Saturday, January 10, 2009

How Much Fund Could A Hedge Fund Hedge....

....If A Hedge Fund Could Fund Derivatives?

A lot, I reckon.

So, is it not worth considering the possibility that Fortress, after laying out less than half of the $750 million it promised to lend Millenium to build the Olympic Village, has already leveraged that 'investment' a whole bunch of times over?

Especially given the fact that the loan was guaranteed by the City of Vancouver's once, but no longer, flush-with-cash Property Endowment Fund.

And given all that, is it not entirely possible that a kept-in-the-dark Citizenry has been played for saps?

The leveraging of the loan possibility popped into my head while reading the Mr. Mason's latest column in which he states that Fortress and/or the many folks/funds/ponzitistas that Fortress has potentially sold the tranches to, will get their money back out first (plus interest, rumoured by Miro Cernetig Friday to be ate least 8% per annum).....Sheesh.
Then again, if Fortress were suddenly forced to pay up on a significant proportion on all it's debt, multiplized or otherwise, to even bigger fish, well, it just might go the way of the dodo.....


No comments: