2024-06-22 09:00:00 ET
Summary
- We were caught in several small legacy short positions that rapidly became large and Trump Media and Technology Group Corp was one among them.
- Rather than trade on its own dismal economic prospects, DJT seems to trade as a token of support for Donald Trump.
- There is, sadly, no "correct" price for such signaling, and the market can remain irrational longer than you can stay solvent.
The following segment was excerpted from this fund letter.
Trump Media & Technology Group Corp ( DJT )
It has been a rough year for our short book, with the positions costing -700bps of performance through the end of May. This was driven by a general rise in speculative stocks, including anything related to AI, but exacerbated by large and unacceptable losses in the meme stock DJT. This wound is all the more painful because it was entirely self-inflicted....
Read the full article on Seeking Alpha
For further details see:
Bireme Capital - Trump Media & Technology Group: It Is A Travesty That History Is Repeating Itself