Deutsch Bank

Discussion in 'Stocks' started by Spectre2007, Mar 24, 2016.

  1. Soros is short 7.5 billion of its stock apparently.
     
    #51     Sep 26, 2016

  2. If you see a house of cards what's the probability that counter parties engineered risk and lent capital knowing full well that capital would never be paid back and taking a counter larger position betting on its implosion.

    It's similar to taking life insurance policy on a heroin addict, while being the drug dealer selling heroin to the addict.
     
    #52     Sep 26, 2016
  3. Sig

    Sig

    He's short nearly 50% of the float of DB (which is $16B per what you posted)? That's a pretty massive bet! The latest short interest shows DB at 41.7M shares, which at the $12 price you posted represents $.5 billion of the alleged $7.5 billion that Soros is short. Where is the other $7B?
    Data driven decisions are so easy in today's world, just a couple minutes research can support or debunk almost anything you've heard. No need to fly blind and base your investment decisions on something like this that doesn't seem very credible at either first or second glance.
     
    #53     Sep 26, 2016
  4. The German Newspaper Die Welt reported that the great George Soros had recently opened a short position of 0.51% of Deutsche Bank's outstanding shares. This equates to seven million shares, worth $7.5 billion.
     
    #54     Sep 26, 2016
  5. Ah, if only this were the case... I don't think 0.51% of DoucheBank was ever in history worth $7.5bn.
     
    #55     Sep 26, 2016
    Zzzz1 and Sig like this.
  6. Sig

    Sig

    If DB's market cap is $16B, which is a number I got from your graphic btw, then how is .51% of DB's outstanding shares worth $7.5B? I'm pretty certain the math is .0051*16,000,000,000=$81.6M. Or alternately, 7 million shares of a $12 stock (again your numbers) is 7,000,000*12=$84M=$.084B. This is a much more credible number.
     
    #56     Sep 26, 2016

  7. It's calculation mistake on news wires.
     
    #57     Sep 26, 2016
  8. Sig

    Sig

    That's why I'd advocate that you do some quick mental screens and a little digging rather than depending on easily debunked info. First off, you knew the market cap of DB, so someone telling you that Soros is short half its market cap should strike you as unusual enough to do some more research before taking it as gospel. Second, you know the price and the number of shares, without even doing the math you can see the number is off by an entire order of magnitude. And this is just the very easy to quantify question on how much Soros is short, it says nothing about a "house of cards" that may or may not exist.

    DB may very well fail, but I'd submit that the probability you've assigned that failure is far higher than the actual probability.
     
    #58     Sep 26, 2016
    Zzzz1 likes this.
  9. image.jpeg

    Ofcourse she can...
     
    #59     Sep 26, 2016
    James Blanco likes this.
  10. Now Deutsche Bank states that it did not even ask for help from Berlin.

    Anyways, if the German lender collapses - EU is in a big trouble
     
    #60     Sep 27, 2016