Jones Trading Recap of Ira Sohn Conference (Yousef Abbasi)
Paul Singer - Elliot Management
- Singer talks about the global banking environment, notes that it is opaque and very highly leveraged.
- He says that Value-at-Risk (VAR) is not the appropriate measure for a financial institution's health.
- He notes that the average person is not feeling the recent equity rally, says they are worried about jobs, paying more for life necessities. This distortion is furthering class warfare.
- On bonds, they are mispriced in the US, UK and Japan. He does not say short bonds, but says that there are distortions in the market.
- Stock Idea - Long DEXO - Company is a re-org but has a solid turnaround plan that should take shape over the next three years. He says that it is a cheap option, although it is risky. He says debt should trade to par and that shares could rise 5x. (more)