Wednesday, 1 April 2015
Last updated 4 hours ago
Jul 6 2010 | 12:34pm ET
Odey Asset Management chief Crispin Odey admitted he underestimated bonds in May, as his Opus hedge fund fell 7.8%.
Odey was short fixed-income and long equities, the Financial Times reports. But it was bonds that did the advancing in May, and stocks that took a plunge.
“The price action of May for all asset classes was only explicable on the ground that Europe and indeed the world is going to follow Japan into deflation,” Odey explained. “Markets are worrying, in many ways rightly, that with corporate sitting on cash, a fall in government expenditure is not going to be met by a rise in private sector spending and employment. Thus, the market was pricing in a double-dip.”
Odey remains bullish, he said, calling stocks “cheap” compared to other asset classes. Still, he cut his equity exposure to 40% of the hedge fund’s assets, as well as slashing his bond shorts to less than 20%.
“It is highly unusual for a new bear market in equities to begin as profit estimates are being upgraded as they are now,” he said.
Mar 9 2015 | 6:35am ET
As more investors look to diversify, many are beginning to use retirement funds to invest in alternative assets such as private equity and real estate. Kelly Rodriques, CEO & President of PENSCO Trust Company, explains how companies can connect with those looking to use their retirement accounts in a different way. Read more…
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…