Wednesday, May 23, 2007

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 Top Stories


Hedge Fund Figure Leaves Merrill Lynch
Source: The New York Times
Merrill Lynch said yesterday that Ben Weston, the chief of its hedge fund development and management group, left the firm after two years. More...

$1 Million Gotham Prize Launched by Leading Scientists, Hedge Fund Managers to Encourage Innovation in Cancer Research
Source: PR Web
A group of leading scientists and hedge fund managers today announced the creation of the "Gotham Prize for Cancer Research" (Gotham Prize), an annual award designed to encourage new and innovative approaches to cancer research by fostering collaboration among top thinkers in the field. More...


Renaissance hedge fund: Only scientists need apply
Source: Reuters Italia
Wall Street traders and analysts take note: don't bother applying to work at Renaissance Technologies, the $30 billion (15 billion pound) hedge fund manager whose assets could reach $100 billion in coming years. More...

Hedge fund firms dig deep for Tories
Source: Times Online
The fundraisers of the Conservative Party, led by Michael Spencer, the City entrepreneur and new Tory Treasurer, have alighted on a rich new seam of donors – hedge fund managers. More...

More of Today's Stories continued below...  or  Today's Stories unabridged on the web

  Term of the Day & Related News

Fixed-Income Arbitrage

Fixed income arbitrage attempts to capture mispricings which develop between related classes of fixed income securities — mispricings which may be exploited, on a leveraged basis, for significant returns. This general strategy type includes basis (e.g., cash vs. futures), yield-curve and credit spread trading, as well as volatility arbitrage. An unusually high degree of leverage is often available, and often emphasized, in fixed income arbitrage. More...
 
Related News:

Deutsche Bank hires Goldman director
Source: Bob's Guide
Deutsche Bank has appointed Luciana Miranda as managing director in the fixed-income prime brokerage group within the bank's global markets division.
More...

BlackRock offers its best fixed income ideas
Source: Citywire
BlackRock, which runs around $456 billion (£228 million) in bond funds, has launched a best ideas fixed income fund for the UK retail market.

The BlackRock Fixed Income Global Opportunities (FIGO) is part of the firm’s Luxembourg-domiciled umbrella. It is managed by BlackRock co-heads of fixed income, Keith Anderson and Scott Amero.
More...

  Scholarly Article & Related News

Market Dynamics and Investment Performance of Distressed and Defaulted Debt Securities
by Edward I. Altman
The market for investing in distressed and defaulted debt is continuing to receive a great deal of attention despite the shrinkage in the supply of new securities in the last few years and the recent (1997-98) poor return performance to investors. This is primarily due to the expected growth in the supply of new distressed and defaulted public and private debt paper, the perception that prices are now at attractive levels and the documented relatively low correlation of returns with the more traditional debt and equity markets. This article reviews some of the important attributes of this unique investment vehicle and updates our analysis of the risk and return performance of defaulted debt...
More...

 
Related News:

‘Distressed Investing’ Can Yield Healthy Returns for Savvy Backers
Source
: NewsReleaseWire.com
Investing in underperforming companies can be lucrative for those who know what to look for and how to execute. You must ascertain that a company can be turned around, buy it at the right price, know how to fix the problems, avoid spending money on past sins, and sell at increased value.
More...

One-third of N. American auto suppliers distressed
Source
: Reuters
About one-third of auto parts suppliers in North America are in financial distress, according to a study released on Thursday by industry consultants BBK. More...

  Top Stories by Category
  Book of the Day & Related News

   
Handbook of Mortgage Backed Securities
by Frank J Fabozzi
Average Customer Review: 3.5 
out of 5 stars
Price: $54.15
 
 
Book Description
Classic resource for professionals in the mortgage-backed securities market, offering insightful discussion of the latest fundamentals, profit strategies, and characteristics in the market. Includes coverage of Japanese MBS, hedging with swaps and agencies, nonagency CMOs, and prepayment penalty MBSs.

Related News:

RBS says to issue 4.5 bln stg of mortgage backed securitised bonds
Source: Forbes
Royal Bank of Scotland Group PLC (RBS) said it plans to issue 4.5 bln stg of mortgaged backed securitised bonds along with National Westminster Home Loans Ltd.
More...

S&P Predicts Alt-A RMBS Slowdown
Source
: Forbes
Standard & Poor's on Monday predicted banks will rein in their sales of bonds backed by pools of so-called "Alt-A" home loans, as investors begin shying away from risky mortgage debt. More...

 

  Personal Interest


U.S., China emerge from talks with smiles
Source: MarketWatch
Two days of closed-door talks between the United States and China on economic issues have yielded "tangible results," Treasury Secretary Henry Paulson said Wednesday.

His counterpart, Chinese Vice Premier Wu Yi, said the talks between the two economic superpowers were a "complete success."  More...


Shark's virgin birth stuns scientists
Source: Telegraph.co.uk
Birds do it. Bees do it. Now it seems that sharks are the latest, and largest, creatures that are able to reproduce without having sex, a finding that could have important implications for conserving these endangered fish. More...

 

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   Top Stories (Continued)


Former Merrill Sales Head Launches Hedge Fund Marketing Firm
Source: FINalternatives
Donald Steinbrugge, a former head of institutional sales for Merrill Lynch Investment Managers and a founding principal of Andor Capital Management, has founded Agecroft Partners, a consulting and third party marketing firm for hedge funds. More...

Hedge Funds Emerge From the Woodwork
Source: OnWallStreet
The hedge fund industry is coming out. When hedge funds began to tap institutional investors about 10 years ago, they had to reveal more about their operations and trading strategies than ever before. Today, in this era of increased transparency, private equity and hedge fund managers have started to tap the public markets--opening up new opportunities for financial advisors to incorporate hedge fund plays in client portfolios. More...


Hedge Fund Heads for Borders Group
Source: Barron's Online
BORDERS GROUP STOCK has been no page-turner, but the bookseller's turnaround story and potential buyout candidacy has snared the interest of one of the U.S.'s largest hedge funds. More...

Hedge funds yet to pass stress test
Source: News.com.au
COMPLEX hedge fund products may not be able to withstand an increase in market volatility, posing a threat to investors and financial market stability. More...

Here's What a Hedge-Fund Code Should Be Saying: Matthew Lynn
Source: Bloomberg
German Finance Minister Peer Steinbrueck knows how to ram home a point. At a meeting of the Group of Eight finance ministers last weekend, he pushed hard for a code of conduct to regulate the hedge-fund industry. More...

SYZ, A&G Fondos Launch Hedge Funds of Funds
Source: FINalternatives
Swiss banking group SYZ & CO and Madrid-based asset management firm A&G Fondos, Asesores y Gestores Financieros Fondos today unveiled two Spanish-regulated funds of hedge funds: AYG SYZ Multi Strategy and AYG SYZ Low Volatility vehicles. Both offerings should be approved in the coming weeks by the CNMV, the Spanish regulator, according to the firms. More...

Time to Trim the Hedge
Source: TPM Cafe
Over at the NY Times, columnist David Leonhardt provides a really interesting look at hedge funds, focusing on their returns and the compensation schemes (my word, not his) for those who run the funds. More...

Worth a Lot, but Are Hedge Funds Worth It?
Source: HeraldTribune.com
When Institutional Investor’s Alpha magazine released its annual list of the highest paid hedge fund managers last month, it allowed the rest of us to play an entertaining little parlor game: what could you buy if you made as much money as those guys? More...


Today's Stories unabridged on the web
 

 
   Today's Humor

King Ozymandias of Assyria was running low on cash after years of war with the Hittites. His last great possession was the Star of the Euphrates, the most valuable diamond in the ancient world. Desperate, he went to Croesus, the pawnbroker, to get a loan.

Croesus said, "I'll give you 100,000 dinars for it."

"But I paid a million dinars for it," the king protested. "Don't you know who I am? I am the king!"

Croesus replied, "When you wish to pawn a Star, makes no difference who you are."

 

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