Main News

 

Why Was Lehman Brothers Rated 'A'?<http://now.eloqua.com/e/er.aspx?s=795&lid=7764&elq=5C1DBB9E499A4FF8B7580EAD38B0F433>

 

Industry Report Card: Federal Home Loan Banks Continue To Prosper Amid Housing Market Turmoil<http://now.eloqua.com/e/er.aspx?s=795&lid=7755&elq=5C1DBB9E499A4FF8B7580EAD38B0F433>

 

HEDGE FUNDS IN FIGHT TO RECOVER ASSETS

By Jennifer Hughes, James Mackintosh and Megan Murphy in LondonPublished: September 23 2008 23:30 | Last updated: September 23 2008 23:30

Hedge funds have started the first of what is expected to be a series of legal actions against administrators of the main European arm of Lehman Brothers in an effort to recover $40bn of assets frozen when the business collapsed last week.

RAB Capital sued in the UK High Court this week demanding the return of $50m held by the failed bank on behalf of one of its smaller funds.

This article can be found at:

 

Another cloud has emerged over the $700 billion rescue plan: What if Treasury Secretary Henry Paulson is wrong about home prices, and the market is right?

 

Eternal sunshine for the spotless hedge fund
http://www.ipe.com/news/Eternal_sunshine_for_the_spotless_hedge_fund_29232.php

 

Man asks to be put on short list
Sep 23 2008 23:05
Man Group has asked to be added to the list of stocks in which short selling is banned, following fears that rival hedge funds unable to short banks and insurers are picking on it Read more »

 

Information-hungry stay glued to CNBC
Sep 23 2008 22:52
In an age when online bloggers are supposed to have increasing sway over the news agenda, the credit crisis has instead seen Wall Street and City traders and executives glued to cable television Read more »

 

Shorting ban raises liquidity fears
Sep 23 2008 21:36
Trading volumes in financial stocks could dry up after the computer-driven hedge funds – the biggest traders in stock markets – have been hit by bans on short selling Read more »

 

CreditSights: CDS Implications & TARP Testimony -

Stories in newspapers and on television have made the CDS market the latest whipping boy in week of unsettling events.  In CDS: A Market with More Questions than Answers, CreditSights' senior strategist Louise Purtle and structure products/derivatives analyst, Brian Yelvington look at the issues facing the CDS market today and what may be the possible changes and implications to that space post-credit crisis. In another area of overwhelming concern, CreditSights Senior Financials analyst, Dave Hendler takes a look at the testimony of Secretary Paulson and Chairman Bernanke yesterday in U.S. Banks: TARP Testimony: Start/Sputter Bank Restructuring Process?.  Questions abound regarding the final details of the proposed bailout regarding the pricing of the assets, firms eligible to participate and the mechanism employed but the program could ultimately determine the fate of banks like Wachovia and Washington Mutual.

 

Hedge Fund Problems Still Loom
By: Reuters
Posted: 09/24/2008 3:35:55 PM ET
http://www.hedgeworld.com/news/read_news.cgi?section=peop&story=peop3600.html

 

Posted by Equity Private, Sep 24, 2008, 12:07pm

S&P 500 Index v. UltraShort S&P500 ProShares ETF. Ouch. Thanks Cox.

 

Hedge Fund Tracking: Tudor Investment Corp. (Paul Tudor Jones) by Market Folly

 

Tremblant Capital Group Discloses 9% Stake in PharmaNet Development Group by Market Folly

 

Hedge Funds Finding New Ways to Short by David Enke

 

Hedge Funds Are Suffering Too by Trader Mark

 

SEC's Cox says "voluntary regulation doesn't work"
Securities and Exchange Commission Chairman Christopher Cox said during a Senate Banking Committee hearing Tuesday that "voluntary regulation doesn't work." He said he is seriously concerned that no government agency has regulatory authority over investment banks. He wants the SEC to be granted authority to require disclosure statements as well as power over products such as credit-default swaps. InvestmentNews (23 Sep.)

 

Global Food Prices Rebound, With Exceptions. September 24, 2008 | 2005 GMT. Indian farmer in flooded rice paddy. SAM PANTHAKY/AFP/Getty Images ...

 

Money-Market Funds Hang In There
Financial advisers say money market funds remain a good choice for consumers seeking liquid investments, compared to bank accounts and certificates of deposit.

 

Sep 23, 2008 ... Harbinger Falls 12% in September, Erasing Most Gains (Update2). By Katherine Burton and Saijel Kishan. Sept. 23 (Bloomberg) -- Harbinger ...

 

U.S. Hedge Fund Paulson Bets Big Against U.K. Banks
By: Reuters
Posted: 09/24/2008 2:16:43 PM ET
http://www.hedgeworld.com/news/read_news.cgi?section=dail&story=dail15282.html

 

Ramius Reports Assets Tied Up in Lehman
Marketwatch.com - Wednesday September 24, 10:28 BST

 

 

China: Geopolitics in Economic Priorities
September 24, 2008 0459 GMT
Rounding out a three-part discussion of China and its geopolitical imperatives, senior analyst Rodger Baker and Marla Dial focus on China’s economic challenges and factors influencing Beijing’s policy decisions.
http://www.stratfor.com/podcast/china_geopolitics_economic_priorities

 

 

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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/TRChagupitjangmi268_GJ.jpg

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Iranian Situation and Other Man Made Disasters

 

Israeli president blasts Iran at UN
AFP via Yahoo! News Wed, 24 Sep 2008 11:03 AM PDT
Israeli President Shimon Peres on Wednesday blasted Iran, accusing the Islamic Republic of being "at the center of violence and fanaticism," during an address to the UN General Assembly.

 

Russia backs off from cooperating with U.S. on Iran
International Herald Tribune Wed, 24 Sep 2008 10:45 AM PDT
Russia has announced that it will not participate in a meeting with the United States this week to discuss Iran's nuclear program, the most significant indication yet of how Russia's war with Georgia has spoiled relations regarding other security issues.

 

France still wants six powers to meet on Iran
AFP via Yahoo! News Wed, 24 Sep 2008 6:25 AM PDT
France still hopes the six world powers leading an international response to Iran's nuclear programme will meet this week, despite Russian reluctance, the foreign ministry said Wednesday.

 

 

Dara and Sara - Iran's Islamic alternative to Ken and Barbie

 

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Opalesque’s Corner

 

- Opalesque Exclusive: The Quants are back - told they should diversify, use enhanced proprietary models and better risk management at QuantInvest (day 1)
- Opalesque Exclusive: Hedge fund replicators as liquidity boosters for funds of hedge funds
- Launches - Singapore`s Chirin Capital to launch Absolute Alpha Fund to invest in Asia ex-Japan, SGAM AI launches first hedge fund performance emulating ETF
- Performance - Sextant Capital`s water hedge fund is up 9.4% in August, +97.5% YTD, Harbinger Capital loses 12% in September, up 2% YTD, Pickens funds down about $1bln this year
- The Hedge Fund of Funds Special Report shows institutionally focused FOF firms thrived, assets rose +31% from June 2007 to June 2008
- Hedge funds +1.49% on Friday fail to keep pace with others, +8.8% surge in the FTSE 100 index
- Moody`s rates four Marshall Wace hedge funds `OQ1: Excellent`
- Sharia Investing - Dubai Govt invests $150m in 3 commodity-related hedge funds, Deutsche Bank to launch sharia hedge fund platform
- Mentor Capital, Inc. announces 12.5% stock buyback
- Hedge funds still see value in Hollywood, Elliott Associates doubles investment in Relativity Media
- Asset backed securities lure hedge funds
- M&A - Banque Privee Edmond de Rothschild and Standard Chartered to collaborate in alternative investments, Chartered shareholders invited to join LCF Edmond de Rothschild PriFund, Singapore based Fullerton and China based Bosera form investment partnership, Buffett to take $5bln stake in Goldman
- Short selling bans and hedge funds - Odey Asset Management and others reveal shorting financials, Arbitrage disruption hits hedge funds, John Paulson was largest shorter of British banks, Man Group asks to go on `no short` list, Short selling ban `misguided` - Eric Sprott, Australian hedge fund, 130/30 managers prepare for rough month after shorting ban, Short attack may spur US hedge funds to follow UK funds and take legal action against government regulators, JMP Securities chooses to leave short selling protection list, Comment: Should hedge funds protected by emergency short selling ban opt out of protection?
- Short selling regulation - Pakistani authorities stop short-selling in stocks, Greece announces new regulations on short selling, to flag short sales and make public on daily basis, Australia regulatory agency issues further clarification to short selling restrictions, Chairman of South African Investment Management Association says short selling should not be an issue of concern for hedge fund industry, Short sellers have been the villain for 400 years
- Other Voices: A violation of public trust and a display of professional incompetence
- Credit Crunch - Hedge funds shy from Bush`s Wall St. bailout, MFA`s Baker: `unlikely that they would include us`, Bailout debate mulls making Wall Street pay, Bernanke says global markets under `extraordinary stress`
- Regulatory - European Parliament supports tougher regulation of hedge funds
- Credit Default Swaps - SEC chief Cox urges Congress for further regulation of credit default swaps, Just as Warren Buffett warned about financial derivatives in 2003, former industry whiz Satyajit Das has spent decade preaching against instruments
- People - The Financial Services Authority (FSA) today announced the appointment of two new senior advisors, CPA firm Rothstein Kass expands with promotion of 10 new Principals across four locations, Mercer appoints Nick White as new Director of Consulting, to drive investment innovation in Asia Pacific
- Opalesque Exclusive: Phoenix Fund Serivces wins fund administration mandate to service Lindsell Train`s $30m offshore L/S fund business
- Lehman - Nomura buys Lehman`s Europe/Middle East operations, Update: US buyout groups bid for Lehman`s investment management arm, GLG goes to court over Lehman US sale, Lehman unit sued over $17m posted as collateral in swap, Ramius has some assets tied up in Lehman unit, Asian retail investors urge help for Lehman structured product losses, RAB leads the way as hedge funds take first steps for legal actions to recover Lehman assets, Central counterparty to significant Lehman trades says default being successfully managed, LCH.Clearnet says `Lehman is most complex and challenging default in our history`, Analysis of $2.5bln aside for potential severance and retention costs shows Barclays may cut 5,000 Lehman jobs
- Legal - Judge dismisses lawsuit of Jayhawk Capital against Primarius over fraud charges
- Sovereign Wealth Funds - Singapore`s GIC turns to emerging markets and private equity for boost in returns
- North America - Canada expects country`s commodities- and energy-leveraged economy should benefit from the US bailout, FBI investigating potential fraud at Fannie, Freddie, Lehman and AIG, US bailout could place Treasury secretary `above the law`, As giants of Wall Street topple, smaller, nimbler rivals move in, Jeffries, Lazard and Evercore wait in the wings, Nobel Laureate and LTC co-founder Merton says $4tln lost as home prices fall
- Europe - Opalesque Exclusive: Prime Minister of Georgia`s economics presentation
- Asia - Investment write downs by Hong Kong listed banks will depend on US credit market recovery
- Environmental Investing - Schroders Climate Change Fund opens To Mexican investors, in bid to attract $80m, Japan to buy excess Czech emissions allowance, Attempts to create International Court of the Environment underway in London
- Commodities - Read Opalesque`s free daily commodities publication, the Opalesque Commodities Briefings, Oil falls below $107 after record one-day surge, CFTC said to subpoena traders after spike in Nymex oil contract, Iraq strikes gas deal with Shell giving firm 49% stake in venture, Shell poised to sign deal with Kazakhstan on oil joint venture, field believed to contain 38bln barrels
- News Briefs - KKR loses $1.1bln in first 6 months, Hedge fund manager suit against rapper Sean Combs tossed out of court, Automakers lobbying for inclusion in Treasury plan, Goldman Sachs named a 2008 Working Mother 100 Best Company by Working Mother Magazine
- ...And finally: `Nice, fatty` Tuscany sausage causes chaos at Stockholm airport
- Logon: http://www.opalesque.com/index.php?act=archive

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Misc. Items of Interest

 

Neuroscience Sheds New Light on Creativity | by Gregory
Berns
What neuroscience reveals about how to come up with new
ideas.
http://trax.fastcompany.com/k/w/mailman/fasttake/20080924/rewiring_creativemind

Iconoclasts: The Top Five Creative Minds | by FC Staff
They do what others say can't be done. How? By seeing
things differently.
http://trax.fastcompany.com/k/w/mailman/fasttake/20080924/iconoclasts

It's Just an Illusion | by FC Staff
How our brain's shortcuts can work against us.
http://trax.fastcompany.com/k/w/mailman/fasttake/20080924/ponzo_scheme

 

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Funnies, Facts, Quotes, etc….

 

numismatics oo-miz-MAT-iks; -mis-; nyoo-, noun:

the collection and study of money (and coins in particular).

 

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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.