Business Education

Once-And-Future Carl Icahn Nemesis Bought Ritziest Residence In Town

Don Ramey Logan [CC BY 4.0], via Wikimedia Commons A few years ago, Carl Icahn couldn’t shake a sneaking suspicion that Michael Dell had arranged a pretty sweet deal for himself to take his namesake company private. And he might have been right! For while Dell was agreeing to pony up $4 billion of his fortune toward retaking control of his company, he was throwing another $100 million-plus at a little pied-a-terre in Icahn’s hometown—one perfectly poised for him to look down upon Uncle Carl if he ever again chooses to dine at his once-favorite restaurant, and one that makes One57 the official headquarters of the Companionable Order of Enemies of Carl Icahn. Dell Technologies founder and CEO Michael Dell was the buyer behind the $100.47 million purchase of a penthouse on Manhattan’s Billion...

Ken Griffin Cans Steve Cohen’s Brother-In-Law

A couple of years ago, Ken Griffin and Steve Cohen had a bit of a disagreement over the relative prevalence and availability of talented traders with which one could stock a hedge fund. Steve was bemoaning the bottom-of-the-barrel resumes he was seeing; Ken suggested there might be a reason for that. As if to demonstrate, at around the same time, Griffin hired Cohen’s brother-in-law to run a new stock-picking unit, because he could. And then he had Richie Schimel fill that unit, Aptigon Capital, with refugees from Visium Asset Management, because that’s what he does, and also because he could—and Cohen couldn’t. And now, Griffin has fired Schimel, because, again, that’s what he does, and, again, also because he can. Maybe it’s time for that family reunion after all. Richard Schimel, who ha...

Nasty Letter From Shrill Bitch About CFPB Rule Changes Provokes Response From Elizabeth Warren

Mick Mulvaney has really been putting his angry leprechaun imprimatur on the CFPB since he was ordered to seize control of it a few months back. And his new vision of the agency as “The Opposite Day Regulator” has clearly irked Senator Elizabeth Warren on an almost metaphysical level. Warren of course birthed the CFPB from her mind using the Obama administration as its midwife, but she really didn’t participate actively enough in its formative years and the agency was considered to flounder a bit even in the estimation of its supporters. So one can understand that she is feeling angry and conflicted about Mulvaney’s seemingly crusading drive to tear the CFPB down from the inside out. And his clearest indication yet that the CFPB will abandon all pretense of doing what it was created to do ...

In Wake Of Mavericks Scandal, NBA Correctly Runs The “What Wouldn’t The NFL Do?” Play

Without a full check of their archives, or a Twitter account like @NYT_first_said that records the first appearance of words in The New York Times, we cannot know for sure whether this week marked Sports Illustrated’s first usage of “gang-banged,” but one can only imagine the debate on the copy desk as to whether the eye-popping word attributed to former Dallas Mavericks president and CEO Terdema Ussery should be hyphenated. In a lot of ways, the story of Ussery’s behavior, the domestic violence of former Mavs.com writer Earl Sneed, and the corporate culture of the Mavericks is one that has become a kind of dispiriting Mad Lib since last year. Choose a company name, pick some powerful men, detail some reprehensible behavior, and there you go. The Mavericks’ case is odious, but at this poin...

REIT Goes And Ruins In-House Whistleblowing For Everyone

(Flickr: Supreme Court of the United States) [CC BY 2.0], via Wikimedia Commons In spite of their job title, lawmakers are not especially good at making laws. Given that they are for the most part smarmy professional fundraisers and glad-handers, and not, for example, experts on game theoretical consequences, this is both not surprising and especially true of large, complicated pieces of legislation. Take, for instance, the bipartisan examples of Obamacare and the Trump tax heist, the latter of which most (all?) lawmakers didn’t even bother reading before saying, “Aye.” Or, you know, Dodd-Frank, which does many things, some poorly and others less poorly, and which includes the following definition of “whistleblower”: Any individual who provides . . . information relating to a violation of ...

Dina Powell Looking To Return To Goldman Sachs Because No F@cking Duh

Hey, remember when we said a few months ago that Dina Powell would return to Goldman Sachs in late winter or early spring? Well, to be totally honest neither do we (the self-abuse takes a toll), but we apparently definitely did. When rumors of what Dina would do after she left the White House started to break, we wrote these actual words: And unlike the rest of the rogues gallery that joined up with this idiot carnival of a presidency, Dina Powell is an easy person to reincorporate into your organization. She’s flown low enough under the radar to not be infamous while still being privy to some high-level discussions in the West Wing. Lloyd and Co. can bring her back late winter or early spring when yet another Trump crisis dominates the news cycle. Dina Powell is, somehow, still an asset. ...

Steve Mnuchin’s Thoughts On Wages And Inflation Are Predictably Nonsense

On Thursday, the world was once again treated to an all-you-can-drink trip to the wellspring of upside-down thinking that flows inexorably forth from the Trump administration. We learned, for instance, that the best way to keep guns out of schools is to pay bonuses to teachers who are willing to tote Glocks to the classroom. We also learned that the best way to get to Mars is to put a senior citizen in charge of building gas stations on the moon. You’d think that would have been enough for one day, but remember who we’re talking about here. We’re talking about Trump and all of the people who have been sucked into his orbit. Here’s how the physics of Donald Trump works courtesy of a 2017 piece penned by one particularly astute political/economic blogger: Whoever comes within Trump’s event h...

Jes Staley Enjoying Rare Moment Of Non-Outright Hostility

(Getty Images for Yahoo Finance) Barclays shares surged 5 percent higher Thursday morning on positive pre-tax earnings news and the announcement that it would double its dividend for 2018…. “2018 will be the first year in five years that this bank begins with a clean operating model,” Staley told CNBC shortly after the figures were announced.

BoJ May Need To Buy Foreign Bonds After Running Out Of Other Shit To Buy

I guess there are a couple of different ways you can look at Kuroda’s reappointment as Governor of the most profligate DM central bank in a world where DM central bank profligacy is the rule rather than the exception. On one hand, it guarantees continuity of policy and thereby ensures that to the extent BoJ policy does become a source of market shocks, it won’t be due to a change of leadership. In the same vein, the nomination of Masazumi Wakatabe for deputy governor pretty clear suggests that the reflationist bent isn’t going anywhere anytime soon. “Given his statements, it seems quite likely that Wakatabe will propose additional easing—likely in the form of QE—in the not-too-distant future,” Citi wrote earlier this month, although they did note that’s not likely to gain much in the way o...

Barclays Investment Bank Paying Men Twice As Much As Women To Lose It Money

Getty Images In a great sign that everyone at Barclays is paying attention, the bank just disclosed this: Barclays Plc pays female employees at its investment bank division just under half as much as male colleagues on average, highlighting the gender imbalances in the industry and the concentration of men in highly paid roles.The gender pay gap widens to 79 percent for discretionary bonuses paid to employees at its international unit, which houses the corporate and investment bank, said the London-based company, the first major bank with British operations to disclose such data. At the U.K. ring-fenced bank, women earn 26 percent less than men and receive bonuses that are 60 percent lower, according to the lender’s annual report. So, this is a pretty bad thing to have to admit in this cul...

Trump’s New “Guns 4 Schools” Policy Is As Fiscally Responsible As His Other Policies

Listen, the Trump administration is all about thinking outside the proverbial box, ok? That was on full display Thursday when Commerce Secretary (and man who will be happy to ignore your oppressive regime if you woo him with “two gigantic bushels of dates as a present”) Wilbur Ross showed up on CNBC in animate form to answer Joe Kernen’s question about asteroid mining. Although scientists have generally avoided being too deterministic when it comes to answering very specific questions like “what is the actual time frame on mining mineral riches from asteroids?” and/or “how long until we build a Trump hotel and casino on Mars?”, Wilbur was more than happy to explain that it all depends on “how successful we are in turning the moon into a kind of gas station for outer space.” Again, this is ...

Despite Not Knowing How Inflation Works, The Fed Soldiers On

Markets aren’t taking kindly to Wednesday’s release of the minutes of January’s Fed meeting, specifically to indications in the report that FOMC members see new “upside risks” in the economy, and that faster growth and lower unemployment may create the need for even more than three interest rate increases this year. But perhaps the most interesting part of these minutes was a vigorous debate over the correlation between the unemployment rate and inflation. Once upon a time, there was a pretty clear relationship between the two: A low unemployment rate meant the economy was using up most available resources, thus causing inflation to rise. The cure? Higher interest rates to prevent runaway price increases. But in today’s global economy, there appears to be no end to the ability of businesse...