SALT isn’t just about parties (even those you have to take taxis to) and whining and calling Steve Cohen a whiner and getting hit up for money by the greatest businessman in U.S. history and next president of the United States.
Sometimes, the assembled hedge fund managers actually talk about investing. Specifically, those investments they’re most proud of. Like shorting the hell out of American Airlines.
American is particularly vulnerable, he said, because it has a relatively high costs structure, is the most exposed to rising oil, offers the weakest free cash flow generation and is the most highly leveraged of the four major carriers.
Nor is China only good for insults and bickering and shouting. You can even invest in—and against—it.
John Burbank of Passport Capital highlighted a China-focused pair trade, going long Chinese media, Internet and mobile-phone company Tencent Holdings Limited and shorting the iShares China Large-Cap exchange traded fund.