It is very clear to Andrew Cunagin that something is very wrong in the markets right now. Two things, actually. First, there’s the bullshit high-frequency trading nonsense, which, to borrow a term from the immortal Flash Boys, is rigging stock markets from Mexico to South Korea and everywhere in between. And if that wasn’t bad enough, all of you idiots keep bidding up stock prices, too stupid and self-satisfied to notice the giant fucking bubble that you’re inflating right under your own asses.
As far as Andrew Cunagin sees it, there’s simply no other explanation for why his Rinehart Capital Partners—which he’s shutting down because no one wants to invest in it anymore—has been so shitty for the last three years.
"This is a circus market rigged by HFT and other algorithmic traders who prey on the rational behavior of warm-blooded investors," Mr. Cunagin wrote….
Fast trading wasn't the only factor behind Rinehart's closure. In his late-August letter, Mr. Cunagin criticized the "dash for trash" among other traders, including exchange-traded funds, that "puts to shame even the most speculative excesses of the dot.com era," as well as the recent underperformance of so-called value investing at large.