Tag: Financial

Hedge fund manager

One of Steve Cohen’s top investments in December could be his former protege.

Gabe Plotkin, who has worked for the billionaire for eight years, told insiders that his hedge fund Melvin Capital Administration was up about 44% rapidly in the first half of the year. Cohen’s $14 billion hedge fund, Point72 Asset Management, has invested about $1 billion in Plotkin.

Plotkin, 40, manages about half of its former boss’ cash but has outperformed Point72 by several times in 2019. Cohen’s institution, which relies on several groups of businessmen speculating in very different ways, returned 9.2 percent in the 12 months to June this year, Bloomberg reported earlier this month.

Cohen’s blessing and financial backing

New York-based Melvin, a division of Plotkin’s $7 billion long-short hedge fund, has lost money in 2018, but it has made big sales since launching in December 2014 with Cohen’s blessing and financial backing. Melvin grew from 47 percent in 2015 to about 40 percent in 2017, ranking second in Bloomberg’s international assessment of the top 50 hedge funds with $1 billion or more in assets. The agency’s defenders declined to comment.

Overall hedge fund activity got off to its best start in a decade, rising 5.7 percent in the first half, with most of the growth coming from hedge funds, according to Hedge Fund Analysis Inc. The S&P 500, when dividends are reinvested, rose about 19% during that period.

 Keep Plaguing Melvin Capital

Plotkin, who worked at Cohen’s predecessor, SAC Capital Advisors, from 2006 to 2014, had a very different approach to trading than his former boss. While Cohen was an aggressive trader who bet heavily on relatively short-term positions, Plotkin’s investments were based on careful analysis and self-discipline.

Sohn Money Conference

At the Sohn Money Conference in New York in March, Plotkin described Melvin as “a really human place. We have a number of analysts, and we hold them to high standards,” he said. The staff has built models of the “critical elements” of more than 500 companies, and a team of knowledge science experts interprets their characteristics.

He said the agency was “heavily focused” on the front end, with about 70 percent of Melvin’s profits in the first 12 months coming from bearish bets. Plotkin is skeptical of the shopping center finance trust and electric car maker Tesla Inc.

“I have my own reasons for trying to make money on all the names in my portfolio, not just half of them,” he said.

By December of this year, according to a person familiar with the matter, Melvin was making money on his fast positions despite a strong rally in the fair market.

As of March 31, Melvin’s top U.S. holdings were Netflix Inc, Las Vegas Sands Corp. and money transfer processor Worldpay Inc. In the 12 months prior to Thursday, these stocks returned 22%, 27% and 74%, respectively.

amortization schedule calculator with extra payments

What you should know about the mortgage?

These are some of the terms that you should know before applying for a mortgage loan. Visit this link to calculate amortization schedule with extra payments to principal with our calculator.

Debtor

In a mortgage loan, you are the debtor, that is, the person who takes the loan with the financial entity and who assigns the power or property rights to this entity.

Creditor

The creditor, in this case, the bank or financial institution, is the one who is legitimately authorized to demand payment or fulfillment of the obligation or debt. This means that the creditor is the one to whom the property rights were assigned.

Guarantee

A guarantee is an additional assurance that financial entities sometimes ask for to grant you a mortgage loan. The guarantor must be a person with a fixed salary or real estate that can support the debt in case you default on the loan installments. Not all financial institutions ask you for a guarantee, nor in all mortgage loans.

Interest rates

Mortgage loans are offered at fixed, variable, and mixed interest. You can easily calculate amortization schedule with extra payments to principal with our calculator.

loan amortization schedule with extra payments

Financing percentage

It refers to the percentage of the asset for which they are going to lend you the money. Organizations usually loan you 70-100% of the money you need to buy a home. This percentage can vary if the home is new or used.

Maximum amount

It is the maximum amount of money that they are willing to lend for that reason. This may vary depending on the type of home.

Term

It is the amount of time for which the financial institution is willing to lend you the money you need, most of the mortgage loans are long-term, between 15 and 40 years.

Requirements

Depending on the financial institution or bank, the requirements may vary. These are the minimums:

  • Be between a certain age and have an identity document
  • Have a fixed income of at least one minimum wage in force in your country
  • Know the price of the house to buy