Guys, if you haven't been following the Valeant story. Then wake up! :) This is better than Prison Break and Star Wars. Recap: VRX is pharma hedge fund darling. Largest position in Ackman's portfolio. VRX selling point is that they don't do R&D as it costs too much, so they acquire drug companies, fire the employees and push up the price of drugs. So huge growth, … [Read more...]
1992 Black Wednesday
On Black Wednesday, the British government was forced to withdraw the pound from the European Exchange Rate Mechanism. This resulted in a $1 billion profit by George Soros who's fame skyrocked due to his large short. The BBC produced a documentary on the event. … [Read more...]
Newsletter – August 2015
Since the inception of FatAlpha, this is the 11th month the S&P has had a down month. Once again the strategy outperformed as the portfolio dropped only 3.93% vs 6.13% for the market. It is the 9th time out of 11 that the strategy has done this. This puts year to date return at -1.7% vs -2.7% for the benchmark. Month on month only Cooper Tires and Avnet … [Read more...]
1929 Crash
Videos on the 1929 Great Depression and Stock Market Crash. A 7-episode series and a BBC documentary. … [Read more...]
S&P 500 Still In A Bull Market
Summary The market dropped because many stocks were fully valued. Many stocks have now corrected. Basic macros: GDP growth and normal yield curve are positives. Technicals have weakened but still appear to support the bull case. Investors should not panic and assess both fundamentals and technicals before changing their views significantly. The recent drop is … [Read more...]
Newsletter – July 2015
The S&P 500 rose 2.6% in July. This puts year to date return at 3.7% (including reinvested dividends) compared to FatAlpha at 2.4%. FatAlpha’s two largest gains came from Trinity Industries and Sanmina as they rose 11% and 9% respectively, while the largest losses came from Triple-S at -16% and Insight Enterprises at -10%. Triple-S is a health care provider in Puerto … [Read more...]
Value Investing
Videos that discuss value investing. … [Read more...]
