The action in the debt markets in relative terms is more severe, and bodes ill
for the equity markets eventually.
Not exact matches
He then moved back into banking,
eventually becoming global head of the financing group, the unit that houses the
equity and debt capital
markets businesses,
for six years from 2008 to 2014.
However, when the real estate
market declines 15 % / yr, the
equity investments also decline 10 % / yr, and one realizes they are paying (in my case 5 % / yr)
for the privilege of losing money while paying
for a home
eventually sold
for 30 % less than one paid, I can feel pretty stupid!
He also noted that it is a very poor time to buy corporate bonds (high yield bond index yield 4.93 %) and Gundlach sees a negative return
for the S&P in 2018 as the rates rout
eventually gives the
equity market the yips.
HOOPP was an initial private
equity investor at Teranet's founding, remained the largest shareholder when the company was taken public on the TSX, and
eventually sold its stake into a $ 2.0 billion take - over bid in 2008; Ducati Motorcycle Company, initially an NYSE / Milan listed Italian sport motorcycle manufacturer, which was the subject of a deleveraging capital increase, taken private and
eventually sold to Volkswagen / Audi Group in 2012
for US$ 1.1 billion; and Novadaq Technologies Inc., a medical devices company in which HOOPP was the largest private investor, with such company completing an initial public offering on the TSX in 2005 and which continues today with a
market capitalization in excess of $ 730 million.
The massive buying demand
for Xerox CDS led the CDS spreads to widen, which spread into the corporate bond
market through arbitrage and
eventually led the price of Xerox common
equity downward.
He also noted that it is a very poor time to buy corporate bonds (high yield bond index yield 4.93 %) and Gundlach sees a negative return
for the S&P in 2018 as the rates rout
eventually gives the
equity market the yips.