Month: January 2019

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Paper: Short & Distort by Professor Joshua Mitts

Paper

ABSTRACT: Pseudonymous attacks on public companies are followed by stock price declines and sharp
reversals. These patterns are likely driven by manipulative stock options trading by
pseudonymous authors. Among 1,720 pseudonymous attacks on mid- and large-cap rms
from 2010-2017, I identify over $20.1 billion of mispricing. Reputation theory suggests these
reversals persist because pseudonymity allows manipulators to switch identities without ac-
countability. Stylometric analysis shows pseudonymous authors exploit the perception that
they are trustworthy, only to switch identities after losing credibility with the market.

PDF (81 Pages): Paper Mitts Short and Distort

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Article: Pretium – Pretium’s Predictable Predicament

Article - Media, Publications

Pretium – Pretium’s Predictable Predicament

Viceroy Research, 10 January 2019

Pretium released the Brucejack Mine’s Q4 2018 production update yesterday after-market, and market reaction shows it fell short of expectations. Pretium’s ore grade has predictably fallen since Q2 2018 by >22%, leading to a miss of Pretium’s H2 low-end gold production guidance of 200,000 ounces. At 11.5g/t, Pretium’s head grade is now 30% below feasibility study sampling.

Per our previous reports, Viceroy believe Pretium’s grades will continue to fall as Pretium appear to be at the tail end of extracting high-grade deposits found along the Cleopatra Vein. As a reminder to our readers, we have appended this section of our thesis to this note.

Pretium have attributed their production and grade shortfall on their grade control system, which they state will be refined. We believe this is an unnerving excuse, and have provided substantial evidence to support our thesis that Pretium is overmining or selectively mining its deposits.
Continue reading “Article: Pretium – Pretium’s Predictable Predicament”

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Fined: CFD Investments, Inc. Fined by FINRA

Fined

CFD Investments, Inc. Fined by FINRA

10 January 2019

A Letter of Acceptance, Waiver and Consent (AWC) was issued in which the firm was censured and fined $125,000. Without admitting or denying the findings, the firm consented to the sanctions and to the entry of findings that it failed to establish, maintain and enforce a supervisory system and written supervisory procedures (WSPs) reasonably designed to ensure that its registered representatives’ recommendations of variable annuities complied with applicable securities laws and regulations and FINRA rules.

Read full report.

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Article: Overstock CEO Patrick Byrne Is An Innovator And Survivor – Utah Business

Article - Media, Publications

Overstock CEO Patrick Byrne Is An Innovator And Survivor – Utah Business

windowswear, 02 January 2019

Patrick Byrne, the CEO of Overstock is known as two things: innovator and survivor. Over the course of his life, Mr. Byrne has beaten cancer three times, hepatitis twice, and endured over 100 surgeries and medical procedures. From this, he draws inspiration.

“Life is short,” said Mr. Byrne in a recent interview with Silicon Slopes. “Samuel Johnson says, ‘When you tell a man he’s to be hung in a fortnight, it tends to focus his mind tremendously.’ Well, I’ve been very focused on getting some things done and it has lasted about 30 years. It’s probably the best thing that ever happened to me. If I hadn’t gotten cancer I probably would’ve been a lifeguard somewhere and not nearly as driven.”

Alongside this constant battle, Mr. Byrne has grown into one of Utah’s most notable innovators. In 1999, he launched Overstock.com to corner an emerging market: discount goods sold via the internet. Continue reading “Article: Overstock CEO Patrick Byrne Is An Innovator And Survivor – Utah Business”

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Article: Will Naked Short Selling Make a Comeback in 2019?

Article - Media

Will Naked Short Selling Make a Comeback in 2019?

Cynthia Hetherington

Hetherington Group, 2 January 2019

Many investors “Go Long,” meaning they purchase stocks with the hope of gaining returns as the price of the security increases. A short seller, on the other hand, borrows on a stock and sells, hoping the price will decrease.

A third type of investor is known as a Naked Short Seller. No, this isn’t the story of a guy sipping mai tai’s on a tropical beach in his birthday suit (although he could be and not be committing fraud!).

Read full article.

THE DOLLAR HAS NO INTRINSIC VALUE : DO YOUR ASSETS?