Annello Sets "Asia Times" Straight on Lampert and Sears (SHLD)

Wish I had wrote this one……Great job Jeff

“I read an article called “Sears majesty to hedge-fund dust” at the behest of a reader on the gurufocus message boards, and I have to say it is one of the most uninformed and incomplete articles I’ve ever read. There are so many misguided and shallow statements that it’s hard to know where you’d even start to refute the allegations. Before you read my refutation, please read the article for context. Please read my refutation through before commenting.

I’ll start with a quote from the article, and continue on down from there:

“But as all readers of this site well know, things sure changed in 2007. Many of the hedge fund strategies that paid off like slot machine jackpots in the previous two years, such as huge heavily leveraged bets on subprime mortgage paper, came up lemons last year.”

Leveraged bets on subprime mortgage paper? What on God’s green earth does subprime mortgage paper have to do with ESL Investments? While this reporter basks in the failure of many hedge funds last year that were doing things extremely far removed from what ESL does, I question if he actually looked at any other ESL investments outside of Sears and Citigroup. If he did, then it’s a classic red herring argument fallacy; he is using irrelevant information that doesn’t have anything to do with the argument at hand.”

Read rest of post here:

Disclosure (“none” means no position):Long SHLD

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