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Chris DeMuth Jr.  

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  • 8% Yield With Interest Rate Protection From PennantPark Floating Rate Capital [View article]
    This is not a distressed investment; it is an investment owned by distressed investors. It is not worth 22% -- or 13% -- less than Friday.
    Aug 24, 2015. 09:56 AM | 1 Like Like |Link to Comment
  • Reading China's Fortune [View instapost]
    ->70% since publication.
    Aug 24, 2015. 09:44 AM | Likes Like |Link to Comment
  • Safe 11% Annual Return With Broadcom [View article]
    Yep, MJ Pragmatist; quite likely.
    Aug 24, 2015. 09:14 AM | 1 Like Like |Link to Comment
  • 23% Annual Return With Terex [View article]
    Thanks for the question, leonf675. You are correct that the OTC ADR is not the right instrument to calculate the spread. It is not the instrument that I use to calculate the spread; in fact the ADR is only in this article due to the limitations on which tickers SA recognizes. The spread as of this writing was 23.49% on an annual basis. What are you missing? The currency conversion. Helsinki is in Euros, which needs to be converted to dollars to get to the $3.622 net spread.
    Aug 24, 2015. 05:35 AM | 3 Likes Like |Link to Comment
  • Best Q2 Picks From Top Investors [View article]
    Netwall,

    Good point regarding the order; it was in no particular conscious order. Buffett is the best of all of us. As far as shorting a stock because of an ill-prepared CEO, I think that Einhorn was massively simplifying what it is that he does. So, to answer your question, "Seriously????" my answer would be "no, not seriously", but instead for the flow of the story.
    Aug 23, 2015. 07:20 PM | 1 Like Like |Link to Comment
  • Best Q2 Picks From Top Investors [View article]
    Your cousin has certainly been right so far, musicmaker.
    Aug 23, 2015. 07:15 PM | Likes Like |Link to Comment
  • Best Q2 Picks From Top Investors [View article]
    ponderingahead,

    "Icahn's publicly traded company, Icahn Enterprises (NASDAQ:IEP) currently offers an NAV of about $69 for a price of $97.90. As a hedge against the above portfolio, you can short IEP at a premium of around 42%. Another way to hedge the Icahn portfolio is to write IEP calls. For example, September 18, 2015 $100 calls last traded at $4.10 and have a current bid of $3.60 and ask of $4.00. You could write such contracts twice a year and potentially end up short IEP at a premium of fully 47% above the value of its portfolio.

    It is unfriendly to take advantage of this great investor's ideas without paying him an incentive feel? On that question, I will let Icahn have the last words. As he says,

    If you want a friend, you buy a dog."

    - http://seekingalpha.co...
    Aug 23, 2015. 06:11 PM | 1 Like Like |Link to Comment
  • M&A Daily: Emerging Markets Submerge, Imperiling Cross Border Deals [View article]
    Tom Sandlow,

    That is the story; thanks for the summary. Your understanding is the same as mine. How concerned am I about the issue you mentioned? Very. Over the past few decades, I have overrated how much people care about their reputations and underestimated how forgiving this industry is to people who back out of commitments. On the other hand, it is not worth much less than $3 per share to me.
    Aug 23, 2015. 05:55 PM | 1 Like Like |Link to Comment
  • Best Q2 Picks From Top Investors [View article]
    Thanks for the comment, Daniel Katz. You are 100% correct in regards to BXLT's corporate defenses -- they are iron-clad.
    Aug 23, 2015. 04:35 PM | Likes Like |Link to Comment
  • Best Q2 Picks From Top Investors [View article]
    varan,

    Thanks for the question. While others have different priorities and I claim no monopoly on the right approach, that dramatic performance difference does not figure into the decision. I, more or less, do not believe in investing skill (or, to be more precise, I do not believe it is widespread. Out of 7 billion people, I have seen it as a durable, replicable characteristic about a half dozen times). So, performance is as likely to have mean reversion as linear extrapolation from those dramatically different past results.

    I have never done a rigorous empirical study of the performance of securities that I buy before my initial entry, but my sense is that it is dramatically negative on average. Many are down >50% and a good number are down >90% (and in the case of bank debt and other debt instruments in bankruptcy, it is frequent that the common is down 100%) before I jump in.
    Aug 23, 2015. 03:07 PM | Likes Like |Link to Comment
  • Safe 11% Annual Return With Broadcom [View article]
    Correct, MJ Pragmatist. This was based on today's market prices which could and probably will change substantially in the months ahead.
    Aug 23, 2015. 01:58 PM | Likes Like |Link to Comment
  • Best Q2 Picks From Top Investors [View article]
    SRV has a 21.46% discount and KYN has a 12.80% premium, so I prefer SRV, varan.
    Aug 23, 2015. 01:10 PM | Likes Like |Link to Comment
  • Best Q2 Picks From Top Investors [View article]
    Thanks for the link, Special Situations and Arbs.
    Aug 23, 2015. 12:42 PM | Likes Like |Link to Comment
  • Best Q2 Picks From Top Investors [View article]
    sheldond,

    One of the FTR executives lives across the street from me in Connecticut and just put in a beautiful new stone wall, so he appears to be 1.) confident and 2.) staying. I want to think about that one more.

    MLPs: here is a newly constructed portfolio of energy recovery ideas that I like prospectively -- http://bit.ly/1fyfff6. It includes a number of MLPs.
    Aug 23, 2015. 11:09 AM | Likes Like |Link to Comment
  • Best Q2 Picks From Top Investors [View article]
    Thanks for the comment, Regarded Solutions.
    Aug 23, 2015. 10:30 AM | Likes Like |Link to Comment
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