Google may not have a hedge fund, but it’s unlikely that high IQ hedge funds aren’t using Google’s data to better manage their own situational awareness and risk.
Category: Economics
Learning From Past Crises: Into The Safety Zone
There are limitations to what we can learn from the past, if the world has changed or the Eurozone is special. The Eurozone is special because individual countries cannot count on the central bank acting as lender of last resort to the sovereign. This makes self-fulfilling crises possible, since high spreads (say because of an expectation of Eurozone breakup) make sovereign defaults more likely.
Lehman Brothers: Four Operating Principles
How Oliver Wyman Manipulated The Spanish Bank Bailout Analysis
That fudge factor is what is known as “excess capital buffer”, whose usage in the model to plug a major capital shortfall gap is non-sensical and shows that the real funding needs of Spain’s banks will be far greater, even absent future deterioration.
Poway: It’s Not Too Late To Unwind
The most egregious tranche of all was the longest one: a bond with an original principal amount of $13,986,037.80, which matures in 2051, when bondholders will receive a total of $321,740,000. That’s more than $22 of interest for every dollar borrowed today.
Abnormal Capitalist 