Hedge fund slams Fortescue

PROMINENT hedge fund manager and short seller Jim Chanos has singled out Fortescue Metals as a ''value trap'' stock, telling a New York conference that shares in billionaire Andrew Forrest's company will fall ''materially''.

In a presentation to Grant's Spring Conference, a private investment forum, this month, Mr Chanos, the boss of Kynikos Associates, told investors he feared iron ore miner Fortescue had ''a somewhat promotional management team''.

He singled out the company headed by billionaire Andrew ''Twiggy'' Forrest as the global example of a ''value trap'' in the ''iron ore rush'', adding that he was betting against the company.
Advertisement: Story continues below

''In our hedge fund, we are long BHP v Fortescue and others,'' said Mr Chanos, according to an account of his presentation in Grant's Interest Rate Observer, the publication of the conference organisers.

''BHP is a much more stable company. They see the cycle more than others do, they've been through it more than others have and it's been an interesting hedge for those that play it that way.''

Read more at Brisbanetimes.com.au
 

Topics:  andrew forrest, fortescue metals, grant's spring conference, jim chanos, wall street




Local Real Estate

finda logo
Featured Real Estate
Art Deco Meets Today's... Offers Over...
House 4 2 4
Vendor Amends Price ... Offers Over...
House 4 2 2
Another $10,000 Off ... $375,000
House 4 2 2
Own Your Own... $565,000
House 3 2 6

Featured Jobs

finda logo

Clarence Valley jobs listed daily

Featured Jobs
We are seeking an... Coffs Harbour Full Time
FULL TIME WEB... Fortitude Valley Full Time 75,000 - 100,000
GENERAL MANAGER ... Gladstone Full Time $120 - $150
BRIDGESTONE SELECT ... Grafton Full Time


Local Partners

LATEST DEALS AND OFFERS

Free Seed Packets

with token from today's paper
Learn More

Cars For Sale

Find cars for sale online now.
Learn More

Property Listings

Post an ad from $30
Learn More

Local Profile

Stay Connected

Get the news as it happens, in your inbox

You can change the newsletters you are subscribed to when you edit your profile

Edit Profile


Special Offers

Latest deals and offers

View today's ePaper!

Read the digital edition
Learn More

Horoscopes

Virgo

This could be a day where you decide to spend big on clothing, jewellery and other fashion items that could make you feel more attractive. It...

read more

Marketplace

Special Offers & Promotions

Compare & Save