Car Trouble

Featuring Max Wolff

Max Wolff, chief economist of The Phoenix Group, likes betting against General Motors. He discusses the trade idea in this interview with Alyona Minkovski. Filmed on April 26, 2018.

Published on
30 April, 2018
Topic
Consumption, Trading, Valuation, Debt
Duration
12 minutes
Asset class
Equities
Rating
22

Comments

  • BP

    Besar P.

    12 5 2018 15:02

    0       0

    also known as:
    Put your money where your mouth is!

  • AC

    Andrew C.

    1 5 2018 08:14

    16       0

    Alyona
    The most important question you asked
    “Do you yourself own stock in the company?”
    And Max’s Answer - “No, I am not talking my book."
    (possibly the wrong way around, as you don’t own stock in a short position)
    I assume “not talking my book” means he isn’t in the position.

    I was shocked he is not in the position! "Don’t tell me what you think, tell me whats in your portfolio"

    Please make this a standard question; "DO YOU PERSONALLY, OR THROUGH YOUR FUND, HAVE THIS POSITION ON?"

    • EF

      Eric F.

      1 5 2018 16:44

      0       0

      Great point Andrew.

    • RD

      Ryan D.

      1 5 2018 20:24

      3       0

      I turned it off after that. No skin in the game. Be long. Be short. or STFU

  • PB

    Pieter B.

    1 5 2018 07:31

    1       1

    Again a fantastic trade idea! Massive thanks to both of you!

  • mp

    michael p.

    30 4 2018 23:29

    6       3

    Shallow at best. Please don’t dilute this site with the effort to expand.

  • JC

    John C.

    30 4 2018 16:36

    10       3

    This sort of felt like an anti-Trump piece at times as opposed to a view on GM. If you take his logic are potential anti-Americanism arising globally gee I guess every industry could potentially suffer. Last time I checked most of the world were already pretty sick of US gunboat diplomacy well before Trump took office.

    Also this whole 'rates are going higher' mantra that everyone seems to be so sure of might not really happen, and I'd guess even if it does the long end of the curve won't get past 3.5%. So maybe that's already priced into the auto markets and a drop in rates will help these auto manufacturers carry on the zero interest incentives for longer.

    What would China potentially lowering their auto tariffs have on GM could we get a pop in the stock?

    Auto space is definitely headed for trouble, but we've known that for awhile and RV has been harping on this them for quite awhile now. I guess the way he's put it waiting til the end of earnings season is the best way to play any short here, but I'm having trouble just betting the ranch on this at the moment and feels like there are other better ideas right now.