Money and Finance
- Bill Ackman On Hiring...
An interesting answer from his interview with Graham & Doddsville:G&D: You mentioned some of the larger private equity firms as being places where you look for talent. Do you have a preference for people who have looked at businesses on the private...
- Hedging And The 1988-1990 Japanese Stock Market
Interesting lesson/piece of history, from Seth Klarman’s book Margin of Safety: “In the best of all worlds, an investment that has valuable hedging properties may also be an attractive investment on its own merits. By way of example, from mid-1988...
- Selling Cash-secured Put Options
[This article is also posted on Seeking Alpha HERE.] Selling puts on stocks can be a good way to either gain some yield and/or try and buy a stock you'd like to own at a lower price. I prefer cash-secured puts so that if the stock gets put to you,...
- Fairfax Removes Hedges On Equity Portfolio Investments
Fairfax Financial Holdings Limited announces that it has removed the hedge on its equity portfolio investments by covering its S&P and S&P/TSX60 equity index total return swaps.- "During our third quarter conference call on October 31, 2008, I...
- What Is Margin?
Using margin is a topic that I understood the very basics of but not enough to be able to try and use. I hope this primer will help you out because I know it aided in my understanding. My main goal for using margin would be to sell more put options,...
Money and Finance
Colm O’Shea quote (why he bought CDS instead of equity puts leading up to crisis)
From the book Hedge Fund Market Wizards:
“The advantage of CDS was that it was a cheaper way of doing the trade. One problem with buying equity puts is that equity volatility tends to be very expensive. Who is the natural seller of equity puts? No one. Who is the natural buyer of equity puts? Everyone. The world is long equities, and people like owning insurance, so there is an excess of natural buyers for equity puts. That is why equity option prices are structurally expensive.”
- Bill Ackman On Hiring...
An interesting answer from his interview with Graham & Doddsville:G&D: You mentioned some of the larger private equity firms as being places where you look for talent. Do you have a preference for people who have looked at businesses on the private...
- Hedging And The 1988-1990 Japanese Stock Market
Interesting lesson/piece of history, from Seth Klarman’s book Margin of Safety: “In the best of all worlds, an investment that has valuable hedging properties may also be an attractive investment on its own merits. By way of example, from mid-1988...
- Selling Cash-secured Put Options
[This article is also posted on Seeking Alpha HERE.] Selling puts on stocks can be a good way to either gain some yield and/or try and buy a stock you'd like to own at a lower price. I prefer cash-secured puts so that if the stock gets put to you,...
- Fairfax Removes Hedges On Equity Portfolio Investments
Fairfax Financial Holdings Limited announces that it has removed the hedge on its equity portfolio investments by covering its S&P and S&P/TSX60 equity index total return swaps.- "During our third quarter conference call on October 31, 2008, I...
- What Is Margin?
Using margin is a topic that I understood the very basics of but not enough to be able to try and use. I hope this primer will help you out because I know it aided in my understanding. My main goal for using margin would be to sell more put options,...