This page has been archived and commenting is disabled.

Tepper In Full On Shrinkage: Reduces 95% Of Stock Portfolio, Dumps Bank of America, Wells, Yahoo

Tyler Durden's picture




 

While the kindly and crony old Octogenarian Octopus of Omaha was telling everyone about how bullish he is on America, other, more capable traders were dumping everything and retracing assorted balls which are no longer to be found anywhere near walls. Case in point is David Tepper's Appaloosa, which of the 63 positions tracked by us, sold are all part of his holdings in 59 of the total, or 95% of total. Among these were full liquidations in Bank of America, Wells Fargo, Fifth Third, as well as Yahoo, Pfizer, Walter Energy, Metlife, Merck, Medtronic, Marathon Oil, Manitowoc, Frontier Oil, DR Horton, Alpha, ConWay and Cliffs Natural. Looks like Tepper is no longer betting that EVERYTHING will benefit on another global rescue by the Fed. And yes, for the record, he did establish new positions in BP, Dana, Calumet and Holly Frontier, which also happened to be the only positions he added to!

 

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Mon, 11/14/2011 - 17:29 | 1877056 redpill
redpill's picture

Hi kids, the word of the day is CAPITULATION


Mon, 11/14/2011 - 17:30 | 1877063 Pladizow
Pladizow's picture

YTD %?

Mon, 11/14/2011 - 17:41 | 1877098 redpill
redpill's picture

On his BAC alone he would have taken a bath of at least a couple bucks a share (if he timed it perfectly and dumped them on August 30), potentially much more.  Multiply by ten million shares...

Mon, 11/14/2011 - 18:36 | 1877266 johngaltfla
johngaltfla's picture

I don't think it is "capitulation" but a recgonition that the Fed is about to drop one in the punch bowl. Twist won't save Europe and Europe won't save Europe so the last thing you would want to own is any corporation involved heavily in the Eurozone or any part of the U.S. financial sector. The crash will be inspired by the Euros this time, and their ability to postpone this appointment appears to be failing again. Tepper smells it coming.

Mon, 11/14/2011 - 19:24 | 1877352 CPL
CPL's picture

He's the first one out of the pool.  Good for him, means he's not going to be holding the bag.  Now to try to make sense of what he bought.

BP - Oil
Dana - Axel and power distribution, engineering core...builders.
Holly - lubricants and refinery type of work
Calumet - lubes and refinery type of work

BP - Strong distribution channels and retail infrastructure
Dana - New drive/power train...new catalytic converter?
Holly/Calumet - have a merger coming up?

Something new is coming out to supply light truck engines to use less oil?

Holly/Calumet...no clue other than two seperate technologies being used with what Dana is building.  BP packages it and sells it.

Mon, 11/14/2011 - 22:44 | 1877961 johngaltfla
johngaltfla's picture

CPL, look at your list...they have another purpose:

Fueling a war.

Mon, 11/14/2011 - 23:06 | 1878000 earleflorida
earleflorida's picture

a carburetor to convert from diesel fuel  to natural [lpg] gas, or vise versa - flex fuel  switch for long haul transport fleets -

next stage will be all state/municipality  vehicles, police,... etc., etc.

jmo

Mon, 11/14/2011 - 21:19 | 1877760 Buck Johnson
Buck Johnson's picture

Your right, they know that the EU won't or can't fix this problem (to much debt like everywhere else).  And that the US and it's banks have massive insurance on alot of that debt, and they can be drawn into it.  So these funds are trying to get out before the hammer starts coming down in a few weeks.

Mon, 11/14/2011 - 17:30 | 1877060 pods
pods's picture

I was in the pool!

pods

Mon, 11/14/2011 - 17:30 | 1877061 H H Henry P P P...
H H Henry P P P Paulson's picture

Don't call Buffett that, it's offensive towards Octopuses.

Mon, 11/14/2011 - 17:30 | 1877066 FLUSA.com
FLUSA.com's picture

So where did they place all that cash? Or are they sitting on the sidelines?

Mon, 11/14/2011 - 17:47 | 1877118 redpill
redpill's picture

It's essentially an admission they are totally clueless, don't actually know what is going on in the market, and are scared shitless so they are content to make absolutely nothing and yet continue charging their clients fees for sitting on their cash.

There's a much more affordable vehicle for such a fund strategy, it's called a MATTRESS.

Mon, 11/14/2011 - 19:00 | 1877298 HAL 9000
HAL 9000's picture

 

Perhaps he went with Doug Casey and is short bonds:

"One of the best one-way speculations right now -  you can make a fortune being short bonds at this point."

 

http://www.healthywealthywiseproject.com/

 

 

Mon, 11/14/2011 - 17:31 | 1877067 DB Cooper
DB Cooper's picture

That's no way to get on CNBC again soon!

Mon, 11/14/2011 - 18:10 | 1877191 JW n FL
JW n FL's picture

 

 

CNBC Twit asks " So David? where are you investing today?"

David.. "Oil, becuase the $600 Billion Dollars Arms Credit we (America) have with Saudi Arabia is about to expire and the price of Oil is going up, Up! and AWAY! as well in BP.. becuase the Russian's let them charge what the fuck ever they want too!"

CNBC Twit asks "What about Gold?"

David.. "We have been secretly buying Gold Like! China, Iran and every other Person, Corporation or Country in the World.. becuase we are a U.S. Company and subject to siezures.. we have it ALL OFF SHORE! so that we do NOT! have to pony up when Queen Obama and the flying Monkeys come a knockin!"

or something like that!

Mon, 11/14/2011 - 17:31 | 1877068 BigMike
BigMike's picture

Doesn't own any gold/silver bullion etfs and doesn't own any gold stocks.

Mon, 11/14/2011 - 17:32 | 1877071 Cdad
Cdad's picture

We have been treated to three solid weeks of the BlowHorn [CNBC] sending out the message that the "chase for performance" was on, and the market is certain to rally into year end.

And what does D. Tepper do?  Massively sells into the message.

Perfect.

Mon, 11/14/2011 - 17:50 | 1877126 oldman
oldman's picture

Cdad,

great observation and funny after seeing how the dude cleaned out the closet

I guess it's true that some will believe whatever they CNBC               

thanks     om

Mon, 11/14/2011 - 17:34 | 1877073 TooBearish
TooBearish's picture

so tepper happy owning treasuries at 0% ?!??

Mon, 11/14/2011 - 17:41 | 1877102 sabra1
sabra1's picture

i think he's buying real estate in canada, it only goes up, defying all logic!

Mon, 11/14/2011 - 17:35 | 1877076 PulauHantu29
PulauHantu29's picture

Odd coincidence. My Father sold some of his bank stock paper and bought some of those Beautiful Dragon coins. I told him what Buffet says, "you can't eat gold" ...but he shook his head, showed me the shiny proof coins and went to the bank to lock those up.

You can't teach old folks, can you? Maybe I'll get him Buffet's book for XMas.

Mon, 11/14/2011 - 17:39 | 1877088 sabra1
sabra1's picture

all sounds well, except the part where he's locking up the gold!

Mon, 11/14/2011 - 17:44 | 1877107 DutchR
DutchR's picture

"went to the bank to lock those up"

If they are locked up at a bank they are not free.

 

Shit meets fan, bank goes bye bye.

 

Mon, 11/14/2011 - 17:44 | 1877108 NotApplicable
NotApplicable's picture

The bank????

*head asplodes*

Mon, 11/14/2011 - 17:55 | 1877140 Dr. Richard Head
Dr. Richard Head's picture

That's like a married man divorcing his wife because she was cheating and then he goes and marries a prostitute.  He was half way there........sooooooooooooooooooooo close, yet so far.

Mon, 11/14/2011 - 18:17 | 1877219 Dr. Gonzo
Dr. Gonzo's picture

The federal agent that gets to raid his safe depo box during the next executive ordered U.S. bank holiday is going to love those pretty proof gold dragons. His gold would probably be safer laying around like loose change on his kitchen table since safe deposit boxes WILL BE one of the first things pilfered during the inevitable bank holiday. It's already written in the Patriot Act that you are not supposed to store gold in safe deposite boxes so they could legaly take if from him now if they wanted to. Not trying to panic you just trying to help a fellow zerohedger's dad out.

Mon, 11/14/2011 - 18:34 | 1877259 CrazyCooter
CrazyCooter's picture

I tired to source that and could not.

There are only two keys to a SDB, both of which you get when you lease it. They can drill it without you being present (they would have to drill the whole vault all across the US at the same time) or they could be present when you access it. That would require a change in law regarding gold/silver ownereship. If this happened, what do you think the price of gold/silver would be on the market (which no longer exists). This law would effectively shut down US based bullion dealers.

I would be interesteed in constructive debate on how that plays out, because if they outlaw gold, you won't be able to sell it legally in the US, so your pawn value is suddenly questionable (who would buy it - except a neighbor who then assumes the liquidation problem). SDB or not doesn't make much difference.

Regards,

Cooter

Mon, 11/14/2011 - 19:01 | 1877302 grey7beard
grey7beard's picture

A safe deposit box is the best place to keep it.  The confiscate gold non-sense is just like they are going to take the guns non-sense.  The only people who are likely to take your gold are burglers at your house.

Mon, 11/14/2011 - 19:42 | 1877411 PulauHantu29
PulauHantu29's picture

Thanks, I'll tell him that. Honestly, he has so much junk laying around I don't think anyone could find anything in his house. So your suggestion may be a good one. He could just lay it under one of the pieces of bread on the table that is moldy. Better yet, bury them in the bottom of that can of half-eaten beans that has been sitting out at room temp on the shelf for over three weeks now.

Sad how old people deteriorate. But he is smart enough to dump his bank stocks the last uptick...I'll give him that!

Mon, 11/14/2011 - 17:36 | 1877077 TheLooza
TheLooza's picture

sorry, this guy's not a real trader. where are his AMZN, PCLN, CRM, CMG, NFLX, LNKD, GRPN, MCP, GMCR, BIDU, LULU, OPEN, SINA, SOHU holdings? He's missing out on epic potential returns.

Mon, 11/14/2011 - 19:29 | 1877363 CPL
CPL's picture

totally?  dude...no way

Mon, 11/14/2011 - 17:40 | 1877093 kito
kito's picture

here it comes, the deflationary storm. catagory 6. deleveraging earthquake, 9.2 in the richter scale. 

GET OUT OF EVERYTHING NOW!!!!!!! lock the doors, board up the windows, stand under doorways only!!!!! make sure you have scuba gear!!! be prepared for the mother of all catastrophes!!!!

Mon, 11/14/2011 - 19:33 | 1877384 CPL
CPL's picture

I'll put the kettle on...this requires a hot beverage.

Mon, 11/14/2011 - 17:41 | 1877101 bogey4
bogey4's picture

How smart can a guy be who owned Bank of America, Wells, and DR Horton ?

Mon, 11/14/2011 - 17:50 | 1877125 mutty
mutty's picture

2 and 20. sheesh. Sells everything on the down Q3 and gets jacked by an october rally. Clown convention

Mon, 11/14/2011 - 19:16 | 1877339 I am a Man I am...
I am a Man I am Forty's picture

Not smart at all, none of these guys should be touching any of these large financial institutions.  BP was a decent buy when it was down at 35 and change recently, I picked some up there.

Mon, 11/14/2011 - 17:45 | 1877111 Ruffcut
Ruffcut's picture

Someone was dumping RWT redwood trust today, under the berkshite a and b funds. Their actual diluted earnings were 1 cent verses est 23 cent. I thought their jumbo primeX exposure would make the stock tumble, only today is it reflecting the mortgage shitbag it is.

IS there no more ponxi strength of the financials?

It may be a very cold winter, bitchezzz....

Mon, 11/14/2011 - 17:45 | 1877114 Hedgetard55
Hedgetard55's picture

They all looked good when the market was Ponziing. They all will lose everything when it crashes for good.

Mon, 11/14/2011 - 17:52 | 1877131 kevinearick
kevinearick's picture

"A record-setting year of disasters took its toll on the nation’s roads and bridges, and the federal fund to help states rebuild them has been tapped out."

Instinct, Inception, & Key Distillation

The old man tells me that the cop he provided beachfront property to has 900 officers to investigate my background. Crack me up.

So, we left off at balancing the system by replacing redundant delay mechanisms with more effective/diverse adaptations to extend the relativity circuit, adjusting, adding, subtracting and moving gaps in the multiplexer(s). Intelligence is thereby distilled from the replicative control of memory/knowledge in the parade line. 7 billion people do not emerge from or return to vacuum. The relativity circuit looks quite different from the perspective of the rock (Enjoying the sun activity?).

The subconscious builds a decision tree of future probabilities based upon the social programs/authorities accepted over time. For example, 2x + 3y will appear in one branch, and 4x + 6y will appear in another. For the knowledge-based participants, the frames will appear as distinct perceptions, but for the learning-based the algebraic reduction to constants is automatic.

Time decelerates with knowledge and accelerates with intelligence, due to process delay. Due to historical gaming, the learner appears slower, until algebraic reduction is complete, when quantum acceleration occurs. Choose authorities carefully and diversify to distill intelligence. Swim with the outliers; the point of God the Unknown as the final authority is to avoid the black hole of the groupthink replicating virus.

Logic and emotion may compliment or destroy one another, in a feedback loop. Employ emotional intelligence to uncover and remove false assumptions to the end of resolution. Focus on the process and the symptoms will take care of themselves. The problem is the solution, turned on its head.

Don’t fuss too much over the cattle number assigned for public consumption. Allow others to underestimate. Spend private time exploring self and the economy will kick over automatically, when the difference threshold exceeds system measurement. It’s never too late to start.

Social programs are like worms or denial of service attacks. Employ your subconscious or others will do it for you. Bringing the system into equilibrium is not going to be about handing children over to false authorities so they may be trained to compete for scarce resources, produced by the resulting voices/ groupthink in their heads.

The parade leaders, world’s economic thinkers, simply participate in a reverse tree of multiple club/ponzi circles. When they are allowed to control the money supply (interest rates) and the price (employment), to define value, all other participants may only compete on the cost of replication.

The Euro was a civil marriage between France and Germany, a contract designed to be broken, financed by the US and implemented by Japan, through China. Once the ponzi demand faltered in Europe, China replaced it by increasing ponzi local government demand. Now, the entire system is collapsing and they cannot exit their contracts because there is no potential slave population to keep the ponzi growing. The internet was a double-edged sword, and the global population is awaking to a system that pays people to comply with cognitive dissonance. Evolution is quantum.

Like the conscious/subconscious, the elements are derivatives/integrals in the fusion/fission reactor, which assembles order from chaos with algebraic reduction and expansion, resulting in an ever more diverse buffer of ionic and covalent bonds. Whether a string is a proton, neutron, or electron depends upon how the multiplexer is perceived to be wired.

Self-absorption shorts into itself, in bipolar layers, building the protein, and ejects the new but complimentary element, which acts as the catalyst in the next cycle. As the fulcrum agent becomes indistinguishable from gravity, orbit/order results, in a historical equilibrium with new event horizon development. Perpetual motion/ energy transformation is the perception.

The car replaced the horse and the computer replaced the car. Apple is a cash cow as GM was before. What’s next?

Depending upon your location on the timeline, we are already done with Soros, which brings us back to ThyssenKrupp. Typical, TK sends some kids out to install cheap electronic elevators, installed like paint-by-numbers, so no thinking is involved. Outwardly, the elevators appear the same, but they are arbitrarily wired differently with different voltages and the CPU mixer allows the maintenance mechanic to use one laptop to alter the run bit of all. Low buy-in, very high maintenance fees, very profitable for TK.

The best solution is to fire the decision-maker that bought the elevator and make the elevator shaft a continuous research project. The next best solution is to rip it out and install quality, max NPV given future opportunity cost. The next best solution is to rip out the computer and wire it AC with as much of the old wiring as possible. The next best solution is to wire loops to make the CPU “think” it remains in control, but otherwise bypass it.

So, I walk into the decision-makers office…who is a mason…accustomed to a kickback from the elevator company…nasty little breed, which installs and operates the global IC chip. Microsoft is what they call nouveau riche.

Stupid always attempts to herd intelligent into the anxiety box, trapping itself every time. That’s the nature of the universe. God does not have a plan for you that you must copy from some authority. Life is an adventure. Seek and you shall find.

Civil marriage (Jewish bankers and German industrialists) always results in war, with children as the collateral damage. Get out while the getting is good, to drop the floor, and allow the little monsters to chew on each other for all eternity.

Mon, 11/14/2011 - 19:10 | 1877324 Optimusprime
Optimusprime's picture

Keep working on it.  I like your insight, but the style sometimes gets in the way.

Mon, 11/14/2011 - 19:36 | 1877390 CPL
CPL's picture

6/10, keep working on it.  Otherwise why don't you just submit an article or blog it and submit the blog to the tylers?

Mon, 11/14/2011 - 20:26 | 1877578 kevinearick
kevinearick's picture

"Merkel’s message is “a warm-up for the big quantum leap” toward a two-track Europe, Carsten Brzeski, an economist at ING Group in Brussels, said by phone. “If you wait for the Brits, you’re going to spend a lot of time at the station and the train will never come. If you want to do the quantum leap, you can only do it with the euro zone.”

sound familiar?

Mon, 11/14/2011 - 17:54 | 1877137 Mentaliusanything
Mentaliusanything's picture

First you get a Recession and they twiddle some dials, then you get a Depression and they "seasonally adjust" then you get old mans bathtime stories........What is the word for what comes after that???

Mas.....

Mon, 11/14/2011 - 17:58 | 1877149 Sudden Debt
Sudden Debt's picture

Dana? Is he kidding?

Mon, 11/14/2011 - 17:58 | 1877150 chump666
chump666's picture

"crony old Octogenarian Octopus of Omaha" hahahahahahaah

that is a gold comment.

Mon, 11/14/2011 - 18:04 | 1877174 redpill
redpill's picture

He likes to get his tentacles into everything.  I wonder if he thinks that 6% annual dividend on his $5 Billion of BofA stock is still worth it now that it's lost 14% of its value.

 

Mon, 11/14/2011 - 21:14 | 1877747 midgetrannyporn
midgetrannyporn's picture

He bought preferred. If they go tits up he is near the front of the line. It is just another TBTF screw job bet against the taxpayers. Buffett is the biggest fascist on the planet.

Mon, 11/14/2011 - 18:03 | 1877164 Radam
Radam's picture

Then:  If the economy gets better, I will do OK.  If the economy gets worse, QE2 will goose stocks and I will do OK.  Better to buy.

Now:  If Italy et al gets worse and the ECB doesn't print, I am screwed.  If Italy et al gets worse and the ECB prints, I am still screwed.  Better to sell.

Mon, 11/14/2011 - 18:04 | 1877170 High Plains Drifter
High Plains Drifter's picture

but but but    who animal spirits?????? 

Mon, 11/14/2011 - 18:08 | 1877173 navy62802
navy62802's picture

Tepper is obviously not reading the WSJ, watching CNBC or listening to Bloomberg Radio. He needs to get with the program.

Mon, 11/14/2011 - 18:07 | 1877180 High Plains Drifter
High Plains Drifter's picture

if there is no rescue then what does this mean?   severe crash, and hard landing etc.................?  

Mon, 11/14/2011 - 18:11 | 1877196 lizzy36
lizzy36's picture

His long book went from $4.2B at end of June to $1.5B at end of September. Just ahead of 15% in your face rally.

2/20.

Mon, 11/14/2011 - 18:14 | 1877208 mayhem_korner
mayhem_korner's picture

 

(cue stock levitation commercial/tootsie pop cover):

Boy:  "Mr. Turtle, why is the S&P not at 700?"

Mr. Turtle:  "I don't know, you'll have to go ask Mr. Owl"

Boy: "Mr. Owl, why is the S&P not at 700?"

The World May Never Know...

Mon, 11/14/2011 - 18:17 | 1877217 slaughterer
slaughterer's picture

Tepper will be sorry: BAC is an easy five bagger from here /sarc  (Had to take over for our absent perma-bull Robo). 

Mon, 11/14/2011 - 18:27 | 1877247 slaughterer
slaughterer's picture

WTF can Tepper still call himself an American at this point?  Where is his faith in the miracle of the market?  

Mon, 11/14/2011 - 18:46 | 1877281 israhole
israhole's picture

Damn, this site kicks ass.  The only useful news out there.  Thanks ZH.

Mon, 11/14/2011 - 19:42 | 1877418 Snakeeyes
Snakeeyes's picture

Europe WILL default. There is no other endgame!

Italy: Will a New Prime Minister Make a Difference? No. It Doesn't Matter If Its Super Mario or Monty Hall -- There is Too Much Debt and a 70% Probability of Default

http://confoundedinterest.wordpress.com

Mon, 11/14/2011 - 20:06 | 1877495 Hephasteus
Hephasteus's picture

And as soon as everyone figures out the 401k market is stuck with these pieces of filth and tries to get out the market will go apeshit nuts to the toilet.

Mon, 11/14/2011 - 23:37 | 1878075 ACP
ACP's picture

Why wasn't this headline news on CNBC? Oh yeah, because it's not bullish.

Mon, 11/14/2011 - 23:46 | 1878096 Scalaris
Scalaris's picture

Had I not read the Paulson article first, this wouldn't have been twice as funny. 

Mon, 11/14/2011 - 23:46 | 1878097 natty light
natty light's picture

I guess he didn't listen to Dick Bove.

Do NOT follow this link or you will be banned from the site!