Wednesday, July 22, 2020
is a hedge fund bullish or bearish ..?
it's a wrong question to ask in first place ..! a question that CNBC anchor has asked Bill Ackman near the bottom of the market (mid March) and then again today .. of course, Bill answered the question in his own way, but the point is that its a wrong question in first place?
hedge funds hold both long and short positions in various companies and they could be wrong on either side, on top of that they hedge those positions with options, so, there is no way a hedge fund manager can reply the question as a boolean so a genernal investor could use it as a guidance for his investments .. any investment conversation is purely based in the context of time; e.g. you may buy a stock and hold a position for an year, but also hold a put on that security at the same time for next 3 months ... so are you bullish or bearish ..? & the answer is, it depends ..!
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Warsh created a great first impression [on me] ..!
Kudos to him and a great start on the new job .. with the shortest statement possible.. and giving up on providing forward guidance .. direc...
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to solve an economic problem ... & there are 100s of PhD working at Federal Reserves forecasting an inflation in future due to tariffs ....
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either folks are not buying imported stuff which also helps the trade deficit - two birds killed with same stone .. obviously energy being l...
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his argument is that the forecasters are modelling based on projected tariff as called by Trump ... & if you are using the numbers used ...
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