Archive - May 20, 2009

Innovative Quant Solutions out with a brief looking at the future of quant factors and whether it even makes sense to diversify these at all in 2009.

Innovative Quant Solutions out with a brief looking at the future of quant factors and whether it even makes sense to diversify these at all in 2009.

In his first note released in the post Sakwa world, Craig Schmidt continues to attempt to restore confidence in retail REITs. It would, after all, seem prudent to bang clients' heads into their desks until they see the light at the end of the tunnel (oncoming bullet train?) at a time when the only cash, and equity value, REITs can create is by raising expensive, dilutive equity in order to repay the cheapest form of capital (that of secured loans previously held by Mr. Schmidt uber parent, Bank of America).

Zero Hedge is launching a new daily bullet list of critical news items and highlights, which we hope will make the lives of traders and analysts easier.

• Government to get majority stake in GMAC, invests yet another $7.5 billion (Bloomberg)
• California falls deeper in budgetary crisis: major propositions voted down (Bloomberg)
• Japan economy collapses 15.2% in Q1 on export slide (Reuters and

If "Buy CDS" was the prior week's motto, this one's was "Do nothing, act busy, make many trips to kitchen." A paltry $6 billion in net CDS exchanged hands in a rerisking direction.

If "Buy CDS" was the prior week's motto, this one's was "Do nothing, act busy, make many trips to kitchen." A paltry $6 billion in net CDS exchanged hands in a rerisking direction.

And this time under a much more hospitable master. Dear Merrill - peace; the only thing Zero Hedge needs from you at this point is more documented REIT upgrades... And maybe the reason for Sakwa's departure. Amazing how much less rosier Rosie's reality is when you don't have green shoots breathing over your shoulder.