Bill Ackman Warns US Economy Headed for ‘Train Wreck’ After Latest Fed Rate Hike (Fox Business)
The U.S. economy may be headed for a “train wreck” after the Federal Reserve continues its fight against inflation and Treasury Secretary Janet Yellen ruled out “blanket” protection for bank deposits despite the worst financial crisis in a decade, according to hedge fund manager Bill Ackman. Ackman, who founded Pershing Square Capital Management, sounded the alarm on Wednesday about a possible acceleration of deposit outflows from banks after Yellen indicated that not all uninsured deposits will be protected in future bank failures.
Who are Elliott Management? Hedge Fund Offering to Buy Man Utd Stake and Work with Glazers (Mirror.co.uk)
Hedge fund oversaw transformation of AC Milan before selling for £970m last summer but minor shareholding would see Glazer family remain in charge, a move that would create a fresh wave of anger among supporters. The proposed takeover of Manchester United has taken a fresh twist following confirmation that the former owners of AC Milan have submitted a bid for a minor stake that would see the Glazer family remain in charge at Old Trafford. Elliott Sports Management, who last year turned a handsome profit by selling the Serie A giants for €1.2bn to RedBird Capital, made an offer for an undefined amount of equity in the club before last night’s 9pm deadline, which ended up being extended after separate offers from Sheikh Jassim and Sir Jim Ratcliffe were not received.
Crispin Odey Ploughs into UBS After Credit Suisse ‘Steal’ (The Times)
Crispin Odey has taken a punt that UBS will end up profiting from its state-backed acquisition of Credit Suisse by pouring his funds’ money into the Swiss bank’s shares. While others are still grappling with what the deal means for UBS, the veteran hedge fund manager said that it had “got a steal” with the £2.7 billion purchase of its rival over the weekend.
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Cathie Wood Suffers Double Blow as Drama Hits Coinbase and Block (Bloomberg)
An activist short seller attack on one US firm and the threat of regulatory action against another have conspired to deal a double blow to Cathie Wood and ARK Investment Management, as both shares are among her top holdings. Block Inc. and Coinbase Global Inc. are long-time favorites of Wood. As recently as Wednesday, the ARK Innovation ETF (ticker ARKK) bought more shares of Jack Dorsey-led Block.
FTX Reaches Deal to Recover Over $400 mln from Hedge Fund Modulo (Reuters)
Bankrupt crypto exchange FTX has reached a deal to recover more than $400 million in cash from hedge fund Modulo Capital, pulling back 97% of the money that FTX companies sent to the hedge fund in 2022, according to court documents filed on Wednesday. Bahamas-based Modulo agreed to pay $404 million in cash and give up its claim to $56 million in assets held on FTX’s crypto exchange, according to a filing in U.S. bankruptcy court in Delaware.
