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Web Pioneer Keeps Faith, and Cash, in Bitcoin

| March 25, 2014 | 0 Comments

Marc Andreessen Is Betting on Wide Adoption of Digital Currency Bitcoin

March 21, 2014
Internet pioneer Marc Andreessen is doubling down on bitcoin amid turbulence in the virtual-currency world, in a bet that widespread adoption of the currency will fuel the growth of new businesses and technologies.
Venture-capital firm Andreessen Horowitz, where Mr. Andreessen is a co-founder and partner, has made about $50 million of investments in the area—believed to be more than any other firm—from a $1.5 billion fund, the firm says. The Palo Alto, Calif., firm plans to invest hundreds of millions of additional dollars over the next few years from other funds, people familiar with the firm say.
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Inside the Showdown Atop The World’s Biggest Bond Firm

| March 25, 2014 | 0 Comments

Feb. 24, 2014
NEWPORT BEACH, Calif.—Tension increased at Pacific Investment Management Co.’s headquarters here last summer. The bond market was under pressure, losses grew and clients pulled billions of dollars from the firm.

Bill Gross, who co-founded Pimco in 1971 and is largely responsible for building it into a behemoth overseeing almost $2 trillion in assets, struck some of his colleagues as testier than usual. He argued openly with Mohamed El-Erian, Pimco’s chief executive—something employees say they rarely had seen.

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Filed Under: Financial News, Trades

Worried About a Bear Market In Bonds? Here’s What You Can Do

| March 5, 2013 | 0 Comments

Q: Are there ways to protect a portfolio from a bear market in bonds?

A: There’s growing concern in bond land. The stock market is firming, some investors are shifting cash from bonds to equities, and interest rates, still near all-time lows, likely will move higher over the next few years if the economy keeps improving, analysts say. That would push bond prices, which move in the opposite direction of rates, lower.
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Filed Under: Articles, Financial News

Stocks Testing Records—But There’s Still Room to Run

| March 5, 2013 | 0 Comments

By GREGORY ZUCKERMAN
The market is surmounting a wall of worries to approach all-time highs. The best news: There are reasons to think the good times will continue.
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Filed Under: Articles, Financial News, Trades

‘London Whale’ Sounded an Alarm on Risky Bets

| March 5, 2013 | 0 Comments

By DAN FITZPATRICK, GREGORY ZUCKERMAN and SCOTT PATTERSON
The J.P. Morgan Chase JPM +0.79%& Co. trader known as the “London whale” tried to alert others at the bank to mounting risks months before his bets ballooned into more than $6 billion in losses, according to people familiar with emails reviewed by J.P. Morgan and a U.S. Senate panel.
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Filed Under: News, Trades

Paulson Holds on to Gold Bet as Others Dump Yellow Metal

| March 5, 2013 | 0 Comments

By GREGORY ZUCKERMAN
John Paulson still believes in gold.

That has been a painful stance lately. But Monday finally brought some good news for the well-known hedge-fund manager and other gold bulls.
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Filed Under: Gold, John Paulson

The hottest trade on Wall Street–Betting against the Japanese Yen

| March 5, 2013 | 0 Comments

By GREGORY ZUCKERMAN
Some of the biggest U.S. hedge-fund investors have made billions betting against the yen, exploiting Japan’s determination to weaken its currency and boost its economy.

Wagering against the yen has emerged as the hottest trade on Wall Street over the past three months. George Soros, who made a fortune shorting the British pound in the 1990s, has scored gains of almost $1 billion on the trade since November, according to people with knowledge of the firm’s positions. Others reaping big trading profits by riding the yen down include David Einhorn’s Greenlight Capital, Daniel Loeb’s Third Point LLC and Kyle Bass’s Hayman Capital Management LP, investors say.
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Filed Under: Trades

The $300 Million Blunder

| March 26, 2011 | 0 Comments

Jabre Bought Japanese Shares After Quake, but Bailed Too Soon, Missing Rebound
By GREGORY ZUCKERMAN

Few investors have made as many mistakes navigating markets over the past two weeks as Philippe Jabre.

Mr. Jabre, one of Europe’s best-known hedge-fund managers, bought Japanese stocks on news of the earthquake, and then suffered when the Nikkei Stock Average quickly tumbled 13%. Making matters worse, Mr. Jabre got nervous and sold his shares last week, just before a rebound in Japanese stocks. The miscues cost his firm about $300 million, the worst few days of his career.

But as Mr. Jabre reflects on his decisions, he isn’t sure he made many mistakes.

“I keep thinking about it, what could I have done differently?” said Mr. Jabre, who manages $6 billion hedge fund Jabre Capital Partners SA. “I spent all last weekend asking questions” of friends, colleagues and clients, he said. “We couldn’t take the risk of the Tokyo Stock Exchange closing down, so we sold” Japanese shares.

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Filed Under: News, Trades

‘Macro’ Traders Ride Yen’s Volatility

| March 18, 2011 | 0 Comments

By GREGORY ZUCKERMAN

As financial markets struggle to digest the catastrophic effects of Japan’s earthquake, growing violence in the Middle East and resulting jolts to global economies, traders like John Brynjolfsson and Samer Nsouli are engaged in a furious fight to try to stay ahead of events.

Wednesday afternoon, Mr. Brynjolfsson was in the lobby of a Denver office building, waiting to meet a potential investor for his hedge fund, Armored Wolf LLC. Rather than review notes for the meeting, however, Mr. Brynjolfsson couldn’t take his eyes off a television screen flashing market prices.

Soon he was calling contacts at Wall Street banks, searching for information about what he describes as “a freefall panic” in currency markets that sent the yen soaring to its highest level in years, and the dollar tumbling, all between 5:10pm to 5:20 Eastern time on Wednesday.

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Filed Under: News

Trader Racks Up a Second Epic Gain

| January 28, 2011 | 0 Comments

$5 Billion Profit for John Paulson
By GREGORY ZUCKERMAN

Hedge-fund manager John Paulson personally netted more than $5 billion in profits in 2010—likely the largest one-year haul in investing history, trumping the nearly $4 billion he made with his “short” bets against subprime mortgages in 2007.

Mr. Paulson’s take, described by investors and people close to investment firm Paulson & Co., shows how profits continue to pile up for elite hedge-fund managers. Appaloosa Management founder David Tepper and Bridgewater Associates chief Ray Dalio each personally made between $2 billion and $3 billion last year, according to investors and people familiar with the situation. James Simons, founder of Renaissance Technologies LLC, also produced profits in that range, say investors in his firm.

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Filed Under: Gold, John Paulson, News, Trades