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Paulson Dumps All Sino-Forest Holdings: $750 Million+ Realized Loss
Done and Done. "Paulson reports that, as a result of dispositions of Common Shares of Sino-Forest on behalf of the Funds, the aggregate number of Common Shares held by the Funds as of close of business on June 17, 2011 was zero. Paulson no longer owns any shares of Sino-Forest."
The world's smartest investor just capitulated, confirming he has fallen pray to the oldest trick in the stock fraud world. And so much for careful "due diligence" underlying each and every decision at the fabled fund.
Rough estimate of loss on his stock and and bond holdings: $750 million+.
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Who bought it all? The Fed?
That was my first thought. Who bought it?
Um, the market. Were the extreme volume and daily gaps not an indication?
Thank you, Captain Obvious. I guess I should have said, "Why was anyone foolish enough to buy it?"
Market makers...
750+ million loss? OUCH!
There is no need to be so rude - you piece of shit!
Over the last 3 weeks who bought? More like who hedged to a flat position?
Comex
Doesn't matter it'll be backed by US taxpayers...
The Mets.
+1
You must forget that this stock is heavily shorted. So some impatient short seller bought it to cover.
+1
BWAHAHAHAHAHA
Couldn't happen to a nicer guy.....
1. You can't eat plastic trees.
2. BTFRT - buy the fucking rubber tree.
3. Bitchezz.
China calls this a small payback for buying US Debt.
Thinking something similar... anyone else wonder if China is screwing Western investors with massive fraudulent IPO's as 'payack' for getting stuck with ever-declining-in-value US debt?
It's one way for them to make up their losses on T-Bills......
If? The only question is how?
Confucius say: Man who sport much hublis soon to be waid out.
Confucius says: "A lion chased me up a tree, and I greatly enjoyed the view (of the Sino Forest) from the top."
So the company lied last week when it said Paulson was supportive?
From Bloomberg June 15, 2011
“I’ve spoken to them and they are very supportive, giving us suggestions and issues that we need to address,” Chief Financial Officer David Horsley said yesterday in an interview.
http://www.bloomberg.com/news/2011-06-14/sino-forest-says-top-shareholder-paulson-supportive-after-stock-s-plunge.html
Liz, apparently telling the truth is not way high on their priority list.
judging by dates, he used his "supportive"-ness to dump the shares.
pfff, recover from that.
I actually did think JP was smarter than this. Lesson learned.
Turns out he's no less a dumbass than anyone else- well, at least a lucky dumbass.
lets hope youre wrong, as his biggest bet to date is still gold
Once touted guru expert with apparent CDS "networked" investor brilliance suddenly becomes a lazy, fat couch potato with a due diligence under-achieving track record. Shocked. Just Shocked.
"The rise and fall of John P."
Now in book stores around the country.
Shoulda lightened up on the hookers and shrooms....screwed up his mojo
He must have started believing the hype that he was a genius, but we all know he made most of his money through insider trading and packaging shitty deals then betting against them.
Not to worry, the new Dodd-Frank bill will provide twice as much in tax credits for giving the Chinese (ahem) jobs.
Poor guy.
What, is he at $54.25 billion in net worth now?
shibor me timberz!
Nothing but smiles across the Chinese investment frontier.
Wait until its not just your passive investment, but your IP, inventory and 10 years of R&D that just drove off in a PLA band wagon.
Just speaking from experience folks. You're next.
China pulled the biggest con in history - instead of having to borrow billions to industrialize, they got the West to GIVE them whole factories in exchange for cheap labor. China got a huge industrial base for free - grew their GDP with all the new production, put a surplus rural population to work and managed to buy up energy and raw materials world-wide with all the $$$ they got making crap sold in Wal-Mart....... They got all kinds of hi-tech R&D GIVEN to them as well - be it electronics, computers or aircraft as part of the cost of doing business with China.... and they're stealing what isn't given to them outright.....
The West had hastened the rise of China by a century - and their own decline as well.....
That's right.. been there.
One way trip - factories, equipment and technology go in and they don't come out.
Greed gave it away. Some American families got very wealthy in the process.
Yea I grudgently agree with the bunch of you damn it. You are right, It goes in and the USA made it happen. We deserve it.
The best we can do is one of two things. QUIT buying china, dry them up or go to war in the future and wipe that base out. Ours is finished anyway so... *Shrugs.
"China pulled the biggest con in history..."
And now, to bury the U.S. without firing a single shot, all they need do is nationalize everything; no reason not to do it at some point.
He still gets his 2% bitchez! hahahaha!!!
Yup... and maybe his 20% is in absolute terms. In which case, cha-ching for Paulson!
Though generally not one to enjoy others' misfortunes, I somehow find myself grinning ear to ear at this news. Hubris meets Karma.
If Karma were functioning properly, Paulson--all People named Paulson--would be in jail. Perhaps the devastating loss of forestry products leaves him beyond the pail. Let's hope so, as we all know he deserves nothing less than to be securely ensconced in steel.
He was playing with "house" money anyway.
You get cocky and you get taken.
10 billion (abacus) minus 750 mil still ahead of the game. Even winners lose and losers get lucky sometimes, which is it?
Easy come, easy go.
whoops
The China Miracle is just a huge
collection of bullshit stories sold to
gullible investors, bitchez.
I just hope he stuck by his forest products analyst. They can't all be gems!
There is an excellent book on the subject - 'digging for disclosure.'
I bet there were any number of people inside Paulson's organization screaming "are you f- - - - kidding me?" when Paulson handed down the due-diligence-free buy order on this one. Would love to hear the real story on who decided this one. If he has an idiot son in the business, that would be a classic explanation.
We're talking about a billionaire that steals his cable. He probably figured he'd save a few bucks.
double whoops
Dump it all into netflix!
http://www.forbes.com/feeds/ap/2011/06/20/business-broadcasting-amp-entertainment-us-netflix-analyst-notes_8525438.html
There is an excellent book on the subject - 'digging for disclosure.'
Hey JP,
Just a head's up. I'd start selling that fraud ridden pig GLD asap too...
Wait, didn't someone just blog that stocks are horribly undervalued? < sarc off >
Well, let's see, that's 750 Million ass wipes flushed down the toilet, or
with a US population of 300 million, that's at least two ass wipes per person, or
with a EU population of over 500 million, that's at least one ass wipe per person.
Mama Mia, that's a lot of ass wipes.
(Note: not enough ass wipes to cover the Asian population, gotta just use the ole hand wipe, or in Paulson's case, just stick thumb up arse and twirl away, cause it wasn't his money anyway).
it would be funny if the stock went back up tomorrow.
'the Paulson bottom'
err,, ass-wipe
Easy come easy go.
Sino-Forest... did the investors do the same kind of due diligence with the similiar entities Euro-Confetti and Americano-Fiat?
In the words of Seinfeld, " I am....Even Steven"
I moved to ultra aggressive in the Pacific Life annuity I manage for someone (tracks S&P 500 within a couple percent). Was conservative since around 12500 (sell in May), but it's time to buy again.
I was in conservative 3/4 the way down from 2008 and had moved to aggressive during the crash (I bought a little early) around 8700 I believe, but it was close enough to the bottom that the ride up with QE 1 and 2 was profitable. (I've been pretty lucky not needing much patience to get wild, straight arrow swings in my favor)
My plan is now to stay in ultra aggressive and squeeze every last penny from the extend and pretend, which is real in case you had any doubts. The theory is simple and sound: Money is chasing a return that can only be gotten in the stock market.
In a year I expect to liquidate the account around DOW 15,000.
I'm buying GOOG 600 strike JAN 2012 call options at these levels to squeeze more out of the rally, convinced by the great Reggie Middleton himself that it's a sound and unstoppable company.
If this happens, I will be picking up lots of physical silver middle of next year, TBT call options, along with 2 year PUTS on just about anything that rose the most during this phantasmal bull market.
By next year or end of next year, we should begin to sell off pretty hard from the all time highs and maybe after the election the new or re-elected president can watch S&P 500 reach 500 in 2013.
My only miss was buying a few puts on PCLN a while back. But I went back to the well and doubled down on MORE PUTS near the all time high and am sitting on them hoping it dumps back into the 200's, as it is a joke of a company.
I own some Physical silver but not enough for my taste.
*Crystal ball off.*
Read the fine print on that annuity and good luck.
Good luck with buying physical silver next year :)
Forgive the outburst of schadenfreude above my keyboard, but seeing Paulson brought low by a Chinese stock scam just tickles the cockles of my heart.
Small typo, Tyler: "confirming he has fallen prey (not pray) to..."
This will sound great on CNBCockup.
I listened to that bang bang hoe today on CNBC and the Chinese market is a total fraud.
Is there something similar to a shareholder derivative suit for hedge funds? I presume some lawyers are already involved.
You'd have to be the bernancarbunkle to buy this crap. Do you think? no he wouldn't? but then who else?
"Who else?"
Maybe J-C Trichet (a.k.a. "Pappy Lepew" to his lady friends and hotel maids the world around), looking for a suitable vehicle to offset the ECB's Greek-bond exposure.
this is music to my ears: "you got burned, fucker!"
It's not everyday you get to see a master of the universe get a serious buttfucking.
Too funny.
750 million dollar loss, this guy is puking his guts out. He probably thought that he had an angle on them and was going to make a killing like the mortgage fiasco. In reality, the chinese owners of the company made a killing taking his money.
live monkey brains for dessert!
How many millions does it take to stab through the billions availible to this guy before it stings? Must be a awful lot of fat on there.
All the hungry little piggies homeless and lost could have been made hole across the USA by a simple whoopsie by a richie rich.
YUCK
So, what percentage of his hedge fund was this?
Last year Paulson was telling everyone to borrow all they could and buy real estate . Prpbably the same time he was taking the Sino position.
His most famous quote I know.
"no one seems to call when you are making them money"
The phones are ringing!
Her green plastic watering can
For her fake chinese rubber plant
In fake plastic earth.
That she bought from a rubber man
In a town full of rubber plants
Just to get rid of itself.
And it wears her out, it wears her out
It wears her out, it wears her out.
Paulson hasn't deserted China yet, he is franchising laundries all over the country....
somewhere, gould and fisk are smiling. somewhere else, the made-in-china version of gould & fisk are setting up their next con, looking for their next vanderbilt.
Carson Block: game, set and mucho dinero.
I have just obtained a copy of the due diligence report generated for Paulson's fund. The report, prepared by Johnny Simpson from Miss Myrtle's grade 5 class in Hoboken, NJ, reads as follows:
"Sino-Forest - I like the name. You should buy it."
Love, Johnny (from Miss Myrtle's class)
Here's hoping that JP loses all the money he made off short selling subprime mortgages...
PS - "Some investors have encouraged Sino-Forest to buy back shares to restore investor confidence. The company said it has been advised by counsel that it and its directors and officers are precluded from buying stock in the current circumstances." Muwahahahahaha...