Over the past couple of weeks, the Cary News, the Raleigh News&Observer, and WRAL each published/aired a story about my involvement in helping the town of Cary with its investment portfolio last year. I wasn’t looking for or expecting any acknowledgment, so the press coverage has been a pleasant surprise.
There are two factual points to clarify. First, although the article refers to my “gut feel”, my concerns came from a detailed analysis of Fannie and Freddie's balance sheet as well as my expectations for a deteriorating housing market. I leave hunches and inklings to more trivial matters like whether to have a baby or which wild berries to eat.
Second, the article and TV clip mention that I sold positions in Fannie and Freddie for myself and my clients. The fact is that I never owned these stocks. I actually shorted (bet that the share price would fall) Freddie Mac (FRE) shares back in March for myself and clients. The concept of shorting can be a little difficult to grasp, and I suspect the reporters were busy enough trying to figure out if there was any possible lighting scheme that would make me look remotely presentable.
The TV news segment was filmed with virtually no notice, so I'm grateful to the WRAL team for their generous and thoughtful editing. I have a new respect and understanding for just how quickly and efficiently a news crew is able to pull a story together and get it on the air. Of course, I'm also grateful to the town's finance department for taking my concerns seriously.
TV segment: http://www.wral.com/news/local/story/4235053/
Newspaper article: http://www.newsobserver.com/news/wake/cary/story/1345473.html
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