Jason Burack of Wall St for Main St had on returning guest, hedge fund manager Kevin Duffy of Bearing Asset Management to talk about shorting stocks.
Kevin wanted to come back on for another interview because he didn't get to discuss his expertise, shorting stocks. Kevin has been shorting stocks professionally for over 20 years.
Jason starts off the interview by asking Kevin about the Brexit vote to leave and what it means for European banks and the British Pound?
Jason and Kevin talk about the continued, worsening intervention of central planners into markets and how even if the UK leaves the EU completely, that the politicians, bureaucrats, central planners and central bankers in the UK will still continue monetary and fiscal policies that will probably make their economy worse.
Kevin talks about the massive government bond bubble and the problems with negative interest rates.
Jason then asks Kevin about the short selling philosophy of famous investor and short seller, Jim Chanos http://www.valuewalk.com/jim-chanos-bio/
Jason talks about Jim Chanos' short selling checklist. Chanos looks for companies or industries:
1) Credit Booms That Go Bust
2) Obsolete Technologies like Kodak
3) Companies with too much debt on balance sheet
4) Fraudulent accounting like from Enron
Here's some additional articles about the stocks Jim Chanos is short and how he finds shorting opportunities:
1) http://thecrux.com/heres-what-jim-chanos...
2) http://www.barrons.com/articles/is-stock-shorting...
3) http://www.gurufocus.com/ListGuru.php...
4) https://25iq.com/2016/01/09/a-dozen-things...
Jason and Kevin discuss different industries to potentially short including copper, oil, European banks, home builders, etc
Jason also asks Kevin about the recent Tesla Motors/Solar City deal.
