FETZ

WSJ Weighs in on Peter Schiff

Peter Schiff is a nobody. No MBA from a prestigious school. No CFA. No CAIA. No CPA. He is a stockbroker and everyone that works for Euro Pacific Capital is too. I wonder how he came up with such a sophisticated name. he doesn't have any credentials for me to even bother to listen to him.

A Sloppy 60 Minutes Segment on Oil Prices

I think the market needs to develop an oil or energy VIX because the volatility is ridiculous. It is impossible for businesses, individuals, governments to plan properly when oil prices are so crazy. My opinion is there was institutional investor demand (pensions, endowments, etc.) investing in commodities after studies were published about the diversification benefits. This caused a long term bull market that ended in a parabolic move in 2008. This last move was purely a speculative bubble like all other parabolic moves. Prove me wrong.

60 Minutes on Oil: Did Anyone Verify Anything?

I don't have any knowledge in predicting oil prices, but why wouldn't it bottom at $20 where it was during the previous recession and then settle in between $60-$80 before it went parabolic.Of course that would depend on the value of the dollar. I really don't think the experts are very good at predicting oil prices either.

The Losses of a Money Magazine Portfolio

I agree. Just like with sex, protection is critical. This past decade has not been a buy and hold market.

Manufacturing Collapse Reminiscent of Great Depression's Beginning

Does the PMI mean as much in 2008 as it did when the US was anation that relied on a manufacturing economy? I think the answer is no.

Manufacturing Collapse Reminiscent of Great Depression's Beginning

Does the PMI mean as much in 2008 as it did when the US was anation that relied on a manufacturing economy? I think the answer is no.

Don't Be Scammed by Madoff Investor Sob Stories

I think it is good that the SIPC asks for records as far back as possible. What if I invested 100,000 with madoff 28 years ago and attained a 10% annual return. I would have about $1.5 million in my account today (not included taxes). If I had a distribution of $50,000 a year ago my account statement would say $1,450,000, Should I get reimbursed the max of $500,000 from the SIPC or $50,000 the amount I truly lost, not counting opportunity costs. I say you should get $50,000 at the most.

How to Deal with GM's Bondholders?

I bought the bonds at 18 and 32 cents on the dollar recently and would be willing to take 50 cents on the dollar with an equity stake. I hope there is a ball buster of a distressed hedge fund manager who will lead the creditors committee.

Why Did Warren and Hank Invest in Goldman?

I think you mean systematic risk cannot be diversified away. Go back and check your Finance 101 textbooks. Systemic risk refers to the collapse of the whole financial system.


On Dec 08 07:00 PM Kinabalu wrote:

> "More specifically, systemic risk emanates from Level 2 and Level
> 3 asset classes which cannot be marked to active markets.... So,
> if Hank Paulson and Neel Kashkari were intending to attack systemic
> risk, a comprehensive re-statement of Level 2 and Level 3 assets
> should have been undertaken"
>
> Systemic risk is the portion of risk that is related to the market
> and that can not be diversified away. Paulson was almost certainly
> intending to attack systemic risk. However, the concept that such
> risk emanates from specific categories of assets seems intuitively
> wrong. The author seems to be saying that because Level 2 and level
> 3 assets are hard to mark to market you can't reduce the risk in
> investing in them by diversification.
>
> I have significant questions about the attractiveness of GS as a
> banking entity but it's not because of systemic risk, which they
> have historically been very good at covering.

China: The One Global Market with Gains Behind the Gloom

are you suggesting that the government(taxpayer's-... and you) give money to consumers so they can piss it away buying crap from China. I would not give it to consumers but invest it in infrastructure investments. At least we will maybe get a payback in the future vs. let American's piss it away on foreign goods.

CPI + PPI = Deflation

Has there ever been deflation in the US since the abolition of the gold standard. This rhymes of the nonsense said by many economists during the Clinton administration that all the US debt would be paid off and it would effect the ability to hedge other debt or set other debt prices because there would be no more Treasuries. During that same time they were extremely concerned about deflation. Right before commodities went on an upward spiral. What a joke.

GE, Goldman Bond Spreads: Unrealistic and Unsustainable

I don't think anyone in their right mind can think GE debt is AAA or any entity in the world without credit enhancement is AAA anymore including the USA.