Fund Update

Fund Positioning 28_04_2010

USD / Debt / Gatekeepers

The defensiveness of the Yen is intriguing given the government debt position, large short term refinancing requirement and dependency on local capital (which faces demographic challenges). The following link to the recent IMF Global Financial Stability Report provides a concise summary of a number of metrics for a range of countries (refer Table 1.1 in Chapter 1, page 5).

Link to article (see page 5)

Long Tail Partners No.1 Fund

We opened the fund today; it is the primary investment vehicle we will use for our own capital. Initially the fund will be largely invested in cash and money market type securities. Over time we expect to use these balances to invest in discrete opportunities as we identify them. If you would like to invest your capital along side ours, or know more about the fund, please click on the link below to download a copy of the Information Memorandum.

Long Tail Partners No.1 Fund – Information Memorandum

Valuation: Hussman Funds

I thought this article was interesting; particularly the comments on operating margins and the work overlaying the steepness of the yield curve with valuations and returns.

USD / Debt / Gatekeepers

The attached article is from the Financial Times earlier this week. The last paragraph seems particularly pertinent. While international bodies make progress on public sector accounting disclosure for financial instruments, they appear to lack urgency (from January 2013) and it remains to be seen if they go far enough.  The current uncertainties around government debt demand a greater level of transparency.

Article