PBHFA's April 2020 MISSIVE

Welcome to PBHFA's April missive!

We are thrilled to announce our custom webinar series. During this time of "social distancing" and postponed events, live webinars are the ideal way to reach our exclusive membership base.

The webinars are professionally produced and moderated creating a powerful marketing tool both in the live environment and in replay mode.

Customized for you, the webinar can be in seminar, panel, or demonstration format making it perfect for your needs.

Available as part of our annual partnership or as a stand alone product, the webinars are proving to be essential in today's changing world.

Your Webinar Will Include:

Let me know if you have interest in seeing what has already been produced for the leading firms listed below and I'll send you a copy.

We look forward to working with you soon!

Kind regards,

David S. Goodboy

"The worse things get, the easier it is to turn them around." George Soros

Check out an example below

Several socials remain open for sponsorship this season.
Partnership Inquiries Contact::

Ken Griffin Moves Trading Floor Into Closed Hotel On Palm Beach

Citadel Securities this week opened an office in Florida to help ensure billionaire Ken Griffin’s giant trading firm can continue at full capacity during the coronavirus pandemic -- and cope with the explosion in volume the illness has spurred.

The firm opened a new, temporary trading floor in Palm Beach on Monday with 24 people, according to a memo from the firm to employees seen by Bloomberg. The market maker debuted the facility two days before Florida’s governor announced a  stay-at-home order  for the state of 21.5 million.

The site -- with capacity for 50 -- is part of a hotel property that’s closed to the public, and the staff, who have been dispatched from Chicago and New York, will work and sleep there, according to the firm. The move followed an initial business-continuity plan that involved splitting the New York group into a new space and adding a temporary office in Greenwich, Connecticut. Government measures to limit the outbreak  have shifted thousands  in the financial industry into work-from-home mode or to backup locations.

“This effort reflects our deep commitment to delivering on the liquidity needs of our clients through all conditions,” Chief Executive Officer Peng Zhao said in the note.

A Quantitative View Of The Coronavirus Crisis

As hedge fund and financial professionals, we make decisions based on data rather than emotions.

Agree with it or not, I think you will find this piece by Northfield to be very insightful in this regard:

As countries increase the measures against spreading of the virus, the true but unobservable growth rate of the infection can’t logically be going up. This means that if the reported growth rates are going up it has to be because we’re discovering a larger portion of the existing pool of previously unknown cases.
The faster countries discover the previously unknown infections, the faster that the spread will eventually subside. This leads to the somewhat counterintuitive result that rapid growth in the number of reported infections may be a positive development in that the number of existent but unknown infections is apt to be declining.

Within the model, you can think of three key input variables: the mortality rate of those infected (M), the rate of spread of the infection per day (E), and the discovery of infected persons through testing which impacts the number of patients actively in treatment (A). A fourth parameter, the capacity of the health systems is presented as a condition of the extreme upper boundary on mortality.

For any selected values of the parameters the potential for the virus to spread from infected to uninfected persons can be estimated along with a forecast for cumulative mortality.

Steve Cohen Says To Expect Market Tremors After The Earthquake
From Reuters

“Markets don’t come back in a straight line; after an earthquake there are tremors,” Cohen wrote to staff on Friday in an internal memo seen by Reuters.

“We need to continue to be disciplined. We are seeing plenty of opportunities to generate returns, but I don’t want us taking undue risks.”
Cohen also wrote that his $16 billion firm’s returns are “essentially flat for the year,” a result that “speaks to how well our investment professionals have managed risk in such a challenging environment.”

PBHFA Member Laura Anthony On Coronavirus Relief

This is a great read on how Coronavirus has changed the regulatory landscape.

While we work to complete the usual filings while in quarantine, a new conversation is starting to develop at a rapid pace. That is, the conversation of opportunity and the accelerating of a more technologically driven economy than ever before. Businesses and service providers must stay nimble and ready to serve the ever changing needs of entrepreneurs and the  capital markets  – I know we are!

Extension in SEC Reporting Filing Deadlines
On March 25, 2020, the SEC extended its prior conditional relief order such that periodic filings that would have been due from between March 1 and July 1, 2020 can avail themselves of a 45 day extension. The prior order only offered an extension for filings due between March 1 and April 30, 2020.

Welcome Seaside 88 as our Newest Partner!

FInding consistent alpha is becoming more and more difficult. Mainstream finanancial strategies are simply not as effective in creating profits as they once were.

Investors are forced to look outside the box to locate pools of opportunity.

Our latest sponsor fits this criteria perfectly. Here's a closer look

Seaside 88. LP  is a fund with a very unique niche business that creates consistent alpha in this age of diminished returns. It's focus is providing smaller companies with growth capital in the form of an upfront payment in return for a share of the company's future monthly revenues until  Seaside 88   achieves a negotiated rate of return on its investment.

Lessons FromThe 2008 Economic Collapse For Today's Crisis

The economic collapse of 2008 triggered some of the most high-profile bankruptcies in U.S. history, including those of  Lehman Brothers General Motors , and Washington Mutual.

Now, in the face of the even larger crisis  brought about by the coronavirus , other big companies are bracing for a similar fate.

“Bankruptcy lawyers across the country and the world are preparing for an onslaught,” says Marc Levinson, senior counsel at the law firm Orrick.....

The Waffle House Index Just Hit Code Red

For years, FEMA has used Waffle Houses -- which are open 24/7, 365 days a year -- to informally measure disaster severity. The chain’s consistent response across its restaurants reveals which areas have been most damaged.

A Waffle House location is considered:

  • Green, it it’s open with a full menu;
  • Yellow, if it’s open but serving a limited menu;
  • Red, if it’s closed.
Usually, the Waffle House Index is used during natural disasters...
During Hurricane Katrina, the most damaging hurricane in US history, Waffle House  closed  107 locations across Louisiana and Mississippi.

Our Partner Sponsors

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