Salient to Investors: quick cash edge Jonathan Weil writes: China is a kleptocracy run by, and for the benefit of, the Communist Party elite, who have allowed securities fraud to flourish, and routinely obstructed overseas regulators’ investigations. Tiny research firm Muddy Waters has done more to expose Chinese stock scams than
READ MORE... →Salient to Investors: Swindon manager Paolo Di Canio says: The new generation has grown up with the idea that you are intelligent and more clever than others if you benefit from a bad action or situation. In football, we will not see many acts of good sportsmanship in the future.
READ MORE... →Salient to Investors: Goldman Sachs’ Multi-Strategy Investing team’s survival shows how Goldman Sachs has worked around regulations curbing proprietary bets at banks. Matthew Richardson at NYU said the law does not bar longer-term wagers so leaves room for other risky investments. Richardson said from a systemic-risk perspective, it’s longer-term holdings which are
READ MORE... →Salient to Investors: John Paulson said the euro would fall apart and bet against the region’s debt. Morgan Stanley predicted the S&P 500 would lose 7 percent and Credit Suisse predicted wider swings in equity prices. Warren Buffett called bonds dangerous. The largest banks and most-successful investors failed to anticipate how government actions would influence
READ MORE... →Salient to Investors: Yale and University of Chicago research shows bank customers in South Africa accepted a higher rate of interest on loans when a photo of an attractive woman was included in the offer letter. Not linking the loan to a specific use also affected demand, as did the number of example
READ MORE... →Salient to Investors: Carson Block at Muddy Waters said he stopped betting against Chinese companies this year after government agents hindered his analysts and harassed workers at his storage company in Shanghai. Block says China is protecting frauds by making it difficult to research short sale candidates, and has used intelligence and police agencies to deter
READ MORE... →Salient to Investors: William D. Cohan writes: Mary Schapiro did a lousy job as head of the SEC, of protecting investors from the likes of Bernie Madoff, of holding Wall Street accountable for their extraordinarily bad and criminal behavior leading up to the 2007 and 2008 financial crisis. Obama has added insult to injury by
READ MORE... →Salient to Investors: Since 2008, at least 94 of the 400 people sued by regulators or charged with insider trading passed or received tips involving pharmaceutical, biotech or other health-care stocks. Read the full article at http://www.bloomberg.com/news/2012-11-27/harvard-doctor-turns-felon-after-lure-of-insider-trading.html
READ MORE... →Salient to Investors: Kweku Adoboli, the former UBS trader jailed over losing $2.3 billion, said: Financial leaders such as Jamie Dimon, Bob Diamond and Yassine Bouhara all lost large amounts of money at some point in their careers. (Bloomberg couldn’t couldn’t confirm whether they had substantial losses earlier in their careers.) The more senior you are
READ MORE... →Salient to Investors: Markets are awash in insider trading, and healthcare has been particularly hard-hit since it offers illegal traders more opportunities to profit than the finance and technology sectors. Health companies can live or die on the results of drug trials and the industry has undergone significant consolidation. What’s notable about
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