He proved that he had a sixth sense about making money and a rare ability to manage traders. His power began to grow. As he rose, he lost weight (about fifty pounds), quit smoking, and shaved his beard … Although he wasn’t physically prepossessing, tough-talking trader types were drawn to him. One partner described it as, “a little bit of the sun god phenomenon.” [Daily Intel]
Archive for November 2010
Peter Kraus’s Fabulousness Cost Him A Gig At The Newly Formed Bank of America Merrill Lynch
By Bess Levin
While the financial crisis has wreaked havoc on the lives, careers and bank accounts of many, it’s actually been pretty sweet for former Goldman executive Peter Kraus. After leaving Goldman in March 2008 he collected $25 million for a few months of work at Merrill Lynch and then took his current job as chairman and CEO of AllianceBernstein. He also bought a five-bedroom apartment at 720 Park Avenue for $37 million and by all accounts seems to be having a pretty good time. Still though, there’s one thing that likely plagues him. Not the public flogging he took for an eight-figure paycheck around the time the economy was having its ass torn out but something so much worse. His rejection by 2008 Banker Of The Year, Ken Lewis.
In FT reporter Greg Farrell’s new book, Crash Of The Titans, he writes that “one thing was clear to Lewis”– that “the ‘Goldman Guys’– Thain, Kraus and Montag– had been in the process of taking over Merrill Lynch when he struck the deal to buy the Wall Street bank [and] that Peter Kraus would not fit into the organization.” Why didn’t K-L like Pedro? Specifically, in one particular meeting, Kraus “turned himself into the center of attention in the conference room, talking nonstop and continually flashing his bright green BlackBerry,” and in general? Ken Lewis hated Peter Kraus because he’s fabulous. Continue reading »
Early last week, Glenn Beck devoted an episode of his show to revealing some “scary” “secrets” about George Soros that included revelations such as, the name Soros? Not the one Jorge was born with, which was “George Schwartz.” And the bombs didn’t stop there. Beck also informed his audience that Soros started the Quantum fund “to attack currencies across the world,” that “he’s waged a war against capitalism,” and that his next target? “Is us. America.” Points were made and dots were connected. Last night Jon Stewart soaked it all in and you know what? He thinks Beck might be right. Continue reading »
Today brings some devastating news for legendary investor Lenny Dykstra. His Thousand Oaks manse, his most prized possession, has been sold in a foreclosure auction. Continue reading »
“Sometimes the better part of valor in an investment situation is to move on. Onward.”
Meredith Whitney To Rival Moody’s And S&P With Own Ratings Agency (FT)
Ms Whitney said in an interview with the Financial Times that her new agency would use the same business model as established agencies, in which issuers of debt pay for ratings. She maintainted that she would be able to manage potential conflicts of interest, saying: “If you run a good business and you have compliance in place, there should not be problems…We’re in the process of applying for an NRSRO licence with the intention of being a formal competitor to S&P and Moody’s,” Ms Whitney said. She plans to rate global structured products and corporate bonds and US municipal bonds.
Bernanke Fires Back, Takes Aim At China (WSJ)
By keeping their currencies artificially weak, Mr. Bernanke argued in Frankfurt Friday, China and other emerging markets are allowing their economies to overheat, preventing trade imbalances from adjusting and worsening what he called a “two-speed” global recovery. Their “strategy of currency undervaluation” is preventing more “balanced and sustainable” global growth, he warns, echoing a view expressed by Obama Administration officials.
China to Raise Reserve Ratio by 50 Basis Points From Nov. 29 (Bloomberg)
China ordered banks to set aside larger reserves for the fifth time this year, draining cash from the financial system to limit inflation and asset-bubble risks in the world’s fastest-growing major economy. The ratio will increase 50 basis points starting Nov. 29, the central bank said on its website today. The aim is to step up liquidity management and “appropriately control” credit and loans, it said.
PIMCO Said To Seek $1 Billion To Buy Troubled Assets From Banks (Bloomberg)
The Pimco Bravo fund, short for Bank Recapitalization and Value Opportunities, will acquire commercial and residential mortgage loans and other debt, according to a prospective investor.
Lippman, Who Bet Against Subprime At Deutsche Bank, Turns Buyer At Fund (Bloomberg)
LibreMax Capital LLC’s fund gained about 1.67 percent in October as it invested 44.4 percent of its portfolio in bonds backed by subprime home loans to borrowers with the worst credit, according to a letter to investors.
SEC To Step Up Supervision Of Hedge Funds (Reuters)
The SEC meets later Friday to vote on a proposal that would require the registration of advisers to hedge funds and private equity funds with more than $150 million in assets under management.
Irish Bailout May Unleash Market Vigilantes On Portugal (Bloomberg)
“Wait a few weeks and the markets will just go for someone else, with Portugal at the front of the queue,” London-based Diebel said. “The vigilantes pushed Ireland into the same situation Greece is in. Why would you conclude they won’t do the same to Portugal?” Continue reading »
$$$ The Fear Factor in the Muni Bond Market [Dealbook]
$$$ DistressedArb with $34.19 at 9:58AM– claim your prize! [DB]
$$$ Akerson Says GM Has `High-Quality Shareholder Base‘ [Bloomberg]
$$$ How Texting Doomed A Daring NYPD Escapee [WSJ] Continue reading »
The president is set to share his thoughts on Detroit’s big day at 4:15. What do we think he’ll say? Will he urge everyone to go out and buy a Yukon Denali Hybrid? Will he call out UBS by name? Will he mention today’s winner of Call The (GM) Close (who should email me to redeem his/her prize)?
According to the SEC that may have been
the case for the two gals arrested today (JoAnn Crupi and Annette Bongiorno) in connection with the scam, who apparently did more than just schedule hand job appointments. Continue reading »
Other furry animal dressed as a pilgrim tells s/he to get the fuck out. Mild amusement ensues. Continue reading »
Sam Evans has a 7-stroke handicap [and] is “a former college swimmer and baseball player at American University who did not take up golf until graduate school. Standing approximately 6’4″ inches tall, he is said to be ambidextrous, able to throw and write with both hands.” [Reuters, previously]
