Union city condos.Us hedge funds short Canadian real estate for $12.3 billion! Steve Eisman, a famous hedge fund manager in the United States, has publicly announced that his hedge fund portfolio Neuberger Berman is shorting Canadian real estate.Please Visit: Union city condos to Get Your VVIP Registration Today!
According to the Financial Times, hedge funds shorting Canadian real estate have made a profit of 19% so far this year, but some hedge funds have openly said they want to increase their short stakes, despite the false voices in the market. but the problems in the Canadian real estate market are also obvious.
Steve Eisman successfully shorted the US real estate market in 2008 and has become the nemesis of the global real estate bubble since he became famous in the first world war. His hedge fund likes to hit the bubble real estate market, and this time he is targeting Canada.
According to public reports, as of February 2019, Steve Eisman had a position of $3 billion shorting TD Bank, $1.3 billion shorting BMO, $2.3 billion shorting CIBC, and billions of dollars shorting other targets.
Financial analysis firm S3 Partners says Steve Eisman is still increasing his short position.
The Financial Times explained that shorting Canadian real estate was Steve Eisman’s direction judgment, but the most important subject matter was not a particular property or real estate index, but the Canadian commercial bank, which is closely tied to Canadian real estate.
Shorting Commercial Bank of Canada means that Steve Eisman believes that at some point in the future, the share price of Commercial Bank of Canada will be dragged down by the downturn in the property market.
Steve Eisman said publicly that the credit of Canadian commercial banks is not normal, they lend money to people who should not, there must be serious problems in the Canadian real estate market, and then the bank’s bad debts increase and stock prices fall. Although he is not sure how long the process will take, he will see this day. So he firmly shorted Canada’s major commercial banks.
Steve Eisman stressed: this is a ploy and there is no need to cover it up.
However, Steve Eisman also admitted that the crisis in the Canadian real estate market could not be compared with the crisis in the United States in 2008. He shorted TD, shorted BMO, shorted CIBC, but he did not think there would be a wave of large-scale bankruptcy in the Canadian real estate market, but the potential crisis was enough to short and profit.
Huang Sanshui said that the fund manager plays with very advanced things, and his small real estate agent has nothing to comment on except listening to the hustle and bustle. However, the subtext of this is pregnant with a lot of business opportunities, if a small number of owners default to give up their homes, it means that buyers waiting in the market have a very good bargain opportunity.
Huang Sanshui said he was looking forward to the success of Steve Eisman’s fund, and then he took his clients to the auction house.
The editor wants to say that the real estate market is no different from a casino. Selling at any time is tantamount to betting big and small. If you buy and leave, don’t regret it. As for winning or losing, you don’t know what’s going on until you spend a complete cycle.
So for those who have a house in their hands, it is better to hold it firmly than to mess around as long as they do not encounter financial difficulties.
Those who are ready to buy a house should not be afraid to miss out on a good house as long as they have cash on hand, because a better house is always waiting for you.
