Is he bullish on real estate, or just committed
to stock picking?
Greenlight Capital Management founder David Einhorn is used
to taking controversial positions. But it's rare that he faces
off in public against such esteemed hedge fund luminaries as he
did when he spoke at the Ira W. Sohn Investment Research
Conference in May.
Earlier in the day, Duquesne Capital Management's Stanley
Druckenmiller had given a dire warning on the economy,
including what has become almost conventional wisdom: the real
estate bubble is about to burst. That didn't sway Einhorn,
whose fund has several real estate-related holdings. When he
got up to speak, he put forward one stock investing idea: the
Denver home builder MDC Holdings.
Carl Icahn immediately followed, making a point of directly
rebutting Einhorn. The activist founder of Icahn Partners
opined that Einhorn seemed like a nice enough guy, but he
attacked the wisdom of recommending...