Jim Chanos

Published on
February 2nd, 2018
Duration
55 minutes

Jim Chanos

The Jim Grant Series ·
Featuring Jim Chanos

Published on: February 2nd, 2018 • Duration: 55 minutes

Jim Grant, the editor of Grant's Interest Rate Observer, sits down with famed fund manager and master short seller Jim Chanos of Kynikos Associates. They discuss the philosophy of shorting stocks, the best way to perform research, and the preferred methods for managing risk within a portfolio. They also discuss Mr. Chanos’s successful shorts on Enron, Valeant and others – as well as his current bets against Tesla and China. Filmed January 24th, 2018 in New York.

Comments

  • LM
    Leighan M.
    31 August 2019 @ 17:02
    That onion analogy at the end is probably the most important thing I’ve ever heard.
  • DH
    David H.
    28 April 2019 @ 23:54
    Ibid. Ethan at the top. Would love to be able to only listen as if a podcast while doing other things on my device.
  • EW
    Ethan W.
    21 April 2019 @ 18:14
    With the mobile app it would be helpful to have a way to play audio and close the screen
    • TM
      Troy M.
      5 May 2019 @ 14:40
      Please!!!
    • CJ
      Christopher J.
      2 July 2019 @ 17:33
      Download the audio file
  • AG
    Alexander G.
    6 November 2018 @ 23:44
    Ah, I had completely forgotten about zaitech... a walk down memory lane. Remember when the traders on the floor of an investment bank in Europe had to come in at very early morning hours so they could trade Japanese stock option certificates, which were stripped off of corporate bonds and were selling like gold... Thanks for this great interview.
  • PP
    Peter P.
    30 October 2018 @ 12:06
    Great interview, Jim!
  • TC
    Terry C.
    26 August 2018 @ 21:31
    "Our cost basis is half of where the stock is..." this is a hedge for investors? This is a very intelligent man but I feel most of the intelligence comes from structuring the fund to get paid from outperformance...
  • JV
    John V.
    16 August 2018 @ 23:18
    2 old pros on their toes. great info on China, as usual. Informative. Enjoyed!
  • PD
    Pat D.
    24 June 2018 @ 06:17
    Jim Grant has a particular skill while interviewing. Sometimes it may seem that he is interrupting the interviewee, but I believe it's his inherent skill in pulling it back to him (and his agenda); and the way he directs the interview (along with his wonderful humour) makes it look effortless and all too easy. Imagine what it would be like to have a 60 minute feature (topic??) with Jim Grant, Michael Green, and Grant Williams.
  • RS
    Ronan S.
    7 June 2018 @ 19:25
    What a great interview. The two Jims are always great to listen and learn from. With regards to China, does it not make sense to look at the amount of debt per company? in this case China has less debt per company when compared to the US by a fair amount. I could also look at this and say that a large portion of the companies in China are only in existence due to their debt driven business model and that a large shock to the system would bring down the number of companies in China to a level that would show debt per company far higher than that of the US. Just wondering if this is a stupid metric to look at that it still does not justify c.400% debt to GDP. Thanks!
    • DR
      David R.
      16 August 2018 @ 09:51
      Most of the corp debt is SOE (state owned enterprise), which is really government strategic backed by the world's largest inventory of gold (China has eighty times more gold than the US and can back the CNY with gold when the moment strikes in order to wrestle away the mantra of global reserve currency during the coming global monetary crisis). The SOE's own most of Africa, much of latin america and large swaths of Asia, including lately chunks of the middle east. Chinese troops, the world's largest, are starting to move into the middle east. This is a vehicle for them to financially take over the world by 2032 as Martin Armstrong has so ably described as certainly to succeed.
  • KM
    Kevin M.
    6 June 2018 @ 04:23
    Really wish I could listen to this, but after downloading the audio, the first 3 or 4 minutes keeps repeating in a loop.....
  • BP
    Besar P.
    18 February 2018 @ 04:26
    Tough guy, in a tough business to be in, dominated by fiat currency. He is not just a hedge, but serves as checks & balance function for the market, that sadly all indexers get a free ride on.
  • PW
    Peter W.
    16 February 2018 @ 03:32
    just fantastic ....great to learn from a master
  • EO
    Eanna O.
    9 February 2018 @ 21:29
    Any plans to make it possible to download the video to mobile device for offline viewing? This feature is now available on Netflix and would be super handy. Thx
  • DD
    Daniel D.
    9 February 2018 @ 19:34
    Great interview! So much value. The onion analogy towards the end is good old fashioned Midwest wisdom. Unfortunately, most are too lazy to read boring 10-Ks and 10-Qs let alone footnotes when offered slick research reports from "name" wall street firms. Thank you Jim & Jim.
  • GS
    George S.
    8 February 2018 @ 18:10
    This is gold!!!
  • LA
    Linda A.
    6 February 2018 @ 18:14
    One of the best short sellers ever! What I love about Chanos is that he sees thru the BS & does his own thinking. He is the revealer of truth.
  • MC
    M C.
    6 February 2018 @ 00:41
    Terrific interview. Short sellers have some intestinal fortitude
    • RM
      Ritwik M.
      6 February 2018 @ 16:17
      Reply
    • RM
      Ritwik M.
      6 February 2018 @ 16:18
      reply
    • RM
      Ritwik M.
      6 February 2018 @ 16:18
      reply again to reply
  • VS
    Victor S. | Contributor
    5 February 2018 @ 17:48
    I believe Jim C would add to his performance substantially, by hiring 3 technicians (who should not be to expensive these days), and when all 3 agree the top as arrived ,execute your shorts. Two cents from a man who has made a living doing this. Great interview .Thanks for the interesting comments.
  • AB
    Andrew B.
    5 February 2018 @ 09:42
    Oh boy, that was good. Yeah heard some of it before but nice long form context.
  • CM
    Charlie M.
    5 February 2018 @ 05:38
    Enjoyed this interview a lot, really interesting hearing a short seller's perspective. After Jim Chanos mentioned avoiding "confirmation bias", I hoping, hoping, hoping! Jim Grant was going ask the follow up question - How do you avoid confirmation bias?!! Inquiring minds want to know!! :)
  • us
    ujjwal s.
    5 February 2018 @ 01:39
    Good Stuff, Wish I can afford Jim's subscription. :)
  • DK
    Dylan K.
    4 February 2018 @ 22:43
    Interesting view on blockchain that I haven't heard before.
  • JW
    James W.
    4 February 2018 @ 08:27
    All long since covered in prior interviews with Chanos is the public domain. Great interview on Wealth Track this weekend on bind strategies for a rising rate environment with two great analysts.
  • LC
    Liliana C.
    4 February 2018 @ 06:20
    Love Jim and Chanos and learned was fascinated by how Chanos thinks . Noted the differences between him and Marc Cohodes in their approach to Tesla. 👍
  • EF
    Eric F.
    4 February 2018 @ 04:22
    Fantastic interview, totally won over by Jim Grant. Really hope a second series gets commissioned. Only comment I would have is I would love to have heard a bit more opinion on where JC thinks this goes, i.e. a bit more forward commentary. Would also love to have heard current thinking on Tesla in a bit more detail. Also, I could easily listen to 90 minutes of this. I know that’ll go counter to my previous feedback, but the Friday pieces are proving to be top notch. Lastly, I do wonder if RV could incorporate some subscriber questions into the mix. Could prove really engaging and useful on a number of levels. I’d love to know what others are thinking and upvote / downvotes could filter for the RV crowd. Just a thought.
    • RM
      Richard M.
      4 February 2018 @ 15:51
      Eric, I like your idea on incorporating subscriber questions into the interviews (when appropriate). I was just reading Mauldin's weekly letter and he mentioned this item regarding his upcoming SIC conference: "Further, we use software now that allows attendees to ask questions and for people to vote on those questions that they want moved to the top of the questions queue. It works amazingly well, and the attendees do get their most important questions answered." I like that idea, users ask questions and then the rest of the users get the rate/rank the questions so that only the top 5 or 10 (i.e., the "best") questions get asked of the guests. It's a great idea!!! ***RVTV/Milty - take note.*** :-)
  • OM
    Omar M.
    3 February 2018 @ 23:39
    Terrific interview 👌👍
  • PD
    Peter D.
    3 February 2018 @ 16:45
    This was a great interview, as always with Mr. Grant. However Chanos appears to say his fund's average position is 2% and the max he will hold is 5%. This suggests that his people are tracking at least 50 positions, and that the results (as John Bogle suggests in such cases) are nothing more than a crap shoot. Identifying an Enron, or an overleveraged China is great. But it would not necessarily enable you to outperform if you only take a 2% position. Nor (as past performance is no guarantee of future results) is it clear how you'd be better off in future years holding Mr. Chanos's funds than if you buy the index, and protect it with 40% worth of some sort of put.
    • FC
      Fractal C.
      3 February 2018 @ 20:32
      My thoughts exactly.
    • EF
      Eric F.
      4 February 2018 @ 04:08
      I understand the point made here but position sizing is crucial and oversizing on the wrong ‘bet’ could be disastrous. My understanding is that it takes lots of small bets with asymmetric pay-offs and the proper research and due diligence. That can provide outsized returns, over time.
    • DC
      D C.
      6 February 2018 @ 20:25
      And don't forget, those 50 positions would likely have similar characteristics or factors, so I suspect it's more like a Value fund, or momentum fund, or whatever factor fund, but diversified with individual names. Which is quite different from a complete "random" 50 stock portfolio.
  • GB
    Grant B.
    3 February 2018 @ 11:31
    Great value add. That's why I subscribe to Real Vision. Tx.
  • JV
    Jason V.
    3 February 2018 @ 10:18
    Brilliant and wise and wonderful. Thank you to Jim and Jim for your erudition and generosity.
  • T~
    Tshort63 ~.
    3 February 2018 @ 07:07
    This was just outright fun, Jim Grant has some great friends. Oh, and they seem to know a thing or two about money as well.
  • SP
    Simon P.
    3 February 2018 @ 06:36
    This interview only, by itself, is worth annual admission. WhoeverTF junked this was too much toking/joking. The confirmation of how painful the right at the wrong time position can be, even for the most savvy, is gold. Agreed, potential top all time.
  • AG
    Alex G.
    3 February 2018 @ 05:46
    Top all time interview contender
  • HF
    Hassan F.
    3 February 2018 @ 03:41
    This is top quality stuff. Kudos to RVTV for getting this series together. I am so glad that RV is again outdo themselves in producing quality content.
  • TR
    Thomas R.
    3 February 2018 @ 01:10
    I can't believe how much I appreciate Real Vision. This Friday Jim Grant Series is nothing short of spectacular!
    • EF
      Eric F.
      4 February 2018 @ 04:09
      Well said.
  • JV
    James V.
    3 February 2018 @ 00:16
    Loved the interview! Jim Grant's sense of humor is as dry as the desert and is perfectly matched with Jim Chanos's warm congeniality. And each with an IQ equivalent to Apple's share price! At Jim Grant's bi-annual investment conferences, he often chides his more macro-focused speakers to throw a bone of at least one specific investment idea to the audience. I suppose we got a nibble in this interview with the China residential housing theme, but it would have been nice to hear Jim Chanos lay out one really good, current short, and more important, his thinking/research process behind it starting with the core of the onion.
    • DC
      D C.
      6 February 2018 @ 21:33
      Yeah, this was a good investing philosophy themed interview, but kinda fluffy.
  • TB
    Tad B.
    3 February 2018 @ 00:12
    I like this series... wasn't sure at first, but they add a different and welcome colour to the RVTV palette. More of these please.
  • ss
    sid s.
    2 February 2018 @ 23:36
    where is Michael Green ? how about another interview with Luke Gromen for geo- economic/politics master class !?
  • GG
    Glenn G.
    2 February 2018 @ 23:15
    I think the hidden gold came in the last 2 minutes with the discussion of the layers of the onion and working your way out instead of the way in and through all the influences of mainstream media. I think a lot of people would look at that "California electric car company" differently if they took the time. Investment research seems to be a lost art and as Jim suggests that is where the contrarian opinions are born instead of joining the rest of the heard. I have always been a big fan of his for his humble yet very intelligent demeanor. Great interview!
  • AS
    Arthur S.
    2 February 2018 @ 21:32
    Excellent. Jim Grant does a very good job and Chanos is measured, but subtly revealing. This series and Jim Grant's guests are a winner.....
  • AS
    Arthur S.
    2 February 2018 @ 21:32
    Excellent. Jim Grant does a very good job and Chanos is measured, but subtly revealing. This series and Jim Grant's guests are a winner.....
  • AA
    Andrew A.
    2 February 2018 @ 20:57
    Really useful - would like another hour!
  • ss
    sid s.
    2 February 2018 @ 19:30
    This Jim Grant guy is painfully boring.
    • EF
      Eric F.
      3 February 2018 @ 00:24
      Sid, look at the ratings on the comment mate. Jim is far from boring.
    • RO
      Robert O.
      3 February 2018 @ 03:30
      Did you bet someone that you could win the "Hotly Debated" title?
    • T~
      Tshort63 ~.
      3 February 2018 @ 07:09
      sid, don't look now but your troll is showing.
    • MV
      Mike V.
      3 February 2018 @ 16:01
      Sid is probably the type of guy who more enjoys the “excitement” of Jim Cramer’s coterie of buttons, bells, and whistles sprinkled with his hot tips to “buy, buy, buy!”
    • PD
      Peter D.
      3 February 2018 @ 16:34
      I gave Sid the "Thumbs up" - I actually laughed when I read the comment.
    • WM
      Will M.
      3 February 2018 @ 20:14
      Peter D. it could have been a clear sweep!
    • ss
      sid s.
      4 February 2018 @ 20:10
      I 've been short this market for last two years. fair to say We - RVTV- subscribers all been dead wrong..
    • BO
      Bob O.
      7 February 2018 @ 01:30
      Welcome to Sid's fishing, bait and tackle store..........IPO coming soon. :)
  • KB
    K B.
    2 February 2018 @ 18:57
    This interview should have been much longer, Chanos and Jim are great
  • rr
    rlw r.
    2 February 2018 @ 17:52
    Brilliant - Jim's questions with Jim's answers, both so lucid. Then add in the constant wit and cleverness. Soon enough it's serious high value fun.
  • KB
    Kreso B.
    2 February 2018 @ 17:47
    Discussion of Overstock and 3rd party guarantor is b****cks.
    • AC
      Andrew C.
      5 February 2018 @ 10:11
      "please explain"
  • MG
    Mohamed G.
    2 February 2018 @ 17:38
    Yes Jim Grant. Now that sir is a quality well balanced interview. Well done and thank you both.
  • ZB
    Zikmund B.
    2 February 2018 @ 17:18
    What a wasted opportunity. It was an interview for a weekend magazine, not financial TV. Fire Jim!
    • EF
      Eric F.
      4 February 2018 @ 04:11
      You have got to be kidding!
    • AC
      Andrew C.
      5 February 2018 @ 10:11
      "please explain"
  • PB
    Pieter B.
    2 February 2018 @ 16:50
    Excellent conversation! Thanks a lot!
  • JG
    Jory G.
    2 February 2018 @ 16:27
    I really, really enjoy this series. Scary for a rookie sometimes but most informative.
  • AT
    Andre T.
    2 February 2018 @ 15:29
    Fantastic interview! Interesting learning about the Chanos process to short selling.
  • RM
    Richard M.
    2 February 2018 @ 15:12
    Just fantastic! I am really enjoying this Jim Grant series, it was a superb idea and its implementation is just great! Again, just another example of how RVTV has broken the mold and has brought forth ground breaking content. It almost brings to mind the very early days of RVTV when you had the hour long Master Classes with Mark Hart, Kyle Bass, etc., that just blew everybody away as we had never experienced anything like that before. I cannot tell you how valuable this education has been for me. And I cannot thank you enough, other than to say - thank you!
  • RR
    Raj R.
    2 February 2018 @ 14:54
    Let me guess, jim talks about Tesla in this video. Havent watched it yet :)
    • EF
      Eric F.
      4 February 2018 @ 04:13
      Actually, not much, and to tell you the truth I wouldn’t have minded hearing his thoughts at all. Maybe a touchy one considering his sell price at half current price!
  • TJ
    Terry J.
    2 February 2018 @ 12:43
    Highly informative, educational and thought provoking. Another priceless market discussion.
  • js
    jacob s.
    2 February 2018 @ 11:28
    "Yeah you care." LOL
  • PU
    Peter U.
    2 February 2018 @ 10:24
    I just need to read the names and give this a thumbs up! Haven't even viewed it yet. If you know the players you know we have quality video.