05-30-2017, 10:54 PM
China Evergrande Group’s astonishing share rally has resulted in the world’s most painful short trade this year. To add insult to injury, bearish investors are paying higher fees to get crushed. Fees to borrow shares of the Hong Kong-listed Chinese developer for shorting have surged by more than five times since January to about 10 percent and have doubled since Evergrande started buying back shares in late March, according to Simon Colvin, a London-based analyst at IHS Markit Ltd. Evergrande shares available for lending have “nearly all been spoken for,” Colvin wrote in an email, resulting in higher borrowing costs.
World's Most Painful Short Just Gets Worse for Evergrande Bears - Bloomberg
Big money investors have always sought an edge. Everything from star traders to fast computers to unique analysis can give a big hedge fund an advantage over competitors. The latest battleground is data. Investors are vying for new data sets that their competitors don't have, or haven't thought of using. These can range from the basic credit-card sales information to satellite data that tracks shipping routes, and parsing this kind of data for trading signals has been called "the future of investing." The industry providing this to the funds has sprung up amid an explosion in obtainable data over the past decade. The bad news for the regular investor: the cost of data, and the complexity associated with turning it into investment insights, means it will probably only be available to the biggest and most sophisticated funds. .
This is the future of investing, and you probably can't afford it - Business Insider
Temer and his closest allies, including Finance Minister Henrique Meirelles, have urged legislators to separate the political from the economic crisis and to continue backing bills to deregulate the labor market and to establish a minimum retirement age. Still, approval looks like a tall order. Even before the latest scandal, the government was struggling to cobble together the necessary votes to approve a key overhaul of the pension system. With the departure of at least a few dozen allied legislators, that task now looks virtually impossible.
A Quick Guide to How Brazil's New Political Crisis May Play Out - Bloomberg
Put another way, $100,000 invested in bitcoin at the beginning of 2011 would have plunged to less than $10,000 by the end of that year—the kind of volatility a typical investor would likely be unable, or unwilling, to endure. “One of its attractions, apart from its price rise, is the fact that it is not highly correlated with stocks or bonds, so is viewed as a true alternative. But its price volatility makes it unsuitable for most investors. As an adviser it would be reckless for me to advise you to buy cryptocurrencies,” Lee recommended.
Want to invest in bitcoin? Investors need to be willing to lose it all, adviser says - MarketWatch
By late May standards, Thursday was a pretty eventful day for tech earnings reports. Here are some thoughts on the numbers reported after Thursday's close by machine data analytics software leader Splunk (SPLK) , hyperconverged hardware/software supplier Nutanix (NTNX) , cloud life sciences software firm Veeva Systems (VEEV) and storage/networking chip supplier Marvell Technology (MRVL) .
Top Earnings Takeaways for Splunk, Nutanix, Veeva and Marvell - TheStreet