A good selection if we do say so ourselves this week. First up is LSE’s Focal Point podcast where thy interview Dominic Ashcroft Co Head of EMEA leveeaged Capital Markets at Goldman Sachs. Lots of insight into how levfin deals come about, trends and Dominic’s own experiences. Well worth a listen. KKR’s Chris Sheldon , head of leveraged credit gave an interview with Bloomberg explaining where he sees opportunities and risks in today’s market which was insightful.
We have not one, but 2, items from Stephen Clapham Author of the Smart Money Method and the owner of the “Behind the Balance Sheet Website” – the first is a video on accounting red flags and the second is the analysis of Cashflow From Operations (close to every analyst’s heart) of Amazon.
Inflation in the US has been garnering a lot of attention and we enjoyed Natixis’ Patric Artus with his latest publication pointing to why the market may be getting ahead of itself. To accompany this there are 2 articles looking at US households – one looking at how savings are more evenly distributed in the US vs. Europe and the second discussing “ricardian equivalence” and why that means those savings are not “excessive” in the context of the unprecedented government support.
Nouriel Roubini looks at the K shaped Recovery in the “Covid Bubble” warning that stock market valuations are excessive and when the bubble pops it will be lower income population that suffers the most. The World Economic Forum published a note on the “Shecession” summarizing findings by a PWC study that found women have born the brunt of the Covid pandemic in terms of job losses and hours dedicated to childcare as families work from home.
For the credit geeks there is the BIS Quarterly Review which has a section on Covid’s impact on corporate credit, S&P’s bullish 2021 Global Private Equity Outlook. We highly recommend all of the FT’s reporting on Greensil, we ave included Epsilon Theories excellent summary “How to Rob a bank” below.
Finally, on the geeky/ self improvement angle we enjoyed reading about the changes that are coming in internet privacy, the promise of quantum computers, why the universe is flat, why hydrogen is may play a larger part in clean fuel than we initially thought and Sahil Bloom’s explanation of the “Lindy Effect”.
While you are here – we have opened up the site to membership, which is free, and are looking for proactive individuals to help build the community and post on the site – if that is you then you can join here
Our first accounting red flag detection tool video looks at the Audit Report. Many investors ignore this in spite of recent changes which make it an essential analytical tool. Check out the video on our YouTube channel to learn more. https://t.co/UrfYL0uDBa— Stephen Clapham (Steve) Author Smart Money Method (@steveclapham) March 5, 2021
Coffee Time Read: @steveclapham's latest on Amazon— EuroHighYield (@EuroYield) March 4, 2021
"One important question we get asked is whether negative working capital has any downsides? And like many factors in investing, it’s great when things are going well, but can turn toxic in a downturn."https://t.co/5DGTMQA8X9
Coffee Time Read : h/t @KillinGswitCH98 " rises in expected inflation in US financial markets often overestimated actual inflation, overreacted and then corrected. The rise in expected inflation in 2020 is therefore probably of the same nature " https://t.co/EzqxIPxRKm— EuroHighYield (@EuroYield) March 13, 2021
Coffee time read:— EuroHighYield (@EuroYield) March 2, 2021
"although large by historical standards, the savings accumulated by US households during the pandemic do not appear to be ‘excessive’ when set against the extraordinary need of many American families"@C_Barraud - what do you think?https://t.co/B8NVU8GkZ6
Coffee Time read: @Nouriel "For decades, the “solution” to this problem was to “democratize” finance so that poor and struggling households could borrow more to buy homes they couldn’t afford, and then use those homes as ATM machines"https://t.co/m4rZtVyiVt— EuroHighYield (@EuroYield) March 3, 2021
Coffee Time Read 2, "The Shecession": 'Jobs in female-dominated sectors like marketing and communications were more likely to be lost than roles in finance, which are more likely to be held by men, said the report, calling the slowdown a "shecession" 'https://t.co/z6nFjwwGXx— EuroHighYield (@EuroYield) March 12, 2021
Coffee Time Read 2: “We’re now at a point where we have solved the critical roadblocks on the path to building a quantum computer with a million qubits, the scale required for all known useful commercial applications,”— EuroHighYield (@EuroYield) March 13, 2021
cc @QContrarian https://t.co/vW7dnhDt2E