John Hempton: What Makes Shorting Frauds Fundamentally Very Dangerous

Read the Story

Show Top Comments

TL;DR Fraudster CEOs can simply increase their level of fraudulence which would mean a big loss to shorts.

Zigxy

So it’s just the old saying, “the market can stay irrational longer than you can stay solvent”.

DungeonMinter

Stonks only go up

Brass14

John Hempton is my second favorite writer of financial wisdom on the internet. I love his stuff. Search for “Bronte Capital Blog” He runs a hedge fund in Australia that shorts mostly Chinese fraudulent companies. Which yes, ain’t easy waters to navigate.

Sevro_andthe_howlers

Can someone explain the numbers in the post and how he became 95% in the position and why / how the bank would approach this

1sweets