Cogitator

David Einhorn: Value Investing Congress

In David Einhorn on October 19, 2009 at 11:24 pm

http://blogs.reuters.com/rolfe-winkler/files/2009/10/einhorn-vic-2009-speech.pdf

Their main role, again, appears to be to tell everyone that things are fine, until a real
crisis emerges at which point they will pile-on credit downgrades at the least opportune
moment, making a difficult situation even more difficult for the authorities to manage
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CIT Group Put Options (VVFMI / CITMI): Bear Put Spread Opportunity

In Uncategorized on October 7, 2009 at 1:47 pm

The premium on January 2011 $1 put options (VVFMI) is $0.75. This leaves the buyer with a maximum gain of $0.25, which he will realize if CIT Group files for bankruptcy, and a total loss if the equity remains intact. Meanwhile, January 2010 $1 put options (CITMI) are trading at $0.55. The simultaneous purchase of CITMI and sale of VVFAI creates a nearly perfect hedge that should perform well under any possible scenario.

joseph merrick-medium

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Pershing Square Q2 Investor Letter

In Bill Ackman on September 28, 2009 at 12:33 am

http://dealbreaker.com/images/thumbs/Pershing%20Square%20Q2%202009%20Investor%20Letter.pdf

The short position mentioned on page 7 is, I suspect, Alexandria Real Estate Equities.

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