Main News

 

IMF says global recession now possible
http://www.ipe.com/news/IMF_says_global_recession_now_possible_27650.php

 

Reuters
The financial markets are likely to see turmoil until 2010 as institutions struggle to understand its cause, Blackstone senior managing director John Studzinski said at the Reuters Hedge Funds and Private Equity Summit in London. "This year is going to be fraught with data and denial," Studzinski, who is global head of Blackstone's mergers and acquisitions advisory group, said on Tuesday. "Next year a lot of industries are expecting difficulties, particularly more on the consumer side."

 Goldman Level 3 Assets Jump in First Quarter, Exceeding Rivals
 http://www.bloomberg.com/apps/news?pid=email_en&refer=home&sid=a3N.I2aId51k

 

CDO deals resurface but down 90 pct in Q1-report
Reuters - USA
CDOs are complex bonds that pool securities to boost yield and in theory spread risk. About $13.4 billion of CDOs were issued in March, up from $3.3 billion ...

 

Brazil Ready for Investment Grade
Brazil is prepared to make the leap to investment grade, according to a senior government official from the biggest LatAm economy.Read more

 

Wednesday , 09 Apr 2008
In a research report, RBC Capital Markets analysts feel that investors should consider taking profits in gold ahead of the traditionally weak summer season and then take advantage of an anticipated rise later in the year.

 

Hedge fund hires ex-US Treasury official
Financial News (US) Online - Wednesday April 09, 09:17 BST

 

Back to the Drawing Boards: The High Risk Hedge Fund
Financial Times - Tuesday April 08, 11:34 BST

HF Says Russian ID Fraud Victim
04-09-2008 | Source: Hedge Fund Daily <http://www.institutionalinvestor.com/FreeSignup.aspx>

 

Buyers of the riskiest portions of commercial mortgage-backed securities are gaining more clout in the market. The so-called B-piece buyers take the first losses when defaults rise in the pools of mortgages backing these bonds.
http://online.wsj.com/article/SB120778474708903295.html?mod=djemheard

 

Man's AHL, Winton Funds Ride Futures to Best Start Since 2001. By Tom Cahill. April 9 (Bloomberg) -- Man Group Plc and Winton Capital Management Ltd. are ...
www.bloomberg.com/apps/news?pid=20601085&sid=aMyQ3dld4Mc4 - 16 hours ago -

 

McCain Visits Westport Hedge Fund Today
WestportNow Wed, 09 Apr 2008 3:56 AM PDT
Sen. John McCain visits the Sherwood Diner in Westport in October 2004. (CLICK TO ENLARGE) WN file photo Sen. John McCain visits Westport today and is going where the money is—one of the world’s largest hedge funds.

 

Soros: Global subprime losses likely above $1 trillion
Reuters via Yahoo! News Wed, 09 Apr 2008 9:09 AM PDT
George Soros, the hedge fund legend and billionaire philanthropist, said on Wednesday the subprime mortgage crisis is likely to cause global losses of over $1 trillion, characterizing the situation as the most severe since the Great Depression.

 

U.S. Auto Loan ABS Ratings Remain Resilient Despite The Challenging Environment
The reassessment of risk in the financial markets that started last summer has extended into 2008, making auto loan asset-backed securities (ABS) issuance more challenging than in the past. In addition to fueling the avoidance of risk, the environment has derailed some U.S. auto finance companies from funding ABS and has made it more expensive for those that do securitize. However, we believe that outstanding U.S. auto loan ABS ratings will remain generally stable this year.
http://standardandpoors.rsys1.net/servlet/cc6?kHiQABDAQTVsLgHxhilpuHQJhuV2VY

 

We'd like to share with you some of what we've learned about the causes and consequences of the credit crisis. RiskMetrics Group today released two new studies that examine shareholder responses to the credit crisis. The first, "Credit Crisis and Corporate Governance Implications" <http://cts.vresp.com/c/?RiskMetricsGroup/52cb5993f8/81f0a62c35/043ef984f8> , identifies the corporate governance factors involved in the credit crisis, how stronger provisions might have mitigated investor risk, and the ways investors are evaluating boards’ risk management and disclosure practices. The second report, "The Subprime Meltdown Heads to Court" <http://cts.vresp.com/c/?RiskMetricsGroup/52cb5993f8/81f0a62c35/6ae8c005a9> , follows the consequences of weak risk oversight, providing an overview of the growing wave of securities litigation and regulatory enforcement actions.

 

Global Financial Stability Report

Containing Systemic Risks and
Restoring Financial Soundness
April 2008

 

Sebastian Mallaby's Foreign Affairs article defending hedge funds
appeared in January 2007, before the onslaught of credit market turmoil.
More than a year later, hedge funds still appear to need allies wherever
they can get them.  http://m1e.net/c?78225197-2iI0yTMl///ho%403242232-9/Blbx6VV9VLs

 

Ratings On Four U.S. Mortgage Insurers Lowered To Reflect Greater-Than-Expected Housing Slump
We lowered our ratings on MGIC Investment Corp., Old Republic International Corp., PMI Group Inc., and Radian Group Inc. to reflect weaker-than-expected results for the fourth quarter of 2007 and the continued deterioration in key variables that influence claims for mortgage insurance. As a result of the deterioration in the housing and job markets, operating results for 2008 and 2009 will compare unfavorably with our previous expectations. Our current forecasts predict that most companies will not generate an underwriting profit until 2010, but individual results will vary.
http://standardandpoors.rsys1.net/servlet/cc6?kHiQABDAQTVsLgHxhilpuHQJhuV2VR

 

_________________________________________________________________________

Yield Curve Corner

Volcker Decries Fed Response to 'Mother of All Crises' While Greenspan answers critics, Volcker poses pointed questions over Bernanke's moves.
http://online.barrons.com/article/SB120771459269601247.html?mod=djemBF

 

_________________________________________________________________________

Natural Disaster Corner

 

Climate Prediction  http://www.nws.noaa.gov/predictions.php

World Meterological Organization http://severe.worldweather.org/

Tornadoes: http://www.disastercenter.com/tornado.htm

Great Sat Pictures of events: http://www.osei.noaa.gov/Events/Current/FSHShawaii100_MO.jpg

_________________________________________________________________________

Iranian Situation and Other Man Made Disasters

 

 

Ahmadinejad to sack Iran's economy, interior ministers
AFP via Yahoo! News Wed, 09 Apr 2008 8:00 AM PDT
President Mahmoud Ahmadinejad is to sack Iran's economy and interior ministers, in the latest changes to the cabinet just after parliamentary elections, his spokesman said on Wednesday.

 

Basra And Iran
CBS News Wed, 09 Apr 2008 10:01 AM PDT
BASRA AND IRAN....Trudy Rubin on one of the lessons of Basra:Most galling to U.S. officials was this: When the going got tough, top Iraqi Shiite officials rushed to the holy city of Qom in Iran to get help mediating a...

 

Lebanon: Hezbollah's Outsourcing Strategy
April 8, 2008 2328 GMT
Hezbollah is looking to align with Sunni and jihadist groups to retaliate against Israel to a leader's recent assassination. But such a strategy is unlikely to stave off a counterattack by Israel.
http://www.stratfor.com/analysis/lebanon_hezbollahs_outoutsourcing_strategy

 

_________________________________________________________________________

Opalesque’s Corner

 

- Fund launches: Opalesque Exclusive: Stonebrook launches hedging program for fund of hedge funds based on 30% alternative beta ratio, Gottex Fund Management to launch distressed fund later this year, Asia, Middle East, North Africa: SHK Fund Management to expand hedge fund business, Tribridge to launch Korea-focused hedge fund, Merzbach launches Carbon hedge fund
- Performance: Charlemagne Capital assets drop 15% to $5.5bln in 3 months, Magna funds lost 18% in Q1, OCCO hedge funds lost 0.7%, Hyman Beck`s flagship has strong Q1, up 18.5%, Altin:Fund returns 1.47% in March, 19.04% YTD, Welton returns +0.52%, +29.80% 12-month
- Assets: Assets of $1bln-club increased by 34% to $1.6trl in 2007, J.P. Morgan still biggest hedge fund, LIM raising cash for Asia commodity fund
- Indices: Eurekahedge: Hedge Funds down 1.7% in March, S&P world by numbers, March 2008, HSBC unveils emerging markets Titans index
- IPOs: Lansdowne Partners still debating going public
- M&A: Alternative Asset gets antitrust ok to buy Halcyon
- Ratings: S&P gives Branson, GLG Green Fund `A` rating
- Views: Centaurus sees lower hedge fund industry returns in the future, Many more HF start-ups coming but success uncertain as investors' expectations are higher, Researchers claim hedge funds misreporting returns is a widespread phenomenon
- Credit Crunch Update: IMF puts cost of credit crisis at almost $1.000bln, UBS`s capital increase may not be enough, investor says, Goldman takes a hit from bankrupt student loan company, First Marblehead Corp, Fed probed about BlackRock`s role in JP Morgan-Bear Stearns deal, Post-Bear rally in credit derivatives starts to stall, Panic in the ranks as staff see uncertain future
- Credit Crunch Views: Morgan Stanley CEO says end to trouble nearer, FSA says tough market conditions to continue, Alan Greenspan defends his Fed tenure, Greenspan fights back, part 1 (video), Interview: Jim Rogers sees more pressure on the dollar and the Fed`s downfall
- People: Hedge fund hires ex-US Treasury official
- Institutions: Research shows more pension funds seek alternatives in equity shortfall
- Regulators: UK FSA says hedge fund oversight is adequate, EU lawmakers want new disclosure standards for private equity, hedge funds, China Banking Regulatory Commission and SEC in agreement: Chinese banks to invest in the US under QDII, Comment: Fears that the market watchdog SEC is losing its bite,  Australian superannuation minister proposes greater hedge funds reporting requirements
- HF Associations: Richard Baker, now MFA`s president, pushes members to contribute to lobbying
- Legal: Update: Ex-Refco exec tells of commodities fraud, Ex-NYMEX director pleads guilty to fraud, Merrill sues LatAm banking family members for millions for engaging in high risk trading and running up losses
- Commodities: S&P tracked big losses hit commodities in March, Man`s AHL, Winton funds ride futures to best start since 2001 in falling stock markets, soaring gold and wheat prices, UBP cuts back on leverage and merger arb
- Exchanges: NYSE volume drops to 2008 low as traders `wait and see` profits
- Prime Brokers: RBC Capital Markets launches global prime services group to provide support to hedge fund managers, Prime brokerage has entered a new era
- Europe: Taking the temperature of Iceland, the EM bellwether, helps unfreeze financial system, but will it last?, Swedish special fund Radar has joined the Nordic Hedge Fund Index
- Events: May-Fair 2008 in London - Hedge funds rock for kids, host looking for sponsors, musicians, CME to host Global Financial Leadership Conference in September in Florida
- Sovereign Wealth Funds: EU`s plan for sovereign fund code under fire from Kuwait
- Activist News: TCI to seek support from Japan`s ruling party in J-Power bid, Media General says demands by Harbinger are off-base, Talks between French computer company Atos and hedge fund Pardus labeled `scandalous`
- News Briefs: Financial Accounting Standards Board considering changes in securitizations rules,  SuperDerivatives adds liquidation 'Exit' pricing to portfolio revaluation services, Administrator Fulcrum Group completes SAS70 Type II examination, Letterstone Group and Starr International link up for property venture, New equity options on Belgian, Dutch, French and Spanish underlyings, launch planned on 19 May, Sydney CTA changes name from Grinham to Boronia
- And Finally. Hemingway haunt gives `poor Americans` deep discounts to find solace from weak dollar, subprime blues
- Logon: http://www.opalesque.com/index.php?act=archive

 

_________________________________________________________________________

Misc. Items of Interest

 

Past Supermodels: How Do They Look Now?
See how these models of yore look after leaving the runway.
 MORE

 

Naomi Campbell banned from British Airways?
April 08, 2008 12:03 PM ET
LONDON (Reuters) - Supermodel Naomi Campbell has been banned
from flying with British Airways after she was escorted off
a flight last week and arrested on suspicion of assaulting a
police officer, media reports said on Tuesday.
http://links.reuters.com/r/HU05F/UV847/I24QO/AXKVI/MAQZE/YT/t

 

_____________________________________________________________________

Funnies, Facts, Quotes, etc….

 

afflatus uh-FLAY-tuhs, noun:

A divine imparting of knowledge; inspiration.

 

_________________________________________________________________________

Conference, Courses, Books, Papers

 

Great Research Sites:

 

Merrill Lynch research Link to full report including important disclosures see example

 

John Mauldin’s Weekly Analysis

 

James Altucher’s Website:

 

Other useful sites:

 

_________________________________________________________________________

Index Corner

 

The CSFB/Tremont Hedge Fund Index www.hedgeindex.com.

The Cogent Dynamic Averages http://www.cogenthedge.com/home/inv_strategy.asphttp://www.cogenthedge.com/home/inv_strategy.asp

The Dow Jones Indices: http://www.djhedgefundindexes.com/index.cfm?event=viewPremiumContent (free registration)

HFRX Indices https://www.hedgefundresearch.com/hfrx_reg/index.php?fuse=login&1170880431

_________________________________________________________________________

Regulatory Info

 

 

_________________________________________________________________________

Disclaimer

 

The information contained in this document does not constitute an offer or solicitation to sell any security or other type of vehicles to or by anyone in any jurisdictions, nor should it be regarded as a contractual document. Under no circumstances should the information provided on this document be considered as financial advice, or as a sufficient basis on which to make investment decisions. The information contained herein has been gathered by Investor DNA, LLC from sources deemed reliable as of the date of publication, but no warranty of accuracy or completeness is given. Investor DNA, LLC is not responsible for and provides no guarantee with respect to any of the information provided herein or through the use of any hypertext link. Past results are no indication of future performance. All information in this newsletter is for educational and informational purposes and does not constitute investment, legal, tax or accounting advice. All materials are the property of the respective publishers, as referenced by header and appropriate hypertext links.