Comments on: The perennial attraction of curve steepeners http://blogs.reuters.com/felix-salmon/2009/06/03/the-perennial-attraction-of-curve-steepeners/ A slice of lime in the soda Sun, 26 Oct 2014 19:05:02 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: Duke Nukem http://blogs.reuters.com/felix-salmon/2009/06/03/the-perennial-attraction-of-curve-steepeners/comment-page-1/#comment-2368 Thu, 04 Jun 2009 00:11:53 +0000 http://blogs.reuters.com/felix-salmon/2009/06/03/the-perennial-attraction-of-curve-steepeners/#comment-2368 He probably increased his position when yields tightened at the time of Lehman’s collapse (curve flattened) – from his perspective the risk-reward on the trade moved more in his favour. I doubt he thinks too much about the mark-to-market on his own portfolio.

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By: Jay (market folly) http://blogs.reuters.com/felix-salmon/2009/06/03/the-perennial-attraction-of-curve-steepeners/comment-page-1/#comment-2367 Thu, 04 Jun 2009 00:00:33 +0000 http://blogs.reuters.com/felix-salmon/2009/06/03/the-perennial-attraction-of-curve-steepeners/#comment-2367 Don’t want to ‘defend’ Robertson here, but I’d take issue with your last paragraph. Robertson actually did predict the financial crisis 2.5 years ago in a previous interview with Value Investor Insight. Regardless though, it’s not like its the only play in his portfolio. He’d been short US equities as well based off his Bloomberg tv interviews from back then.

I’d say that he keeps harping on this bet simply because that’s his style. Once he identifies the play, he’s all-in. So its obviously in his best interests to publicize it. And based off what we know, he’s profited from it.

Jay

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