Greenlight Capital's David Einhorn was speaking today at the 5th Value Investing Congress in New York City.
Two years ago he appeared as a highlight lecture of the show, and laid out his reasons for shorting Lehman Brothers stock. Needless to say there was quite a bit of attention to what he had to say today.
Here are some highlights:
1. A very bleak outlook for the US economy
2. US has a lack of political will to adopt needed financial reforms.
3. Right now he would like to hold gold rather than cash because "gold benefits from poor fiscal policy."
4. Buying long dated options on much higher interest rates in the US and Japan
5. Singled out GE as thwarting financial reform due to their intense lobbying efforts.
Transcript of David Einhorn's presentation.
Saint Michael the Archangel, defend us in battle; be our protection against the wickedness and snares of the devil. May God rebuke him, we humbly pray: and you, Prince of the heavenly host, by the power of God, thrust into Hell Satan and all of the other evil spirits who prowl about the world seeking the ruin of souls.