bloomberg (08 Sep.)
The Bank of Japan said loans made by Japanese banks, not including credit associations, were up 2% in August over the same month last year. The increase is the same as it was in July. Lending in August by Japan's city banks increased 1%, the same pace as the previous month. The stall in lending growth comes as the Asian economy heads toward the brink of recession and bankruptcies surge. Bloomberg (08 Sep.)
U.S. Economic Forecast: Oil Better?<http://now.eloqua.com/e/er.aspx?s=795&lid=7128&elq=56E86F2C511C48CD8986AA0ADBADB271>
Ex-Goldman Trader to Raise $5 Billion for Hedge Fund, Report Says
New York Times Blogs - New York,NY,USA
... record at the Wall Street firm apparently earned him the sobriquet “Goldfinger,” is planning to launch a $5 billion hedge fund, The Telegraph reported. ...
New York Times Blogs - New York,NY,USA
... record at the Wall Street firm apparently earned him the sobriquet “Goldfinger,” is planning to launch a $5 billion hedge fund, The Telegraph reported. ...
Lehman Unveils New Alt Fund
Lehman Brothers Asset Management will launch an alternative asset allocation fund.
Lehman Brothers Asset Management will launch an alternative asset allocation fund.
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Yield Curve Corner
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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/TRCike252_N7.jpg
Geopolitical Diary: Hurricane Ike as a Window Into Cuba
September 8, 2008 0159 GMT
If Hurricane Ike devastates Cuba as much as predicted, the aftermath will show what Havana thinks of Washington and Moscow.
http://www.stratfor.com/geopolitical_diary/geopolitical_diary_hurricane_ike_window_cuba
September 8, 2008 0159 GMT
If Hurricane Ike devastates Cuba as much as predicted, the aftermath will show what Havana thinks of Washington and Moscow.
http://www.stratfor.com/geopolitical_diary/geopolitical_diary_hurricane_ike_window_cuba
Ike Hits Cuba, May Head Toward Gulf Oil Installations (Update1)
Bloomberg - USA
The Cuban government issued a hurricane warning for the provinces of Guantanamo west through Matanzas. A tropical-storm warning and a hurricane watch were ...
Bloomberg - USA
The Cuban government issued a hurricane warning for the provinces of Guantanamo west through Matanzas. A tropical-storm warning and a hurricane watch were ...
* 'Climate crisis' needs brain gain *
The former UK chief scientist says the climate challenge is so great, it demands the most brilliant minds tackle it.
Full story:
http://news.bbc.co.uk/go/em/-/1/hi/sci/tech/7603257.stm
The former UK chief scientist says the climate challenge is so great, it demands the most brilliant minds tackle it.
Full story:
http://news.bbc.co.uk/go/em/-/1/hi/sci/tech/7603257.stm
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Iranian Situation and Other Man Made Disasters
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Opalesque’s Corner
- Opalesque Exclusive: U.S. hedge fund Fairfield Greenwich with Geneva private bank, Opalesque sources: more mergers in the making
- Punter Southall Group in joint venture to form new FoHFs company, Grenfell PAI Guernsey Ltd, as first step to rapidly scale up alternative investment operations
- Opalesque Exclusive: Switzerland still discussing reduced taxes for hedge funds, date is nearing, Swiss to introduce tax breaks for hedge funds, aims to become third financial centre, Swiss tax regime lures London HF Krom, Zug tax regime paints an attractive picture
- Opalesque Exclusive: The outer rings of change, as the industry grows so does the power of community,
a look into hedge fund hedge fund associations
- Fund Launches - `Goldfinger` comes back, launches $5bln special situations HF, GAM launches systematic trading fund of hedge funds, Paulson & Co says financials ready for investment, launching Recovery Fund on Oct 1st, Ex-AIG manager launches emerging markets credit hedge fund, Gabelli to launch green fund, sees profit in alternative energy, Lehman to launch alternative asset allocation fund to help smaller schemes invest across alternatives, Former tech and semiconductor entrepreneur preps hybrid hedge fund
- Performance - Clarium bet against US Dollar, fund down -13% in August for biggest monthly loss
- Investors may fear hedge fund blow ups but hedge funds can fear their investors too: RCG FoF redeems from 36 hedge funds because key investor needs cash now, Stock market fears another hedge fund collapse, Comment: Hedge fund blow-up letters - Where are the apologies?
- 130/30 funds at 1,000bln by 2012, influx and demand for 140/40's expected to increase
- Opalesque Exclusive: Australian SuperFund allocates to BGI and BlackRock 120/20 funds to allow opportunistic shorting in volatile times
- Institutions - $39bln Finnish pension Keva doubles up on hedge funds in July, plans on 2% target by 2009, Finnish supervisor slams heavy hedge fund exposure, AP7 picks Goldman Sachs` hedge fund replication strategy, Nippon Life Insurance to boost hedge fund investments
- Comment: Seeing the industry through the indices prism
- Fannie/Freddie Update - US takes control of Fannie and Freddie, to inject up to $100bln in each, Fed`s Bernanke endorses GSE`s move into conservatorship, Five facts about new Fannie, Freddie CEOs, Fannie Mae investor sues Citigroup, Merrill over stock drop, did not warn of accounting rule changes, Pershing Square Capital Management letter to Paulson on Fannie/Freddie
- Credit Crunch Update - Goldman cuts Merrill to `sell,` sees new writedowns, Morgan Stanley analyst says AIG may need to raise $15bln, Citigroup: the bad boy of finance, RBC pulled back from Lehman bid, Lehman Brothers, Merrill Lynch and Morgan Stanley could have gone belly up this year
- Exchanges - Exchanges say if they can clear CDS, it will help liquidity, NYSE Euronext to launch `Octopus`, India exchanges may see investment limits raised
- Legal - Ex-money manager sentenced to 24 years, offered a hedge fund `for the little guy`, Update: Bank of America says ready to settle on auction rates, Commentary: Muni swaps school board officials suit shows lack of solid explanation of vehicles from bankers
- People - Hall Capital Partners appoints Rick Grand-Jean as Director of Business Development, U.S. Eastern Region, Merrill Lynch lead independent director Cribiore tapped to become Vice Chairman of Citigroup investment bank, Third Point analyst Munib Islam departs, Pimco names El-Erian CEO; Thompson to retire in December, ADIC Asset Management announces key senior appointment with David Sanders, James Robertson new CEO at Invesco`s U.K. Business, Lehman cuts top executives Isaacs, Savaret and Morton in shake-up
- United States - Jim Rogers says crisis end is long ways away, maybe not in our lifetimes, Biggs says U.S. Stocks `close to a bottom`, Comment: Predicting a bottom, the two-ton Wall Street conflict of interest, Wall St week ahead: GSE rescue could scare bears
- Europe - UK Investors have paid hedge fund style fees for GTAA products but strategy has been disappointing
- Emerging Markets - Lloyd`s of London push into emerging markets, `the balance of power in the world has truly shifted`, A mixed outlook for investing in Africa
- Commodities - Energy and commodities prices continue to cause pain, Axa manager says bear market rally calls for portfolio resizing, Trichet detects investors` hand in oil price rise, OPEC Cartel members set to argue floor price, analysts warn of output cut `mistake`, Hurricane Ike threat stalls Gulf oil recovery, Storm Exchange Fall 2008 Weather Risk Outlook: 15-25% of US corn crop at elevated risk for frost damage; cool weather is a boon to retail sales; hurricane activity to drive energy price volatility
- Activist News - Time is ripe for activist investors to stir the pot
- News Briefs - Foreclosure auction set on former Lancer Group founder Lauer`s Greenwich mansion, Advent to acquire provider of research management solutions Tamale software, Bear buy-out arm to be renamed JPMorgan Private Equity
- ...And finally: Bizarre Product Warning Labels
- Logon: http://www.opalesque.com/index.php?act=archive
- Punter Southall Group in joint venture to form new FoHFs company, Grenfell PAI Guernsey Ltd, as first step to rapidly scale up alternative investment operations
- Opalesque Exclusive: Switzerland still discussing reduced taxes for hedge funds, date is nearing, Swiss to introduce tax breaks for hedge funds, aims to become third financial centre, Swiss tax regime lures London HF Krom, Zug tax regime paints an attractive picture
- Opalesque Exclusive: The outer rings of change, as the industry grows so does the power of community,
a look into hedge fund hedge fund associations
- Fund Launches - `Goldfinger` comes back, launches $5bln special situations HF, GAM launches systematic trading fund of hedge funds, Paulson & Co says financials ready for investment, launching Recovery Fund on Oct 1st, Ex-AIG manager launches emerging markets credit hedge fund, Gabelli to launch green fund, sees profit in alternative energy, Lehman to launch alternative asset allocation fund to help smaller schemes invest across alternatives, Former tech and semiconductor entrepreneur preps hybrid hedge fund
- Performance - Clarium bet against US Dollar, fund down -13% in August for biggest monthly loss
- Investors may fear hedge fund blow ups but hedge funds can fear their investors too: RCG FoF redeems from 36 hedge funds because key investor needs cash now, Stock market fears another hedge fund collapse, Comment: Hedge fund blow-up letters - Where are the apologies?
- 130/30 funds at 1,000bln by 2012, influx and demand for 140/40's expected to increase
- Opalesque Exclusive: Australian SuperFund allocates to BGI and BlackRock 120/20 funds to allow opportunistic shorting in volatile times
- Institutions - $39bln Finnish pension Keva doubles up on hedge funds in July, plans on 2% target by 2009, Finnish supervisor slams heavy hedge fund exposure, AP7 picks Goldman Sachs` hedge fund replication strategy, Nippon Life Insurance to boost hedge fund investments
- Comment: Seeing the industry through the indices prism
- Fannie/Freddie Update - US takes control of Fannie and Freddie, to inject up to $100bln in each, Fed`s Bernanke endorses GSE`s move into conservatorship, Five facts about new Fannie, Freddie CEOs, Fannie Mae investor sues Citigroup, Merrill over stock drop, did not warn of accounting rule changes, Pershing Square Capital Management letter to Paulson on Fannie/Freddie
- Credit Crunch Update - Goldman cuts Merrill to `sell,` sees new writedowns, Morgan Stanley analyst says AIG may need to raise $15bln, Citigroup: the bad boy of finance, RBC pulled back from Lehman bid, Lehman Brothers, Merrill Lynch and Morgan Stanley could have gone belly up this year
- Exchanges - Exchanges say if they can clear CDS, it will help liquidity, NYSE Euronext to launch `Octopus`, India exchanges may see investment limits raised
- Legal - Ex-money manager sentenced to 24 years, offered a hedge fund `for the little guy`, Update: Bank of America says ready to settle on auction rates, Commentary: Muni swaps school board officials suit shows lack of solid explanation of vehicles from bankers
- People - Hall Capital Partners appoints Rick Grand-Jean as Director of Business Development, U.S. Eastern Region, Merrill Lynch lead independent director Cribiore tapped to become Vice Chairman of Citigroup investment bank, Third Point analyst Munib Islam departs, Pimco names El-Erian CEO; Thompson to retire in December, ADIC Asset Management announces key senior appointment with David Sanders, James Robertson new CEO at Invesco`s U.K. Business, Lehman cuts top executives Isaacs, Savaret and Morton in shake-up
- United States - Jim Rogers says crisis end is long ways away, maybe not in our lifetimes, Biggs says U.S. Stocks `close to a bottom`, Comment: Predicting a bottom, the two-ton Wall Street conflict of interest, Wall St week ahead: GSE rescue could scare bears
- Europe - UK Investors have paid hedge fund style fees for GTAA products but strategy has been disappointing
- Emerging Markets - Lloyd`s of London push into emerging markets, `the balance of power in the world has truly shifted`, A mixed outlook for investing in Africa
- Commodities - Energy and commodities prices continue to cause pain, Axa manager says bear market rally calls for portfolio resizing, Trichet detects investors` hand in oil price rise, OPEC Cartel members set to argue floor price, analysts warn of output cut `mistake`, Hurricane Ike threat stalls Gulf oil recovery, Storm Exchange Fall 2008 Weather Risk Outlook: 15-25% of US corn crop at elevated risk for frost damage; cool weather is a boon to retail sales; hurricane activity to drive energy price volatility
- Activist News - Time is ripe for activist investors to stir the pot
- News Briefs - Foreclosure auction set on former Lancer Group founder Lauer`s Greenwich mansion, Advent to acquire provider of research management solutions Tamale software, Bear buy-out arm to be renamed JPMorgan Private Equity
- ...And finally: Bizarre Product Warning Labels
- Logon: http://www.opalesque.com/index.php?act=archive
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Misc. Items of Interest
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Funnies, Facts, Quotes, etc….
cosmopolite koz-MOP-uh-lyt, noun:
1. One who is at home in every place; a citizen of the world; a cosmopolitan person.
2. (Ecology) An organism found in most parts of the world.
2. (Ecology) An organism found in most parts of the world.
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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
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