Hype over Boaz Weinstein’s J.P. Morgan harpooning turns out to be much blubber
By Rob Copeland
Fri Jun 22, 2012
“Whale" of a trade is minnow for vast majority of Saba’s investors; tail risk strategy up big for month, down on year.
||Boaz Weinstein of Saba Capital
He has been compared to Captain Ahab, but Boaz Weinstein is
more like a fisherman patiently trawling for cod than a whale
hunter with an itchy harpoon hand.
The 38-year-old Weinstein of $5.78 billion credit firm Saba
Capital Management made headlines the past month when his
publicly-announced short bet against North American
investment grade bonds via a credit default swap index ended in
humiliation for J.P. Morgan and its trader Bruno Iksil, the
so-called whale who lost billions on the other side of
Weinstein and other hedge fund speculators.
The New York Times gushed that Boaz Weinstein was the
"wunderkind of the hedge fund world." The New York Post labeled
him a "hotshot" riding a "genius trade" in a story inspired by
Herman Melville’s famous American novel Moby Dick.
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