You might think that hygiene habits should be a personal decision left to each staff member’s own discretion, but Cohen said that the reach of bad body odor goes beyond the cubicle around you. “It’s engaging in anti-social behavior,” he said. “Not bathing, being unkempt… You have to be very careful, especially if you’re in a client-interfacing role.”… [Additionally] No matter how much you hate your boss or how dumb you think he is, it’s usually career suicide to reveal those sentiments to a higher-up… [And] No one likes a freeloader. If you are the worker who never presents an original thought at work, or you take credit for others’ accomplishments, you’re likely to find yourself out the door. [FINS]
Archive for June 2011
Hedge Fund Manager Didn’t Know You’re Not Supposed To Gamble And Lose Investor Money To Tobey Maguire, Paris Hilton’s Sex Tape Partner, Et AlBy Bess Levin
You’re a hedge fund manager running a Ponzi scheme in Los Angeles. You’re pretty into poker and attend bi-weekly games with various actors who, as it unfortunately turns out, aren’t half bad at cards. The buy-in’s $100,000 but you don’t have the cash. What do you do? If you’re Brad Ruderman you use some client funds to cover it, as well as the money you lose to Spiderman and Co. Read more »
“I don’t have to watch Jaws anymore. I lived it.” Read more »
Fed’s 3-Year Rescue Plan Falling Short of Promise (NYT)
The Federal Reserve hoped that its three-year-old economic rescue campaign would reach a climax at the end of June. It hoped that consumers and businesses by now would be spending more and more, and the central bank could start doing less and less. That peak now looks like a long plateau.
Hedge funds seek rich pickings from Greek crisis (Reuters)
Hedge fund managers are sifting through the rubble of the deepening Greek debt crisis to find money-making opportunities, though political uncertainty makes it a risky business. Executives at the annual GAIM conference in Monaco said they were eyeing Greek sovereign or corporate debt, while emerging markets also offered a safer haven away from worries that the euro zone is close to its first sovereign debt default.
Paulson Is Not Alone as Sino-Forest ‘Mistake’ Hits $31 Billion Davis Fund (Bloomberg)
Christopher Davis, a value investor who researches stocks and holds them for long periods, owned 13 percent of the Chinese tree-plantation owner as of April 29 through his Tucson, Arizona-based Davis Selected Advisers LP…Davis New York Venture Fund, the firm’s flagship mutual fund with assets of $30.8 billion, struggled in the past five years as bets on financial companies including insurer American International Group Inc. (AIG) backfired, while beating the majority of its peers over the longer term. Davis’s firm, with $71 billion in assets, held 30.9 million Sino-Forest shares as of April 29, making it the second-biggest owner before Paulson & Co. dumped its stake, according to data compiled by Bloomberg.
Banks Will Be Sued If Foreclosure Practices Talks Collapse, Two States Say (Bloomberg)
The five largest U.S. mortgage servicers negotiating with state attorneys general over foreclosure practices would be sued if a settlement isn’t reached, two of the state officials leading the talks said. Illinois Attorney General Lisa Madigan and North Carolina Attorney General Roy Cooper threatened litigation if settlement talks with the companies, including Bank of America Corp. (BAC) and JPMorgan Chase & Co. (JPM), break down.
Oversight Group Did Not Refer Housing Complaints (NYT)
The federal agency overseeing Fannie Mae and Freddie Mac, the taxpayer-owned mortgage finance giants, failed to refer to criminal investigators and other authorities almost 100 complaints about possible foreclosure abuse and mortgage fraud at the companies over a recent two-year period, according to a report issued late Tuesday by the inspector general of the Federal Housing Finance Agency.
Bank Fine Hints at Feds’ Playbook (WSJ)
The tactic of pressing banks to pay multimillion-dollar penalties for allegedly misleading investors by failing to provide them with complete information about mortgage-bond deals is expected to be used again by the SEC in settlements with other financial firms later this year, in the biggest effort to date by law-enforcement agencies to hold Wall Street to account for its role in the subprime-mortgage meltdown.
Showing Caution, Trader Reaches for Exxon Hedges (WSJ)
On Tuesday, one investor appeared to brace for more stock declines over the next two months by using bearish put options that grant the right to sell Exxon shares. The trader targeted August-expiration contacts to set up a large, bearish “put spread.” Spread strategies combine both the sale and purchase of contracts to reduce the overall cost of the transaction. In this case, the investor sold 15,000 August $72.50 puts to fund the purchase of 7,500 August $77.50 puts. Snapping up twice the number of contracts at one leg of a trade is referred to as a “ratio spread.”
Bridgewater Goes Large (WSJ)
The world’s biggest hedge-fund firm just got bigger with the launch of one of the largest new funds ever. Bridgewater Associates is nearly finished launching a $10 billion fund, the latest sign of the hedge-fund industry’s rebound from the 2008 financial crisis.
UBS Aids Probe of Rate Collusion (WSJ)
Swiss bank UBS AG, one of more than a dozen banks that help set the London interbank offered rate, is aiding investigators examining whether the rate is manipulated.
Pension funds mull ethics of commodity investments (Reuters)
Some pension funds are beginning to question their investments in commodities after accusations that massive flows into the sector have distorted markets, fuelled food inflation and hurt poor nations.
Cocaine cut with levamisole, drug used to de-worm animals, causing users’ skin to rot off (NYDN)
n a June report published in the Journal of the American Academy of Dermatology, doctors described six cases where users developed ghastly splotches of dead skin after snorting or smoking cocaine laced with the drug levamisole. Dr. Mary Gail Mercurio, a dermatologist at the University of Rochester Medical Center who co-authored the study, said her hospital had treated five cases in the last year. “We’ve seen very profound areas of necrosis — dying skin — usually located on scalp, ears, face and elsewhere on the body,” Mercurio said. “It’s very alarming.” Read more »
$$$ Papandreou Wins Confidence Vote, Raising Rescue Chances (Bloomberg)
$$$ IMF warns Spain of setbacks (FT)
$$$ Morgan Stanley Slashes Euro Forecast (MarketBeat)
$$$ S&P says California credit rating at ‘crossroad‘ (Reuters)
Before the vote, Mr. Papandreou called on Parliament and the people to show responsibility and seize “a critical opportunity to save the country from default.” “All Greeks have the duty and the ability to change this country,” he said. He defended the country’s foreign creditors, who have become a lightning rod for popular fury, saying, “They are giving us a helping hand in difficult times.” But tens of thousands of people gathered outside Parliament, many voicing rage at foreign lenders they see as a kind of occupying power and a government they blame for Greece’s financial crisis. “They destroyed the country,” said Terpsichore Theofili, 23, a history student, as she stood in the crowd in Syntagma Square outside parliament. “They should pay, not us,” she added. [NYT]
A delegation of more than 20 hedge fund operators, government officials and representatives of business organizations spent much of Monday visiting area firms and at a reception at the Stamford branch of the University of Connecticut, discussing their desire to establish a hedge fund community in FengXian, one of 18 districts that comprise Shanghai. Greenwich could be the example that the Chinese want to emulate, according to Zhang Xiaosong, a member of the Standing Committee and vice magistrate of the Shanghai FengXian Committee of the CPC People’s Government of FengXian District Shanghai. “Shanghai wants to be an international city and a center for hedge funds,” he told an audience at the reception. “We want to know how to create a good environment to attract the financial industry.” [Advocate via Daily Intel]
Time was, you joined an exclusive Mahattan club solely for the purpose of saying you were a member. The food was passable at best, the dress code stifling, as were the rules about keeping cell phones and Blackberries turned off and should you dare ask a member of the waitstaff to pluck some stray hairs from your nether regions? Forget it. If you thought your dues were going toward having your every whim catered to, you thought wrong. Then one day, a few years back, someone said “Stop. You know what the ‘ultra-rich’ need? An exclusive club where they can not only keep their phones on but where they can call in back waxing emergencies at 3AM, too.” And thus, the Core Club was born.
Established in 2005 and today counting upwards of 1,500 members (including Steve Cohen and Anthony Scaramucci) who pay a $50,000 initiation fee and $15,000 in annual dues, the Core Club is a place you can wear jeans and a zip-up fleece, feast on Kobe sliders and call in trades from the dining room without anyone giving you shit for it. Best of all? Your code blue facial needs are taken seriously. Read more »