The Residential Real Estate Crash Index Message Board

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Strategies & Market Trends : The Residential Real Estate Crash Index

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To: MulhollandDrive who wrote (84475)	8/10/2007 2:29:25 PM
From: 2sigma	Read Replies (2) of 306849

I thought I was smart, but for the life of me I can't figure this apparently simple but brilliant hedge as follows... With some quite clever little twists,' he said. 'What I do, for example, is meet firm X and they might tell me that one of their main problems is recruitment, but they've managed to hire some people away from firm Y. Well, what I do then is to look at firm Y, knowing that they're losing their best employees, so I invest in firm Y, and then I short firm X.' ...wouldn't one short Y and long X? Perhaps I'm having a bad neuron day. thanks, Haps.

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