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Bill Gross On The Alpha And The Beta

Submitted by Tyler Durden on 05/21/2013 10:19 -0400

We are now used to the daily dispensation of deep twitsight by Pimco's head. Today's installment does not disappoint: in under 140 characters, the bond kind breaks down the now thoroughly dis-proven Efficient Market Hypothesis for the "new normal" in which both alpha and beta are purely functions of virtual central bank printers. However, his view on what happens when said virtual ink runs out (or rather if) is well-known by all at this point. The only question is when.

Gross:Alpha is gr8ly a function of beta &the levered structurs that domin8 credit mkts. No beta? Skinnier alpha ahed 4 unsuspecting investrs

— PIMCO (@PIMCO) May 21, 2013

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Tue, 05/21/2013 - 10:22 | 3583838 LawsofPhysics

The yield on the ten year is kissing 2.0%, get busy Bill and start buying that shit. Don't stop playing along now fucker...

Tue, 05/21/2013 - 10:22 | 3583841 Rustysilver

Is Bill Gross a 12 year old girl. He spends a lot of time on twitter.

Tue, 05/21/2013 - 10:24 | 3583850 Rory_Breaker

Somebody tell Bill that he is going to hell.

Tue, 05/21/2013 - 11:06 | 3584044 ParkAveFlasher

OMG h8 hell 2 hot.

Tue, 05/21/2013 - 10:24 | 3583853 Dollar Bill Hiccup

When?

When the Chairman is skating in Hell?

Caveat : Networks and social media are pushing things along at a faster rate.

Hell could freeze over very quickly. It's a bit like William Blake in reverse.

Tue, 05/21/2013 - 10:24 | 3583854 skm

Your lives are in the hands of men no smarter than you or I, many of them incompetent boobs. I know this because I worked alongside them, gone bowling with them, watched them pass me over for promotions time and again. And I say... This stinks! --Homer Simpson

Tue, 05/21/2013 - 10:26 | 3583861 Cognitive Dissonance

The reality beatings will continue until even the promoted alternative reality has surrendered any connection to logic and reason.

<Moar please. I want moar pain.>

Tue, 05/21/2013 - 10:32 | 3583885 Bearwagon

As you shirley are aware, people react to their conception of reality - not reality itself. And you know quite well, that logic and reason are completely irrelevant - it's emotions that count. So don't you let them dishearten you. You don't want moar, you don't want pain - you want to live. So, do it. Yes, you can! :)

Tue, 05/21/2013 - 10:46 | 3583943 disabledvet

It is an axiom that our physical time on this earth is limited. Imagine if in an eternal after life all you had was pain...

Tue, 05/21/2013 - 10:47 | 3583953 disabledvet

Or the pain you caused others...

Tue, 05/21/2013 - 10:53 | 3583984 Bearwagon

Every pain - yours or others - is just a shame. There is nothing dignified about suffering!

Tue, 05/21/2013 - 11:20 | 3584097 disabledvet

Pain is FELT suffering is SEEN. If you can find it within your SELF to discover a SPIRITUAL being then guess what...while you you may be SEEN to be suffering you may IN FACT not be in pain...at...all.

Tue, 05/21/2013 - 10:51 | 3583976 Bearwagon

If that were to be all I had - I wouldn't know.

Tue, 05/21/2013 - 11:42 | 3584206 moonman

Stop calling me Shirley

Tue, 05/21/2013 - 11:49 | 3584244 Almost Solvent

Surly to bed, surly to rise, and surely Shirley will find a new guy!
(Thanks to my 8th grade English teacher for that one)

Tue, 05/21/2013 - 10:27 | 3583864 azengrcat

Icahn = Alpha

Ackman = Beta

Tue, 05/21/2013 - 10:28 | 3583871 Seasmoke

Gross is really good using the 4 and 8s

Tue, 05/21/2013 - 10:31 | 3583883 Cognitive Dissonance

He has a 20 something intern do all his tweeting.

<Hold please. Translating to tweet speak.>

Tue, 05/21/2013 - 10:42 | 3583920 Cacete de Ouro

He has a 20 something intern to sharpen his pencil ...

Tue, 05/21/2013 - 10:45 | 3583940 Cognitive Dissonance

Aren't we talking about the same thing? :)

Tue, 05/21/2013 - 11:59 | 3584288 Cacete de Ouro

I guess so :)

Tue, 05/21/2013 - 11:06 | 3584045 syntaxterror

Y the h8?

Tue, 05/21/2013 - 10:29 | 3583872 847328_3527

Top 14 Jobs That Don't Require a College Degree

While one's earning potential increases with a college degree, you don't necessarily need to spend $40,000 a year for a diploma for a job that pays as much.

http://abcnews.go.com/Business/top-14-best-jobs-college-degree/story?id=...

College execs hate these articles....that discourage kids plunging into $80k (and up) debt to pay their salaries.

Tue, 05/21/2013 - 11:34 | 3584155 NotApplicable

From what I've seen in my efforts to dissuade kids from a lifetime of inescapable debt, they simply cannot visualize any alternative that would make them better off later.

Of course, had the state schools provided a coherent education, these kids might not be so quick to fall prey to the indoctrination they received instead.

My nieces and nephews are amazed that my 17 yr. old daughter has started her own business, as it's a concept that has never crossed their mind.

Tue, 05/21/2013 - 11:35 | 3584160 Mrmojorisin515

these articles are crap, utter crap. Try applying for these jobs with a BA and see if you get hired, i'm convinced that most job postings are fake and that companies get tax credits for posting so many "jobs". Can't even get a god dang interview, everything works with market fundementals. If a company feels its market is growing and they are too, they will hire. If everything is BS, like now, you might as well just pay some people working in the company to get you an interview.

Tue, 05/21/2013 - 12:49 | 3584451 1C3-N1N3

i'm convinced that most job postings are fake and that companies get tax credits for posting so many "jobs"

Or that all those applications they accept are just for collecting and selling personal data...

Tue, 05/21/2013 - 10:36 | 3583876 Dr. Engali

Let's see 2% on the ten year of 5 % on junk,which way do I go? Since the ten year is junk, I might as well go with the 5%.

Tue, 05/21/2013 - 10:29 | 3583878 mattdubz86

BTFD! before the Tuesday rip!

Tue, 05/21/2013 - 10:42 | 3583880 Cdad

Just a few voices of wisdom are now beginning to penetrate the din of daily "new record high" computerized pachinko machine nonsense [with, of course, Tyler Durden out ahead of them all] that's been goin' on. If you listen carefully, we are now nearing that time when 'this will end well.'

Bill Gross knows it. Kyle Bass knows it. The ZH brotherhood knows it. Even average Joe seems to understand [if we measure his knowledge based on his utter lack of interest in the pachinko machine "market."]

That leaves The Banks...which seem to refuse to understand what is about to happen...for pragmatic reasons, of course. And so to all the underperforming hedge funds out there...I say to you...isn't it time to sell this market into oblivion, if not only to improve your performance by turning your hedges towards the profitable side...but also to finally help the US rid itself of these bag holders...aka our beloved zombie banks?

Tue, 05/21/2013 - 11:14 | 3584081 disabledvet

You have to decide what side your on first. Then you have to build an ethical construct...THEN it's "anchors away"...or "off with their head" course. This place will always remain "the dark side" to Seeking Alpha's "bright white light." everyone on both sites have always known what side I am on and my views on the ethical construct (situation, mission) but as anyone who even cares to believe in anything other than fairy tales will tell "everything changes on the execution portion."

Tue, 05/21/2013 - 11:17 | 3584090 disabledvet

In other words "stop bitchin' about the execution" ZH'ers. That's called "doing your job." by all means comments on the last two phases of a mission statement are welcome of course...

Tue, 05/21/2013 - 11:48 | 3584240 Cdad

Despite your two attempts...I have no idea what you are tryinig to say.

Tue, 05/21/2013 - 10:34 | 3583894 jumbo maverick

That so called paragraph that was typed in the story, was that what twitter is? I've never used twitter and most likely never will. What the fuck is going on?

Tue, 05/21/2013 - 10:47 | 3583952 buzzsaw99