Grantham Fired by Massachusetts Pension After Losses

[bablu]

http://www.bloomberg.com/apps/news?pid=20601103&sid=aS_g2BJ_mcqw&refer=us

 

interesting one..

[zarley]

"The Massachusetts state pension system fired Jeremy Grantham’s firm as manager of $230 million in emerging-markets debt after losses from asset-backed securities dragged down returns."

 

PLUS

 

"GMO’s emerging-markets debt strategy is overseen by William Nemerever and Thomas Cooper."

 

EQUALS HEADLINE:

 

"Grantham Fired by Massachusetts Pension After Losses"

 

God, I hate headline writers.

 

[Guest dealraker]

A great sign for those managers!

 

Remember when Robert Sanborn was fired so Bill Nygren could take over?  It was largely Sanborn's stock picks that Nygren got credit for and Sanborn went on to knock it dead in the hedge fund business. 

 

Then the tragedy of the Clipper Fund!  They ousted James Gipson when his numbers temporarily sagged and they hired Chris Davis.  Chris would have been wise to not change a single investment.  But instead Davis through out all Gipson's picks to put in his own.  Thus the Clipper Fund's investors got kicked once and were getting back up when they got kicked a second time!

 

It is the people making these decisions that should be fired.  Anybody who reads history would fire the damn managers after they had outperformed for several years!

[Parsad]

Stupid!  Just plain dumb!  I'm sure Massachusetts has their target at 9% annually.  Cheers!

[Grenville]

what Grantham aptly describes as career risk!