Monday, August 29, 2011

Sino-Forest (

Go read Alex Dalmady's series on the saga, which wraps up with this one today. Here's an extract:

"Carson Block is looking like a champ. For his part, John Paulson took his lumps like a man. It was big loss for his fund, but he showed he could recognize when he was wrong.
I do feel for the analysts who came out to support the company. Lesson learned, hopefully. Don't trust everything they tell you, sometimes the numbers are simply a lie. Company officials are NOT your friends."

The only part I disagree with is the bit about feeling sorry for the lazy group-thinkers, because if you can't see that they're part of the problem and not part of the solution there's a flaw in your argument, Alex. But yeah, credit to Paulson for taking one on the chin in an adult fashion. And that last part about company officials is 100% correct.