peHUB Second Opinion 2.24.08

One Columnist Responds to Andrew Lahde: John Gapper of the FT says,

In personality terms, however, you display all the unpleasant characteristics of a class of people who got lucky over the past decade on cheap credit…. Santa Monica, the Californian city where you live and used to work, has a pier jutting out into the Pacific Ocean. Why don’t you go out and jump off it?

Michael Lewis: In which a hedge fund manager tries to short himself.

When?: The predicted timeline for the end of this thing just keeps getting longer and longer. Today Marty Lipton suggests three to five years, while Joseph Rice of CD&R optimistically predicted that buyouts will stick around and leverage will come back.

Another Nail In The Coffin: Abnormal Returns writes that hedge funds can’t even be considered a proper asset class: “Hedge funds are an aggregation of all manner of investment strategies.  Trying to mold a coherent case for them as an asset class is difficult at best.”

SWFs: Are back in action. Maybe. Quatar and CIC are back in action, maybe its a sign they’ll be more active in the coming months.

FYI: In the endless back and forth of “coffee is good for you/coffee is bad for you,” a slightly emotional answer surfaces: Coffee makes us “emotionally warmer” people.

Crazy Talk: Reuters suggests airlines might be a good buy now that oil prices are falling. Maybe for public equity, but with so many American airlines, especially PE-backed ones, going bankrupt this year, its impossible to reccommend the sector from a private equity standpoint.

I Hate It Too: Newsspeak in a mortgage insurer’s filing.