Things That Make You Go Hmmmmm...........

[alpha asset strategies]

http://www.bloomberg.com/news/articles/2016-07-26/the-curious-case-of-joseph-meyer-a-little-giant-of-hedge-funds

 

What does everyone think?

[jawn619]

http://walkingdead.wikia.com/wiki/File:Shut-up-and-take-my-money.jpg

[Crip1]

"Investors must hand over their cash for a decade. If they exit early, Meyer keeps half the principal."

 

Perhaps a better title for this thread is "Things that make you run like hell..."

-Crip

[cmlber]

“All it does is look at the last trade and calculate trades that would be equivalent of, ‘What if this security increases 50 percent in value in the next three seconds,”’ Meyer says of his program.

 

99.999% chance this is a ponzi scheme.

[Picasso]

Doesn't it just seem like he put 70% of the assets in Treasury bonds, in ten years those bonds would be worth 100% of the portfolio.  Then he did a bunch of crazy trades with the other 30%.  Combine a bull market in long-term Treasuries with a bull market in stocks = this guy. 

 

Or maybe he's also running a ponzi scheme.  He looks like he could be from Utah after all...

[Guest wellmont]

investor base is mostly local mom and pop, "unsophisticated".

[Travis Wiedower]

"Meyer extends inexpensive short-term loans against their investments. Recknagel says he’s used the money to invest even more with Meyer."

 

So he loans his clients money (which is backed by their investments) and then those loans are invested back into the fund? Is that legal?

[alpha asset strategies]

That article will surely give Mr. Meyer's fund plenty of exposure.........just not the exposure that he likely wanted.  I wish I could buy a call option on the number of phone calls he will receive this week from concerned investors.

[Jurgis]

He should merge with Wohl Capital asap.

 

Think of the opportunities.

[doughishere]

SPX at new highs. If you had that happening with crude oil down 20% from June peak, record low yields, and an earnings recession - you win.

[RadMan24]

If it isn't a ponzi scheme, something's amiss. Numbers, returns, fiduarciary duties, etc just don't add up.