Posted by & filed under Company Analysis, Growth & Valuation, Management Issues.

Description:  Subprime mortgages may have been the most lucrative bet of 2012 for hedge funds, with some gaining more than 20% by buying up troubled financial crisis era mortgages.

Source:  CNNMoney.com

Date: Jan 04, 2013

Link: http://money.cnn.com/2013/01/04/investing/hedge-funds-subprime-mortgages/index.html?iid=SF_BN_River

Questions for Discussions:

  • Why have hedge fund managers been so successful in subprime mortgage investments?
  • Do you think the big gains have already been realized?

 

Posted by & filed under Company Analysis, Governments & Regulators, Growth & Valuation.

Description: Exxon Mobil Corp., one of the world’s largest energy companies, has pledged to spend $14-billion (U.S.) to develop the Hebron oilfield off Canada’s east coast.

Source: theglobeandmail.com

Date: Jan 04, 2013

Link:  http://www.theglobeandmail.com/globe-investor/exxon-mobil-to-spend-14-billion-on-hebron-offshore-oil-project/article6942298/

Questions for Discussions:

  • Summarize the highlights in this report that relate to the involvement of government in decision-making.
  • Why would the company be motivated to develop this particular offshore field?

 

Posted by & filed under Growth & Valuation.

Description: Buying a diamond at a jewelry store is not a good investment, but if you can get the rock at wholesale prices, it could be lucrative.

Source: CNNMoney.com – video report

Date: Dec 24, 2012

Link:  http://money.cnn.com/video/pf/2012/12/24/pf-diamonds-investment-quest.cnnmoney/

Questions for Discussions:

  • How are wholesale diamond prices set?
  • Do you think they represent a good investment strategy?
  • Would a mutual fund solve the problems discussed in this report for investors?

Posted by & filed under Growth & Valuation.

Description: Pimm Fox discusses markets, investing and business. He speaks with Erik Schatzker on Bloomberg Television’s “Bottom Line.” (Source: Bloomberg)

Source: Bloomberg.com – video report

Date: Dec 28, 2012

Link: http://bloom.bg/VcbLPz

Questions for Discussions:

  • What is the basis for setting a value for these “investments”?
  • What are the carrying costs?
  • Do they represent a good investment strategy, in your opinion?

 

Posted by & filed under Uncategorized.

Description:  Jon Erlichman and Cory Johnson report on Barnes & Noble Nook’s not so merry Christmas. They speak on Bloomberg Television’s “Bloomberg West.” (Source: Bloomberg)

Source:  Bloomberg.com – video report

Date: Dec 28, 2012

Link: http://bloom.bg/12UHLfR

Questions for Discussions:

  • Explain the logic of the investment by Pearson.
  • How would a deal with B&N affect cash flow at Pearson in the long run?
  • Would you be an investor in B&N or Pearson?

Posted by & filed under Company Analysis, Management Issues.

Description:  Apple Inc.’s chief executive Tim Cook took a 99% pay cut in 2012, while Netflix Inc. CEO Read Hastings saw his salary doubled for 2013.

Source:  Marketwatch.com.com

Date: Dec 30, 2012

Link:  http://www.marketwatch.com/story/big-cut-big-raise-for-apple-netflix-ceos-2012-12-30

Questions for Discussions:

  • What is the issue surrounding these executive pay reports?
  • Do you believe executive compensation for Tim Cook is out of line?
  • What would you consider a fair formula for calculating executive compensation at Apple?
  • Would you be an investor at Apple if executive compensation was calculated differently?

Posted by & filed under Company Analysis, Growth & Valuation.

Description: Ryan Morris spent a week steeling himself for the showdown. Then 27 years old, he was in his first campaign as an activist investor, trying to wrest control of a small company named InfuSystem (INFU), which provides and services pumps used in chemotherapy. In the meeting, Morris would confront InfuSystem’s chairman and vice chairman, two men in their 40s, and tell them that as a shareholder, he thought the company was heading in the wrong direction.

Source: Businessweek.com

Date: Dec 20, 2012

Linkhttp://www.businessweek.com/articles/2012-12-20/ryan-morris-28-year-old-activist-investor

Questions for Discussions:

  • Summarize the highlights in this report that describe the investing strategy Ryan Morris follows?
  • What do you think of his basic strategy as an activist focused on small companies?

Posted by & filed under Company Analysis, Growth & Valuation.

Description: Investing lessons from 2012: HP and other dogs may keep sliding. Winners like Apple may continue to do well. Close analysis is crucial.

Source: CNNMoney.com – video report

Date: Dec 18, 2012

Linkhttp://money.cnn.com/video/pf/2012/12/18/investing-2012-retrospective.cnnmoney/

Questions for Discussions:

  • What is the investing advice offered in this report?
  • Do you think it contradicts conventional thinking about trends in prices and investor behavior?

Posted by & filed under Company Analysis, Governments & Regulators, Industry Analysis, Management Issues.

Description: Dec. 19 (Bloomberg) — Bloomberg’s Dominic Chu reports that General Motors will purchase 200 million shares of its stock from the U.S. Treasury as part of the department’s plan to sell its entire holding of GM stock within 15 months. He speaks on Bloomberg Television’s “In The Loop.”

Source: Bloomberg.com – video report

Date: Dec 19, 2012

Link: http://bloom.bg/XJiyR2

Questions for Discussions:

  • What is the government’s motivation to reduce the amount of ownership of GM?
  • Do you think the transition will be smooth, with respect to the market price of the shares?
  • How does government ownership affect the decisions to pruchase automobiles and other vehicles?
  • Why are GM executives motivated to remove government ownership?

Posted by & filed under Governments & Regulators, Management Issues.

Description: Critics ask why many bankers don’t face money-laundering charges

Source: Associated Press: VancouverSun.com

Date: Dec 19, 2012

Link: http://www.vancouversun.com/business/executives+jail/7719105/story.html#ixzz2FVWyW6mP

Questions for Discussions:

  • Do you think some executives should be jailed?
  • What are the implications if they are and what are the implications if they are not jailed?
  • How should financial penalties be decided in these large-scale operations of fraud or money laundering?
  • Should the shareholders be held financially responsible for criminal activities by executives?
  • If not shareholders, who?