NEW J CAPITAL RESEARCH
What Goes Up
J Capital's podcast on market frauds, fads, and distortions
What Goes Up was J Capital's podcast in which we interviewed some of the best and most interesting investors we knew. The podcast ran in 2017-18. Here are archival episodes:
July 6, 2017
The RMB: An Insanely Convex Trade
An interview with Brian McCarthy of Emerging Sovereign Group
Brian McCarthy manages the ESG Nexus Fund, a China-focused macro fund, and has travelled extensively throughout China conducting research into Chinese asset markets, capital flow channels, and credit creation processes. He joined Emerging Sovereign Group from RBS, where he served as Senior Vice President in Foreign Exchange Sales, from 2006-2010, having held similar roles at both UBS (2001-2006) and Barclays (1998-2001), McCarthy has extensive asset management experience. He served as International Fixed Income Strategist at Alliance Capital from 1991-1994, and as an International Fixed Income Portfolio Manager at AIG from 1994-1998. McCarthy has 26 years of investment experience and received a BA degree in economics from Harvard College with honors in 1988. In this conversation, he talks about the opportunities and perils of the short-RMB trade.
July 20, 2017
The Everything Bubble
John Fichthorn and John Barton of BR Dialectic on shorting this market
John Fichthorn is the founder of Dialectic Capital Management, a short-biased fund, and now Head of Alternatives at B Riley Capital Management, a California-based investment advisor. John Barton is his long time colleague and a Managing Director at B Riley. Together, the two have decades of experience in identifying and investing in shorts. Here, they talk about their strategy, successes, and frustrations.
July 29, 2017
Not So Big Food
Evan Lorenz of Grant's Interest Rate Observer on Kraft Heinz and Other Edibles
Evan Lorenz is deputy editor of Grant’s Interest Rate Observer, a twice-monthly journal of the financial markets. Evan, a CFA, has researched both individual securities and macroeconomic themes for Grant’s since 2010. Prior to joining Grant’s, Evan worked as an analyst at Sheffield Asset Management, a concentrated long/short value fund. From 2007 through 2010, Evan ran the short book at Sheffield. Evan graduated from the University of Chicago in 2004 with a BA in anthropology.
Grant's March 24, 2017: Price War for Warren Buffett
A Barron's interview with Evan on KHC
August 8, 2017
Snap-on Your Parachute
J Capital analyst and co-founder Tim Murray talks about Snap-on (SNA US) and why its debt-fueled earnings will start to show deterioration in Q3 this year.
August 25, 2017
Investing in Entertainment
Jordan Moelis is one of a breed of young hedge fund managers--he founded Deep Field in his mid-twenties--who came up during the industry boom after the global financial crisis. Here he talks about some of the stresses and rewards of being directly answerable for results. He also takes a look at movies and entertainment, a specialty of Deep Field. Deep Field runs a concentrated portfolio of well-researched ideas.
September 8, 2017
"Constantly reinventing yourself"
William Bao Bean knows more than almost anyone about the Chinese internet. Currently the Managing Director of Chinaccelerator, a start-up accelerator based in Shanghai, William has been helping Chinese tech companies get started for nearly 15 years. He was one of the earliest and most plugged-in industry analysts, working at Deutsche Bank, Bank of America, and Bear Stearns, and he did private investing with Softbank China & India Holdings and SingTel Innov8. In this discussion, William talks about online travel, search, gaming, payments, advertising, and what it takes to compete on the Chinese Internet.
September 22, 2017
Since 2008, Jos Evans has been trading commodities. Few people on the planet know as much as he does about iron ore. In his trading career, he grew frustrated with the arcane world of Inter Dealer Brokers, the ~$6 billion industry that anonymizes transactions so that traders buying or selling large blocks of assets don't get front run by purpose-built algorithm robots that run around looking for big trades. Traders need the IDBs, but in the trading world, they are relative dinosaurs. Trades are placed on chat and messenger tools, and the IDB relies on humans to gather information from buyers and sellers. Jos and his AI-X team have a new solution, based on artificial intelligence. In this episode, Jos talks about the AI Exchange and about what's happening with commodities today.
October 6, 2017
Sander Gerber's Hudson Bay Capital has been sailing unmoored by the troubles that have beset most hedge funds this year, and that is due to the Hudson Bay "system," a rigorous method for "avoiding beta." In this episode, Sander talks about that method and how Hudson Bay makes its investment decisions.
Hudson Bay Capital Management LP is an absolute-return, multi-strategy alternative investment firm, and Sander is its CEO and Chief Investment Officer. He became a member of the American Stock Exchange in 1991, acting as an options market maker. In 1997, he founded Gerber Asset Management LLC to develop and engage in proprietary investment strategies. In 2005, he founded Hudson Bay, which absorbed Gerber Asset Management's business. Sander graduated from the University of Pennsylvania and The Wharton School and first worked with Bain and Company. He is a member of the Council of Foreign Relations and The New York Economic Club and chairs the Investment Management Committee at the Woodrow Wilson Center in Washington, D.C.
October 20, 2017
Roger Lowenstein is one of the great minds of the financial world and has been observing and writing about Wall Street now for four decades. Roger is author of a full shelf of best-selling books about Wall Street, from When Genius Failed to The End of Wall Street, and the newest, America's Bank. Acerbic, clear-thinking, and richly informed with historical knowledge, Roger brings a rare breadth of understanding to parsing what makes the markets work. In this discussion, he talks about the Fed and the creation of a U.S. central bank, its best and worst governors, and why our economy and politics are in this parlous state.
November 10, 2017
The Short Activist
Sahm Adrangi is the founder and managing partner of Kerrisdale Capital Management. He is most known for short selling and publishing research. He first made a name for himself shorting Chinese companies, but has since broadened his approach to invest in longs and other sectors. Sahm started his financial career in credit – performing high-yield debt refinancings and post-bankruptcy refinancings at Deutsche Bank, as well as advising creditor committees in bankruptcy and out-of-court restructuring situations at Chanin Capital Partners. Subsequent to his investment banking experience, Sahm spent several years at a multi-billion-dollar distressed debt hedge fund, Longacre Management.
In this interview he talks about fraud at Chinese reverse mergers, crypto-currencies, and some of his long ideas. Apologies for the rough audio in the first few minutes.
December 2, 2017
Deep Throat IPO
Bob Wittbrot writes and comments on global-economic and financial issues on his "Deep-Throat-IPO" blog. He is the founder and owner of Bob Wittbrot & Associates, the "best" (in his slightly biased opinion) Insurance Agency in Cleveland Ohio, as well as a former CPA, Auditor & CFO. He's earned Graduate and Undergraduate degrees in Accounting and Finance from the University of Wisconsin. Here he talks about the post-global financial crisis world and how it has given rise to companies like Alibaba, Tencent, and Softbank.
© 2023 J Capital Research USA LLC. All rights reserved. This report or any portion hereof may not be reprinted, sold or redistributed without the written consent of J Capital. Use of this publication by authorized users is subject to the J Capital Authorized User Content Agreement available here. Use of this publication by non-authorized individuals is subject to the J Capital Non-Authorized User Content Agreement available here.