Competition Time

Thursday, December 09, 2010

We are back in the badlands of admin-o-tastic bullshit. It feels like career regression is kicking in big time, with one member of TMM feeling he has actually just crossed below his original entry level into the world of finance. Didn't they invent machines powered by steam 200 years ago that can do the job better than the current ones we are given, powered by electrons?

Out there in the real world it looks as though the falling bonds have been saved by the twanging of the safety rope and we are generally on hold. Pause day. Or COMPETITION DAY!!

Now TMM recently received an offer to invite our readership to participate in an essay competition run by a body of investment managers. The competition involves writing a paper that critically looks at how investors "might better manage portfolios during market downturns yet still capitalize on periods of superior performance". The winner would receive a sum of money and the chance to tell others all about it.

Which leads us to consider all the oxymorons, tautologies and downright "D-UH"'s involved in this. But instead of raising little points like "Well, if it works so well, why am I telling you about it" or "You mean you haven't heard of short positions or options?", we would just like to launch our own TMM Award.

Entrants are asked to submit papers on their designs for a "free money" machine, accompanied by $20,000 of the free money it has made as proof of its success. The winner will receive a sum of $10,000, the chance to talk to a field full of sheep in North Wales, a MUG and will then be told to bugger off.

Runner up certificates will be awarded to anyone sending in over $1,000 of free money to TMM. We look forward to your entries and sailing off into the sunset at your expense.

Most Faithfully Yours,
Dr T, Dr M and Dr 'Bleedin' M, PhD, MBA, CFA (and random qualifications from the Univeristy of Cowboywebsite, Witchy-bloody-taw)
Joint Chairs, Dining Table and Tea Tray
BigImpressive-Sounding Fund Management, Inc, LLC
Bowlacks, USA

Posted by Polemic at 1:32 PM  


Gordo as quoted by the BBC yesterday, "I sense that in the first few months of 2011 we have a major crisis in the euro area..."

Anonymous said...
3:12 PM  

I think Voldemort might fancy selling some gold and buying some Treasuries here, and then announce some tightening. Voldy loves to do that kind of stuff while we are sleeping.

Leftback said...
5:17 PM  

China selling gold? Seriously?

Anonymous said...
5:56 PM  

Why not? China needs to buy commodities and doesn't want to pay top dollar/CNY for them. They also have a strong political interest in keeping their domestic inflation in check and commodity prices have been getting more and more out of control.

Tightening monetary policy and selling in the commodity space would make sense if they want to cool off speculation and curb domestic price increases. All you can see of China from the Bloomberg terminal is the CSI, but there are lots of Chinese who don't earn a lot, and they are all trying to buy food and fuel in an overheated economy. The ruling elite don't like instability.

Leftback said...
7:30 PM  

Not saying that this is going to happen at this point in time, but the topic is clearly on people's minds.

Copper Erases Gain on China Concerns

You can tell that LB is taking another shot at The Widowmaker.... we are usually early...

Leftback said...
7:44 PM  

My entry for your competition is this:

I LOVE GOLD, Mister Bond....

Goldfinger said...
9:22 PM  

Interestingly enough LB some high level planning meetings on in China regarding next year's credit / monetary policy (covered in lots of IBs research including Zee German Bank). Positioning for some rapid fire tightening into year end makes some sense. Voldy doesn't celebrate Xmas but he does shut down for end Jan / early Feb Chinese New Year so its sooner rather than later.

Nemo Incognito said...
5:11 AM  

And LB, shorting copper is a fool's errand. That market and met coal are really tight - you are looking at 2011's cotton.

Nemo Incognito said...
5:11 AM  

I hear you on Copper ... I follow copper quite closely and have done the analysis.

Supply is going to be uber tight in 2011!! Inventories have gone down for the whole of h02-10 ... also note that the fact that Shanghai inventories are going UP is bullish because it indicates that Chinese consumers are using their own stockpiles in order to avoid buying at the current level.

Yet, at some point ... they will go to the trough again and we will see the good old " china stockpiling " pull ...

Unless China slams on the brakes, we are looking for a serious melt up in copper in 2011. I am not long copper, but it is the best looking metal for 2011!

for good copper data and very much up to data analysis ... go no further than here


CV said...
10:02 AM  

Free Money = nice arse, decent pair of tits and a not-too-ugly face all attached to a fully functional vagina.

Anonymous said...
10:40 AM  

LB's version of the Widowmaker involves silver, not copper. The accursed trade is ITM as of this morning, wonder if a few market playas sense a sell-off coming?

leftback said...
3:44 PM  

I generally don't give 20 to get 10, but I certainly have just the place to look for any number of juicy opportunities - your Spam filter!

There are many honest, enterprising Nigerians that will EASILY promise to outperform these paltry requirements, while at the same time allowing you to help a deserving widow with investments caught in a web of African bureaucracy, that merely require the application of funds to obtain a large return.

They anxiously await your reply!

Rich said...
12:48 AM  

@CV: given a few strikes supply might get tight, but exactly what is driving demand? Saying China is a big consumer is not that enlightning since they cannot exactly eat it. Moreover with the West going into the deep freeze I am not sure demand will be increasing in 2011. I would be interested to see your views on this.

Anonymous said...
8:27 PM  

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