DealZone

Deals wrap: The perils of Paulson

August 11, 2011

Hedge fund manager John Paulson became an overnight sensation in 2007, in part, by betting big and early on the collapse of the U.S. housing market. But he is now emerging as one of this year’s big losers in the $2 trillion hedge fund industry.

New China Life, the third-largest life insurer in China, has filed an application to list in a dual Hong Kong and Shanghai IPO, sources said, braving volatile markets to raise up to $4 billion.

Bank of America has held exploratory talks with the principal investment funds of Kuwait and Qatar about selling part of its $17 billion stake in China Construction Bank, three sources with direct knowledge of the talks told Reuters.

Investment banker say banks are barely making any money selling Treasury’s shares in bailed-out companies like General Motors and American International Group. As the Treasury thinks about selling the billions worth of shares that remain, Wall Street bankers are worried about profits.

Hedge funds are getting an unfamiliar taste of losing, reports the NYT.

The stock market squeeze is threatening to take the air out of AT&T’s best argument for the regulatory approval of its $39-billion acquisition of T-Mobile USA,” reports the Los Angeles Times

Post Your Comment

We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/