Aug

31

Hedge Fund News: Friday, August 31

August 31, 2007 | Leave a Comment

If you’re new here, you may want to subscribe to my RSS feed. Thanks for visiting!There is a lot going on today with the subprime situation, etc.  So, for the sake of brevity, here are some of the more compelling headlines today …

Dispelling the ‘Bin Laden’ Options Trades [theStreet]
Star fund manager at Janus to […]

Aug

30

Hedge Fund Salaries and “Fairness”

August 30, 2007 | Leave a Comment

Dealbook reports on a couple of new studies that whine about hedge fund manager salaries being out of whack with the rest of the workers in the United States:
Last year, the top 20 hedge-fund and private-equity-fund managers earned more in 10 minutes than United States workers made the entire year, according to a report released […]

Aug

30

Debacles, Implosions and Fraud = the SEC

August 30, 2007 | Leave a Comment

Well, times are definitely a changin’.  The SEC continues to monitor the hedge fund industry for fraud and they now have a new rule meant to deal with it.  As the FT reports …
The five SEC commissioners in July voted unanimously to adopt a new rule clarifying hedge fund fraud. It prohibits advisers to investors in […]

Aug

29

Psycho Pile-Drives Investment Banker

August 29, 2007 | 1 Comment

Truly, as Percy Walker points out, it is open season on Wall Street types.  It seems that they might not be safe to walk the streets - no less attend spin classes.  Now granted, the victimized investment banker, Stu Sugarman …
“… grunted a lot, admittedly. He war-whooped. He hollered, “Great song!” and “You go, girl,” and […]

Aug

29

How NOT to Start Your Own Hedge Fund

August 29, 2007 | Leave a Comment

I have heard about these hedge fund “meet and greets” before, but this one sounded completely awful.  The Fourth Annual New York Hedge Fund Startup and Business Development Forum  (last year) sounds like a shopping mall for turn-key “solutions providers” hawking their wares with wanna be managers hoping to bump into a high net worth […]

Aug

27

And That’s The Week That Was

August 27, 2007 | Leave a Comment

Attached/linked please find And That’s The Week That Was…the Brounes & Associates market/economic commentary for the week ended August 24, 2007.  The summer is winding down; folks are planning for one last Labor Day vacation getaway; schools are back in session; the NFL season is upon us.  And, yet, the business news of the day […]

Aug

24

What Happened to Diversification?

August 24, 2007 | Leave a Comment

Matthew Rothman at Lehman Brothers recently published a research piece in order to explain why market neutral/statistical equity arbitrage funds were getting trounced in July and August.  In short he concluded that a massive unwind of positions by multi-strategy funds and other forced sellers has caused systemic perverse performance of factor models (i.e., even though […]

Aug

22

Oh Where oh Where Have all the IPOs Gone?

August 22, 2007 | Leave a Comment

With the exception of KKR Financial Holdings LLC’c (ticker: KKN) latest $230 million capital raise (which was actually not an IPO, but a follow on offering), the hedge fund IPO and public market activity seems to have come to a grinding halt.  Word on the street from a number of investment bankers specializing in this […]

Aug

21

Healthy Intervention versus Fiscal Imprudence

August 21, 2007 | Leave a Comment

So the Fed lowered the enigmatic “Discount Rate”, in an effort to provide liquidity into a floundering system.  I hate to say it, but doesn’t this send a bad message to all market participants along the lines of: “Don’t worry about it.  Keep chasing risky assets and compressing spreads to unreasonable tights.  If we have […]

Aug

18

And That’s The Week That Was

August 18, 2007 | Leave a Comment

Attached/linked please find And That’s The Week That Was…the Brounes & Associates market/economic commentary for the week ended August 17, 2007.  What’s the best way to ruin a vacation…more negative news in the markets.  (On that note…please excuse any typos.)  With the subprime issue now spreading to commercial paper, money market funds, and other more […]

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