New Threads Only:  Add to Google Reader or Homepage
New Threads & Replies:  Add to Google Reader or Homepage
Forums are for serious investors only. GuruFocus Forum Rules.

Forum List » Guru News and Commentaries
Guru News, Stock picks and commentaries
New Topic
Goto Thread: PreviousNext
Goto: Forum ListMessage ListNew TopicLog In
Jim Chanos – Recaps His Career as a Short-Seller, What He Is Shorting Today
Posted by: CanadianValue (IP Logged)
Date: December 6, 2012 09:09AM

Some comments from Chanos:

- The first company he looked at as an analyst was an enormous fraud; this turned him onto the short side of the business.

- He got his start in 1985; since when the Dow has increased ten times, not exactly fertile ground for a short-seller.

- Short-selling’s most important function is that it brings real-time financial detectives to the markets; regulators are good at finding things after the fact while short-sellers are financially motivated to find frauds.

- Short-selling is now considered much more acceptable as it has been popularized by hedge funds.

- Why he likes China as a short: because there is a credit bubble and because profits from companies are “skimmed” and never get to the passive investor.

- The real estate bubble is still inflating in China (he warned about it three years ago).

- He isn’t bearish on all of China but certainly is about the property market.

- The best short in the world is to be short government promises.

- He thinks investors should be exposed to assets that will beat inflation (including equities) and that really long dated-bonds are a bad idea.






Guru Discussed: Jim Chanos: Current Portfolio, Stock Picks
Stocks Discussed: SPY, DJI, QQQ,
Rate this post:

Rating: 3.0/5 (5 votes)





Sorry, only registered users may post in this forum.

Please Login if you have an account or Create a Free Account if you don't
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK