Description: Pimco’s Mohamed El-Erian says the question now is not if the Federal Reserve will support the market, but if its policies will work. Source: CNNMoney.com – video report Date: Nov 18, 2013 Link: http://money.cnn.com/video/investing/2013/11/18/investing-mohamed-el-erian-pimco-stock-market-federal-reserve-bubble.cnnmoney/index.html Questions for Discussions: Why does El-Erian believe it is time to take some money out of stocks? Who is benefitting… Read more »
Posts Tagged: Debt
Bankers tied to JPMorgan’s $13 billion settlement doing just fine
Description: News that JPMorgan Chase would pay a $13 billion fine, the largest government penalty levied on a single company, initially led to calls that CEO Jamie Dimon should step down. That’s not going to happen. Board members have rallied around Dimon. What’s more, it’s unlikely that Dimon had any direct involvement in the troubled… Read more »
Record Highs Lure Investors Back to Stocks
Description: Investors are rediscovering their taste for equities. Stock funds took in $148 billion in the year’s first 10 months, after five years when money flowed out, according to Investment Company Institute data. The shift marks a reversal from the four years through 2012, when investors put $1 trillion into bond funds, and the financial crisis… Read more »
How will the Herbalife battle end?
Description: Cristina Alesci reports on the performance of Herbalife. She speaks on Bloomberg Television’s “In The Loop.” (Source: Bloomberg) Source: Bloomberg.com – video report Date: Nov 22, 2013 Link: http://bloom.bg/18VYOzD#ooid=xncG9raDojHmeoHBjPmU0dC79osxQsKf Questions for Discussions: Explain why a leveraged buyout makes sense for Herbalife? What are the possible ending scenarios for Herbalife? Which do you think will… Read more »
Yahoo is selling stock (so it can buy it back)
Description: Wall Street deals haven’t gotten any less convoluted since the financial crisis. We got some more evidence of that this week. Source: Fortune.com Date: Nov 22, 2013 Link: http://finance.fortune.cnn.com/2013/11/22/yahoo-buyback/?iid=SF_F_River Questions for Discussions: Summarize the criticisms leveled at Yahoo for the way this deal was structured. Do you think there is anything unfair or misleading… Read more »
Is peer-to-peer lending online the future?
Description: Lending Club Founder and CEO Renaud Laplanche is disrupting traditional banking by getting investors to lend directly to consumers online. Source: CNNMoney.com – video report Date: Oct 25, 2013 Link: http://money.cnn.com/video/investing/2013/10/25/investing-lending-club-peer-to-peer-loans-banking.cnnmoney/index.html Questions for Discussions: Describe the business model presented in this report. What are the pros and cons to the regular banking system? Do… Read more »
An Intriguing Product That’s Too Complex for Many
Description: The sales pitches go something like this: A mutual fund that promises to zig when the rest of the stock market zags. Bond funds that protect investors when interest rates rise. Access to the most sophisticated hedge fund managers in the country, even if you’re not particularly wealthy. Source: NYTimes.com Date: Oct 25, 2013… Read more »
Companies Embrace Low Interest Rates by Selling Bonds to Raise Billions
Description: For companies looking to raise money through the debt markets, and the bankers egging them on, it seems no sum is too large.Verizon Communications shattered records and shook up the bond world on Wednesday when it sold $49 billion of investment-grade corporate debt at one time. Source: NYTimes.com Date: Sep 11, 2013 Link: http://dealbook.nytimes.com/2013/09/11/verizon-set-for-49-billion-debt-sale/?ref=business… Read more »
JCPenney’s newest customers: hedge funds
Description: A number of hedge funds including Hayman Capital and Glenview Capital are buying up JCPenney stock in the hopes of turning around the troubled retailer. Source: CNNMoney.com – video report Date: Sep 04, 2013 Link: http://money.cnn.com/video/investing/2013/09/04/investing-the-buzz-jcp-glenview-hayman-capital.cnnmoney/index.html Questions for Discussions: What do you think these new buyers of stock see in the company? How does… Read more »
Bond yields hitting 3%? Not so fast!
Description: Fewer jobs were added than expected in August, which may be a sign that the economy is not strong enough yet for the Fed to start tapering its monthly asset purchases. Source: CNNMoney.com – video report Date: Sep 06, 2013 Link: http://money.cnn.com/video/investing/2013/09/06/investing-the-buzz-us-bonds-taper-jobs-report.cnnmoney/index.html Questions for Discussions: Explain the connection between bond prices and the interest… Read more »
