A complaint to the SEC could limit the fees that private equity firms charge or force greater oversight.» Read More
Bill Gross, co-head of the world's largest bond manager, repeated his call that interest rates would remain low for at least two more years.
"Our primary thrust has been to focus on what we are most (although not totally) confident about, that the Fed will hold policy rates stable until 2016 or beyond," Gross, co-chief investment officer of $1.97 trillion Pimco, wrote in a monthly note to clients Tuesday.
Gross made a similar pronouncement in July and has so far been right—interest rates are still near zero. At the same time, Pimco's largest mutual fund, the $247 billion Total Return Fund Class A, has struggled this year relative to other asset classes, especially stocks. It's down 3.2 percent year to date through November.
Kenneth Brody, the co-founder of $8.2 billion hedge fund firm Taconic Capital Advisors, plans to retire in January after nearly 15 years at the firm, according to a letter sent to investors Tuesday.
Brody, 70, will remain a principal and advisor to the multi-strategy and event-driven firm starting January 1. He will also remain a "significant" investor, according to the note.
Co-founder Frank Brosens will run the New York-based shop with chief investment officer Chris Delong. A spokeswoman for Taconic declined to comment.
(Read more: Hedge funds play buy-and-hold, and lose: Report)
Happy Wednesday. They're lighting the tree tonight in Rockefeller Center, and we're lighting up another Morning Six-Pack:
Memo to the rich folks: Get ready to start paying more taxes, because even Pimco's Bill Gross thinks you should. (Wall Street Journal)
The correction boat is getting a little crowded, but there's one more big Wall Street firm looking to climb aboard. (USA Today)
Whether it's just Wall Street market experts getting cute or there's something more scientific at play, the idea that the S&P 500 will finish 2014 at, yes, 2,014 has gained another convert.
Adam Parker, the chief market strategist at Morgan Stanley, just raised his target for the index next year nearly 10 percent from the original 1,840. He joins John Stoltzfus at Oppenheimer, who two weeks ago issued the first "2,014 in 2014" call.
Both projections suggest not merely a convenient and catchy forecast but also a decidedly bullish bent that the market can build on the momentum of a year—with nearly a month of trading left—where a 30 percent gain is not out of the question.
"Since last March, we have been sanguine on U.S. equities," Parker said in a note to clients. "Our logic has been driven more by lack of a bear case than the strength of the base case."
In the Stoltzfus call, he arrived at the number as a midpoint between two models the firm uses to project market price points.
Harvard, Yale, Stanford and other elite universities may help shape some of the brightest minds in the country, but some of their endowment investment returns can look something less than brilliant.
Harvard, Brown, Cornell, Stanford and Yale all under-performed a classic allocation of 60 percent stocks and 40 percent bonds and even benchmark returns for hundreds of other colleges and universities, according to a new ranking of five-year returns compiled by recruitment firm Charles A. Skorina & Co.
Of course, such an analysis isn't perfect. Comparing complex, multi-billion dollar portfolios that attempt to balance risk management with strong performance is inherently difficult and much of the underlying structure of the endowment investments are kept private.
That doesn't mean the relatively crude analysis isn't interesting.
Borrowing money at bargain basement interest rates may seem now like a nice way to pad profits and share prices, but it may not be as much fun in a few years.
Companies face three consecutive years where more than $1 trillion each will come due in the form of maturing bond issues that have been used during the free-wheeling, zero-interest days courtesy of the Federal Reserve.
When that happens, corporations will have to choose between rolling over, or refinancing, debt at interest levels likely to be higher than the present day or using cash on their balance sheets to pay off their creditors.
The calculus from both borrowers and the Fed assumes that rates will still be low enough to roll the debt, and economic growth will be strong enough to absorb the costs of paying it down.
It's a high stakes bet that market experts hope will pay off.
Happy Monday. Congratulations for surviving Black Friday, a dark day indeed for humanity.
In case you haven't heard, the first-year of Obama Part II hasn't exactly gone as planned. Democrats think the reboot needs a reboot. (The Hill)
As investors feel emboldened by the seemingly unstoppable stock market rally, they're borrowing money at record levels to keep things going.
Margin debt—a measure of how much market participants are borrowing to buy stocks—has soared to $412.5 billion on the New York Stock Exchange. The number represents a 13.2 percent gain from the beginning of 2013 and is fully 50 percent higher than the level in January 2012.
There are two ways to look at such a data point.
One is that investors are so confident in the market that they believe they're safe by funding their purchases from other sources and the market will rise sufficiently that they'll be able to repay their debts and pocket a nice profit.
That would be a good thing.
Bitcoin's most widely watched exchange has interesting origins from the world of online role-playing games.
While there are an assortment of ways to track and trade the online cryptocurrency, the exchange most often cited is Mt.Gox. The natural temptation is to look at the name and think "Mount Gox," which would seem to have little to do with bitcoin's operation.
The name, in fact, is an acronym that stands for "Magic: The Gathering Online eXchange."
"Magic: The Gathering Online" is, as the name implies, the online version of a card game that pits wizards against their opponents in an intricate fantasy game that involves playing cards that are traded and can be valuable.
John Carney is a senior editor for CNBC.com, covering Wall Street and finance and running the NetNet blog.
Jeff Cox is finance editor for CNBC.com.
Lawrence Delevingne is the ‘Big Money’ enterprise reporter for CNBC.com and NetNet.
Stephanie Landsman is one of the producers of CNBC's 5pm ET show "Fast Money."
The unofficial odds are rising that the Fed will announce taper plans at its December meeting.
Three Wall Street trade groups sued the Commodities Futures Trading Commission to stop tough overseas trading guidelines they fear.
Paid in the form of assistance programs, the funds are in effect a subsidy to the banking industry, The Washington Post reported.