Kyle Bass newsletter

[DRumsfeld2000]

I have not yet read the whole letter, but there are some very good points.

http://www.scribd.com/doc/113621307/Kyle-Bass

[ProdigyofZen]

Re: Kyle Bass newsletter

Read it when it was sent to me from the investor relations department on Thursday morning.

He is out once again trumpeting his "Short Japan Trade"

This time he actually gave me a timeframe back two weeks ago when I spoke with him. He said you will start seeing Japan unravel in the next 18 months.

Considering his Japan Macro Opp fund has to be down over 27% this year (especially since their IR department refuses to give out the funds returns - yes incredible I know, the first time that has ever happened in the fund business) for his sake it better happen.

It is also interesting that they just started a "long subprime credit fund" back in April when funds like Elliott as of this week sold most of their RMBS book into the rally.

The short China trade for one particular hedge fund I know did not work out and the ramifications of it will be felt in late December.

[santafe2]

Re: Kyle Bass newsletter

Read it when it was sent to me from the investor relations department on Thursday morning.

He is out once again trumpeting his "Short Japan Trade"

This time he actually gave me a timeframe back two weeks ago when I spoke with him. He said you will start seeing Japan unravel in the next 18 months.

This is interesting. Five years ago the majority of our principal business partners were Japanese. Over this year we have had to discontinue our agreements will all our Japanese suppliers. They've either not been competitive or they've declined US production/distribution. The issues have been on the horizon for some time but business deconstruction is currently quite active.

[ProdigyofZen]

Re: Kyle Bass newsletter

This will happen when the Yen goes from 116 before 2008 to 75 or 76 vs the dollar.

That move strains their export ability to the US.