Did you get your hedge fund redemption demand in yet? The window closes today!

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Category: Hedge Funds, Investing, Trading

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

24 Responses to “Trusting the Hedgies”

  1. fatbear says:

    Who did the art? It’s great.

  2. Jeff M. says:

    Something strange just happened with GOOGLE. Over the last two minutes of trading, it went from around 413 a share to closing at 341 a share. CNBC reporting that the Nasdaq is investigating. I had been watching because I own it and almost fell off my chair when I saw the drop. It’s now trading back over $400/share in after hours trading. Crazy. This environment is really testing my patience and sanity.

  3. Barley says:

    I think thats what yesterday was all about – anticipating redemptions.

  4. gbug says:

    Something fishy w/ GOOG. It traded down to .02, yes 2 cents right before the close

  5. fatbear says:

    Who did the art? It’s great.

    Ah, I found it – from Hobotopia – did Adam do it, or was it from his grandfather?

  6. Posted by: Jeff M. | Sep 30, 2008 4:40:58 PM

    Jeff,

    ‘do tape painters get paid Union scale?’

    ‘non-linearity is the new volitility.’

  7. Jeff M. says:

    Glitch or hedge fund redemptions?

    News Story

    Text Size: A A AUPDATE: Erroneous Trades May Be Behind Google’s Late Fall
    5:13 PM EDT September 30, 2008

    (Adds statement from Nasdaq, possible reasons why stock took such a dramatic drop.)

    By Ben Charny
    Of DOW JONES NEWSWIRES

    SAN FRANCISCO (Dow Jones)–The Nasdaq Stock Market said potentially “erroneous trades” at the end of Tuesday’s session sent shares of Google Inc. (GOOG) down more than 16% in about two minutes.
    A spokeswoman said the exchange continues to investigate the matter.
    “Participants should review their trading activity for potentially erroneous trades and request adjudication,” Nasdaq said in a statement.
    Google didn’t have an immediate comment.
    Google’s shares ended the day down 10% to $341.39, which is a nearly two-year low, after falling more than 16% at the tail-end of the session. Shares recently rebounded sharply after-hours to trade at nearly $407.
    Google’s shares have been under pressure in recent weeks because of concerns about the online advertising market’s stability as the global economy weakens. But on Tuesday there was no fundamental reason for such a dramatic drop.
    A glitch is the likeliest culprit. According to FactSet Research, there were at least seven trades of Google shares for one penny a share executed in the last two minutes before the market closed.
    But the drop could also be a sign of hedge funds dumping their Google shares. As the last day of the third quarter, Tuesday was one of four days this year that hedge funds can sell off their holdings.
    -By Ben Charny, Dow Jones Newswires; 415-765-8230; ben.charny@dowjones.com

  8. Scott in Chicago says:

    @Jeff M (whose patience and sanity is being tested): If you can maintain yours while all around you are losing theirs, you just might be wrong and lose your ass.

    Um, to paraphrase an old saw and do a 180 on the point of same. JM, I’m just playing around… ;)

  9. Jeff M. says:

    @Scott in Chicago: Fair point. Maybe I should just “lose” mine as well?

    I need a vacation.

  10. karen says:

    Jeff M., I had to leave 30 minutes before the close today. I’ve been catching up and noticed the GOOG business. Have you discovered anything else since the investigation? My 1 minute chart doesn’t show it falling as low as 341, but the 5 and 10 minute chars do. One of my stocks from yesterday has a really low print, from 6.40 to 3 for only 1 minute. I assumed it was a bad tick… but it’s still in the chart.

  11. karen says:

    Jeff M., sorry your new post wasn’t up when I posted. anyway, i do see goog at 413.90 in after hours.

    of course, none of this is real anyway. this bailout business is all for show, to pretend the $$$ comes from somewhere. no wonder paulson and bernanke are frustrated, the House standing on principles when it’s all just funny, electronic money.

  12. SteveC says:

    I wouldn’t worry about GOOG. If it was worth 417 at 3:45, its worth about the same now. Looks like a computer glitch on a large program trade.

  13. Jeff M. says:

    @Karen: Yep, looks like a glitch, although it could get killed “for real” again tomorrow and beyond. I’m kind of hoping it runs for a bit so that I dump it.

    My account now says it closed at 320/share (not 341). Weird. Must have been a glitch.

  14. karen says:

    Jeff M., I see they are cancelling the trades:

    http://www.247wallst.com/2008/09/nasdaq-cancels.html

    Pursuant to Rule 11890(b) NASDAQ, on its own motion, has determined to cancel all trades in security Google Inc Cl – A “GOOG” at or above $425.29 and at or below $400.52 that were executed in NASDAQ between 15:57:00 and 16:02:00 ET. In addition, NASDAQ will be adjusting the NASDAQ Official Closing Cross (NOCP)and all trades executed in the cross to $400.52. This decision cannot be appealed. MarketWatch has coordinated this decision to break trades with other UTP Exchanges. NASDAQ will be canceling trades on the participant’s behalf.

  15. catman says:

    AGC traded down to 4.13 yesterday for minute – no bids I assume, and I got a late fill on TWM at the close – and a good one. When the going gets weird the weird turn pro – Uncle Duke

  16. karen says:

    weird is right! do you have cats?:

  17. Jasper says:

    I was thinking about Buffett’s $million bet against the bucket of hedge funds.

    Love to see how that “carefully chosen” list of hedge funds has fared so far versus the S&P.

  18. medina says:

    Ape Lad + LOLcats = hilarity

  19. AGG says:

    Barry,
    Please take a look at the Pam Martens article on Counterpunch. She read the whole Paulson travesty and was saving the originals as the supposed frozen version was being changed even as she read it. At one point it changed from 102 to about 120 plus pages. She caught a hot hidden clause at the end about a reserve relief for holding banks (you now, the thing GS and Morgan Stanley morphed into this past weekend with such rapidity) due to take effect in 2011 CHANGED to take effect with this plan! It’s great reading. They’re working quickly to slip it to us.
    On another subject, Pelosi has over $500,000 in AIG stock. Of course there couldn’t be any confilct of interest for “vote for us and we’ll end the war” Pelosi.
    If this keeps up there is going to be a bull market in pitchforks and torches.

  20. Egidius Kuhlmann says:

    Just to remember
    http://finance.google.com/finance/historical?q=NASDAQ:GOOG
    Google Inc. (NASDAQ:GOOG) – historical prices
    Date Open High Low Close Volume
    30-Sep-08 396.00 489.36 0.01 341.43 11,859,243
    29-Sep-08 419.51 423.51 380.71 381.00 10,763,221
    26-Sep-08 428.00 437.16 421.03 431.04 5,292,426
    25-Sep-08 438.84 450.00 435.98 439.60 5,023,126
    24-Sep-08 430.34 445.00 430.11 435.11 4,242,795
    23-Sep-08 433.25 440.79 425.72 429.27 5,205,564

  21. AGG says:

    RE:FASB157
    ” JPMorgan Chase & Co. analyst Dane Mott wrote in a report today. “Blaming fair-value accounting for the credit crisis is a lot like going to a doctor for a diagnosis and then blaming him for telling you that you are sick.”
    Bernake is showing some backbone on this one. He says there is no way to suspend these mark-to-market rules without undermining confidence and credibility. Maybe he’ll show some real courage and jam 10% discount rates down wall street’s throat but I’m not holding my breath.

  22. Dr. Kenneth Noisewater says:

    Not to repeat myself, but a classic Animal House moment…

    http://www.youtube.com/watch?v=t17FD-rDnA0

    (too apropos not to share)

  23. hedge fund analyst afraid of redemptions says:

    hey now, that ain’t very nice!