Main News

 

Wealth, Risk Management And Hedge Funds Buck Wall Street Job Cuts
CNNMoney.com - USA
Despite their recent weak performance, some of the bigger hedge funds are still looking to pluck bankers away from firms beaten down by the credit and ...

 

Physiology of Fear
Scientists who study fear—of bosses, rivals, risk, or failure—are developing techniques to control it. Read More

 

U.S. Government to Arrange Sale of Struggling Lehman Brothers
Treasury Department, Federal Reserve are engineering sale of the Wall Street investment bank through a consortium of private firms.

 

Fannie, Freddie and Lehman
Two financial giants are rescued; a leading investment bank totters

 

Geopolitical Diary: Russian Maneuvers and the U.S. Reaction
September 11, 2008 0156 GMT
Russia and the United States are sending political messages to each other with military moves and countermoves.
http://www.stratfor.com/geopolitical_diary/geopolitical_diary_russian_maneuvers_and_u_s_reaction

 

Georgia, Russia: South Ossetia and Abkhazia's Options. September 11, 2008 | 2131 GMT. South Ossetian President Eduard Kokoity and Abkhazian President Sergei ...

 

Conflict fear over Arctic borders *
A senior US Coast Guard commander warns of conflict in the Arctic unless border disputes are resolved.
Full story:
http://news.bbc.co.uk/go/em/-/1/hi/sci/tech/7606132.stm

 

Why Buffett Called Credit Swaps "WMDs" [Housing Tracker] by SA Editor Judy Weil

 

All About Hedge Funds - Cramer's Stop Trading! (9/10/08) by SA Editor Joan Wickham

 

Hedge Funds Separate Secular Beta From Spiritual Alpha by Christopher Holt

 

 

Feted for its shrewd handling of the money-market crisis that engulfed the euro zone in the summer of 2007, the European Central Bank is in danger of damaging that hard-won credibility by wrecking the region's growth prospects.
http://online.wsj.com/article/SB122114086695423401.html?mod=djemheard

 

Will Catastrophe Events Create Liquidity Strain For Property/Casualty Insurers?<http://now.eloqua.com/e/er.aspx?s=795&lid=7322&elq=E030A9A03B02458BABB4E767C080EA99>

 

The performance of China's banks will be hard to sustain have now that economic growth has moderated. However, there are few signs the banks have excessive exposure to problematic sectors.
http://online.wsj.com/article/SB122110610505722857.html?mod=djemheard

Bad decisions only tip of RAB fund’s iceberg
Financial Times Thu, 11 Sep 2008 9:20 AM PDT
Two years ago Philip Richards, the “R” in RAB Capital , was on a roll. Booming commodity markets and easy access to finance had bolstered his hedge fund strategy of buying into small private mining and energy companies and helping them float, and he was ready to look further afield.

 

Soros Fund Loss On Lehman May Be $120M
The New York Sun Wed, 10 Sep 2008 8:25 PM PDT
Billionaire George Soros's hedge fund may have lost at least $120 million on its stake in Lehman Brothers Holdings Inc., mostly acquired in the second quarter, as the investment bank suffered its worst financial result. Soros Fund Management LLC, which manages $20 billion, purchased 9.47 million shares, or about 1.4% of New York-based Lehman, between March 31 and June 30, according to a filing ...

 

Hedge fund's Chanos: Financials have seen the worst
Reuters - Thursday September 11, 09:39 BST

 

Warren Buffett's happy housing story
CNNMoney.com - USA
... making or buying a loan, it costs us money, not some buyer thousands of miles away who ends up with an RMBS, CDO, or (horror of horrors) a CDO squared. ...

 

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Yield Curve Corner

 

REAL TIME ECONOMICS
Wall Street Journal Blogs - New York,NY,USA
Fed Chairman Ben Bernanke, while strongly defending the Bear rescue, acknowledges the risks from the government action. Without “countervailing” action to ...

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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/TRCike255_N7.jpg

 

United States: Hurricane Ike's Possibilities. September 11, 2008 | 1844 GMT. satellite image of Hurricane Ike. NOAA via Getty Images ...

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Iranian Situation and Other Man Made Disasters

 

Iran: Tehran and the West Play Hard To Get. September 11, 2008 | 1659 GMT. Iranian Deputy Foreign Minister Mehdi Safari. ROBIN UTRECHT/AFP/Getty Images ...

 

Iran rejects US shipping accusations
AFP via Yahoo! News Thu, 11 Sep 2008 9:58 AM PDT
Iran on Thursday rejected US accusations that the Iranian shipping company IRISL was involved in Tehran's alleged nuclear weapons programme, the official news agency IRNA reported.

 

UAE-Iran gas deal stalls
UPI Thu, 11 Sep 2008 11:36 AM PDT
TEHRAN, Sept. 11 (UPI) -- Iran and the United Arab Emirates postponed negotiations on a deal to export natural gas from the Iranian Salman field, citing pricing concerns.

 

200 villages destroyed' as quake hits Iran
CNN.com Wed, 10 Sep 2008 4:46 PM PDT
A strong earthquake measuring 6.1 in magnitude struck southern Iran on Wednesday, according to a report from the U.S. Geological Survey.

 

Iran: Ahmadinejad to address UN on 23 September
Adnkronos Thu, 11 Sep 2008 10:32 AM PDT
Iran: Ahmadinejad to address UN on 23 September (AKI) - Iran's hardline president Mahmoud Ahmadinejad on Thursday announced he will address address the United Nations General Assembly in New York on 23 September.Ahmadinejad (photo) made the announcement on the seventh anniversary of Al-Qaeda's deadly 11 September 2001 attacks on US cities, which killed nearly 3,000 people.Besides ...

 

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Opalesque’s Corner

 

- Launches - Fortis launches clean energy fund, Tudor names new IM business `Stone Lion`, Tudor debuts EM credit fund
- Possible Closures - Packer`s Ellerston GEMS offers scheme to cash out of fund, Update: RAB threatens to close flagship fund, Lakshmi Mittal is special sits loser,
- Opalesque Exclusive:  Inside the industry`s dreary August performance, some funds which fought the trends posted gains
- Performance - IMF: Tight credit, falling stocks a lethal mix for hedge funds, stand to lose more than $100bln, Cathartic times for fund of hedge funds, which are found to be highly correlated to traditional markets
- Assets - TrimTABS / Barclayhedge: Investors put $10.4bln into hedge funds in July, less than the $16.1bln put in June, Eric Sprott sees record net sales in Q3 even as stocks fall, Update: Pamplona eyes investments for credit fund
- Indices - Palomar Structured Credit Hedge Fund Index down -2.18% in July, Markit to launch new subprime ABS index in October
- Deutsche Bank to buy 40% stake in Russian asset manager UFG Invest, Opalesque Exclusive: Yesterday`s `Dear Investor` letter from UFG
- Report: Asset management M&A up 28% first year-half
- Strategies - Hedge funds Harbinger, Highbridge move into cash, reduce leverage, Getting harder to hedge: The case of Sage Opportunity hedge fund`s reversal of fortune, Hedge fund manager Jim Chanos sees financial stocks past worst, Jim Chanos, world`s biggest short-seller (video)
- How many hedge funds have valuation processes?
- Regulatory - CFTC may force banks to report energy swaps
- Tax Update - US Senate claims top financial institutions help non-US investors avoid tax by marketing `abusive` offshore transactions, Street firms accused of tax scheme, report to be released tomorrow
- Legal - Fairfax claims legal victory with US hedge funds after broker Morgan Keegan fires embroiled analyst,  Update: RBS pulled Merebis hedge hund investment over risks, court told, Update: Bank of America settles an auction-rate probe
- Institutions - US GAO: Pension plans need advice on hedge funds as they invest more and more, CalPERS to decide on renewing 23 managers, Insurance CEO won`t invest like `sailor on leave`, will invest in bonds rather than PE and hedge funds
- Lehman Update - Lehman reports $4bln loss, plans asset sales, Lehman`s Fuld faces pressure to land deal after drop, Lehman faces hard bargaining to sell Neuberger, Soros loses at least $120m from Lehman stake, Fed loans may give Lehman breathing room Bear lacked
- Fannie, Freddie Update - Fannie, Freddie derivatives default may trigger dealer losses, Fannie raises $7bn in two-year issue, Insurers face CDS loss on Fannie, Freddie, Pimco`s Gross praises GSE takeover (video), Citigroup takes $450m hit from Fannie and Freddie
- Credit Crunch Update - WaMu plunges as short sellers move in
- Credit Suisse and Gerson Lehrman Group announce strategic alliance
- People - Cohen`s SAC hires Karsch`s Aaron Cowen, opens flagship to new clients, FrontPoint hires Andor veteran Mark Bertagnolli, Sagres promotes Antonio Luise to managing director, Ex-Bear Stearns CEO Schwartz lands at Rothschild, Lincoln Vale names Daniel Shapiro a partner in London, Finisterre expands investment and financial administration teams due to asset growth, Hedge Funds Care board elects John Budzyna as president and chairman for next two years
- Opalesque Exclusive: HF moves to Ireland and Switzerland mean London`s success story might be over, says Laven Partners`s Lussan
- Europe - Asset management in Europe to downsize due to outflows, EU lawmakers set to water down market rules, UK Chancellor attacks financial sector bonus culture, `one of the main causes of market turmoil`, View: Russian government bonds still attractive
- Middle East - MENA hedge fund Evolvence wary on Gulf utilities, likes banks
- Asia - Mehraj Mattoo sees hedge fund growth on Asian market slowdown (video), Hong Kong stocks fall, led by banks on credit-loss concerns
- Emerging markets see massive outflow, highest level since 1995
- North America - McKinsey: US asset management industry will have to work harder to generate sales, Tabb Group: US funds focus on risk in OTC markets
- Commodities - Read Opalesque`s free daily commodities publication, the Opalesque Commodities Briefings, Long energy, Weston`s Albert Hallac says, Speculation drove oil market up, then down - Masters Capital Management report, For Pictet, money does grow on trees: timber fund on offer worldwide, Comment: Leverage hedge funds are major drag on commodities
- Other Voices: Oil below $100 - Big implications for the USA include drop in inflation and trade improvement
- Exchanges - CME Group to open early on Sunday for energy products due to Hurricane Ike, Trading platform Chi-X in Australia / Asia push, ASX under fire
- Events - Ben Shoval, the Hedge Fund Comedian, performing two shows tonight, 100-Women-In-Hedge-Funds` walk for breast cancer cure this Sunday in NYC, EDHEC Alternative Investment Days in London on December 9-10 to centre on integration of alternative assets in institutional portfolios
- News Briefs - Brokers GFI Group, Tullett Prebon end merger talks, Old Mutual chief resigns amid writedowns, Credit Agricole to cut 500 Calyon jobs, NZ cuts key rate, kiwi tumbles
- ...And finally: Vet says puppy that ate 6 pounds of rocks should be fine, as long as he doesn`t try to go swimming
- Logon: http://www.opalesque.com/index.php?act=archive

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Misc. Items of Interest

 

The world's greatest cyclist
Our obituary of a man who survived soldiers, soldier ants and sleet that cut his face like steel

 

Investment Performance Reporting: From Obligation to Differentiator
By: Alan Fish and Daniel New, Ernst &amp; Young
Posted: 09/11/2008 11:45:34 AM ET
http://www.hedgeworld.com/news/read_news.cgi?section=edsk&story=edsk303.html

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Funnies, Facts, Quotes, etc….

 

evanescent ev-uh-NES-unt, adjective:

Liable to vanish or pass away like vapor; fleeting.

 

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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.