The Eurozone may prove to be an experiment that failed, according to Adam Fisher, CIO and co-founder with Reagan Silber of CommonWealth Opportunity Capital. Mr. Fisher opined the possibility that the countries who now share the Euro will eventually let their currency devalue or dissolve.
Europe has just had to provide $140 billion in financial aid to Greece, which also received $6.9 billion from the International Monetary Fund, the first Euro zone country to benefit from this institution. Fisher predicted that Spain and Portugal would soon ask for EU zone financial help as well. It is situations like these that have led Fisher to make these predictions regarding the possible future devaluation of the Euro currency.
CommonWealth Opportunity Capital is an investment management firm which is based in the United States. Co-founder and President Reagan Silber accumulated a lot of experience in similar fields throughout his life, which greatly benefits CWOC today.
Silber started out as an attorney in Texas, after graduating from the University of Texas with honors. After forming the successful firm ‘Silber Pearlman LLP’ with his partner Trevor Pearlman, he helped found and served as a member of the board of Alamosa Holdings, a company who partnered with Sprint in the building of the first digital wireless communications networks in rustic America. Silber also served as Co-Chairman and Chief Executive Officer of Edge Group, a management company formed in 2004.
In a recent posting from CommonWealth Opportunity Capital, where Reagan Silber is the President, Adam Fisher commented on research about Brazil interest rates.
As he began, “From a strategic perspective we believe global macro fund managers should have sizeable allocation to carry and roll down strategies in high growth/ high yield economies. Brazil in particular exhibits a lot of the characteristics and fundamentals that we look for to implement this strategy. So, we largely agree with the fundamental analysis submitted by the Brazilian fund manager.”
While making this statement, he went on to explain differences in implementation that CommonWealth has with the Brazilian fund managers. He explained that their alternative strategy includes “long a one year (zero coupon) Brazilian bond with an effective yield of 10.59% (1% transaction cost) maturity 7/1/11” and “buy 5 year CDS protection on Brazil” among other ideas.”
In a recent newsletter, the CommonWealth Opportunity Capital, where Reagan Silber is the co-founder and president, reported on their dialed down risk and other issues. They explain that they plan to continue to avoid being part of risky markets when they don’t perceive the risk/reward ratios to lean in their favor.
As they explain, “We have little conviction about equities generally, believing the risk/reward to be poor both on the long and short sides. Although we have little purely directional equity market exposure at present, we do expect that large cap US equities with historically high implied earnings yield are inexpensive on a relative and possibly absolute basis.”
They report that they are proud to be included in the HFRI Macro (Total) Index and they are pleased by the steady growth of the company.
Reagan Silber is the co-founder of CommonWealth Opportunity Capital. In a newsletter the company published a few months ago, one of the subjects covered was how to trade deflation. It is often claimed that it could be tough for market participants to demonstrate strong absolute returns in a deflationary environment, which is due to inexperience and because in general, financial instruments are unable to “deleverage[e] balance sheets and lower nominal prices.” Still, there are some methods that can be used to profit from deflation or disinflation and these were also put forward in the newsletter.
In their monthly letter, the CommonWealth Opportunity Capital, co-founded by President Reagan Silber, reported on their progress and on the market at large.
As they report, “As always, we remain on the hunt for what we call “special situations” that will continue to be the byproduct of a volatile political/macroeconomic backdrop. As we have opined previously, elevated cross asset class correlation can be expected to persist given Western governments unprecedented forays into monetary policy and command economy planning…Here at CWOC, we are comfortable with our vision on how to make money in this environment and will maintain the agility to execute on this vision.”
Barron’s Online recently interviewed Adam Fisher, the Co-founder of CommonWealth Opportunity Capital with Reagan Silber. CommonWealth Opportunity Capital is an L.A. based hedge fund that many investors are watching with interest.
Asking about what Adam Fisher does differently than the competition, he explained that he and Reagan Silber have bought and build businesses and invested in difficult markets. They don’t come from traders’ backgrounds, which helps to create a new perspective.
As Mr. Fisher explains, “The most salient issue in the world today is debt. Real estate is a levered product: You can’t get good returns in property without leverage, and that’s a fact. So you have to get comfortable with it. You have basically gone through one of the biggest margin calls in the history of mankind. What the world is wrestling with is: What does debt mean for an economy, for margin of error, for asset prices?
I was in private equity or leveraged buyouts or real estate, and with levered assets, you had to ask yourself those questions all the time. In Europe now, virtually all policy prescriptions are devoted to dealing with debt.”
While the Commonwealth Opportunity Capital (CWOC) that Reagan Silber co-founded and currently presides over “remains skeptical of the long-term political and economic trends in Europe,” most European community states “reported improvements in sentiment.” CWOC however, doesn’t agree with this sentiment, claiming that “most of the policy prescriptions are either outright wrong or politically unsustainable.”
CommonWealth Opportunity Capital , with co-founder and President Reagan Silber, is a U.S. based investment management firm. One way to get to know the company better is to learn more about its leadership.
Adam Fisher is the Chief Investment Officer of CommonWealth Opportunity Capital and he is also the co-founder with Reagan Silber. He brings a great deal of investment and management experience to CWOC, having invested in and managed public and private companies globally. Prior to CWOC, he was the co-founder of Orient Property Group in 2006, a company focused on investments through the Asia Pacific area.
M.J. Dean Construction, Klai Juba Architects, Lacina Heitler Architects and Charles Allem Designs named to project
Las Vegas — May 1, 2006 – M.J. Dean Construction has been named general contractor of the 24.5-acre W Las Vegas Hotel, Casino and Residences project located at Harmon Avenue and Koval Lane. Also named to the project are Klai Juba Architects, Lacina Heitler Architects and Charles Allem Designs. The W Las Vegas is being developed through a partnership between Edge Resorts and Starwood Hotels and Resorts Worldwide, Inc. (NYSE: HOT). The project will encompass a mix of hotel and condo-hotel units and compelling lifestyle amenities.
“Securing our development team for W Las Vegas is a huge step forward,” said Reagan Silber, Edge Group Co-Chairman. “M.J. Dean and Klai Juba are among the most respected names in casino-resort development and Lacina Heitler and Charles Allem are two of the world’s most visionary design firms.”
In January, W Las Vegas secured $232.5 million in pre-development financing led by Société Générale Corporate & Investment Banking. Utility installation work has begun on the site and the W Las Vegas Residences Welcome Center is nearly complete.
“The market is clearly excited about a W Hotel and Casino in Las Vegas,” said Adam Frank, Edge Group President. “The interest in our project and the depth of demand for our condo-hotel residences has far exceeded our lofty expectations.”
Development Partners
The project’s general contractor, M.J. Dean Construction, is one of Nevada’s most prolific firms, managing the construction of 18 hotel/casino projects, many involving high profile Las Vegas mega-resorts on tight schedules including Mandalay Bay, Monte Carlo, LUXOR, Circus Circus, and Hard Rock. M.J. Dean is currently building the 7,200 square foot, $5 million Welcome Center at the site of the future property.
Las Vegas based Klai Juba Architects and Lacina Heitler Architects of New York City are designing the property. Klai Juba is credited with designing many of Las Vegas’ premier projects including Mandalay Bay Resort and Casino, THEhotel at Mandalay Bay, Hard Rock Hotel and Casino and Four Seasons Hotel. Boutique firm Lacina Heitler’s designs for the W Las Vegas were selected from an international group of competing firms.
Charles Allem Designs has been commissioned to design the hotel interiors and condo residences. Allem has been recognized by Architectural Digest as one of the top 100 interior designers.
Overview of the W Las Vegas Hotel, Casino and Residences
The W Las Vegas will be located on 24.5 acres at the intersection of Harmon Avenue and Koval Lane, in the heart of Las Vegas’ most exciting development corridor, 500 meters east of the famed Las Vegas Strip. The development will be comprised of a mix of hotel and condo-hotel units, offering owners the benefits of being attached to a W Hotel.
Lifestyle Amenities
The W Las Vegas will embrace the stylish, signature comforts W is renowned for, including striking architecture, multiple restaurants, exhilarating nightlife and a destination spa. It will also be the brand’s first property with a casino.
The property will feature a significant collection of restaurants, bars, lounges and nightclubs. Renowned designers will create unique and captivating venues that will be paired with celebrated restaurant, club and bar operators and promoters.
Bliss® Spa will offer its trademark treatment menu of facials, massages and body treatments. Founded in 1996 and embraced by beauty obsessed buzz makers, there are currently six Bliss spas worldwide, including those at W Hotels in New York, San Francisco and Chicago.
Additional project plans incorporate a theatre and show venue, distinctive shopping, a premier high-end meetings facility and an expansive pool area.
Residences
W Hotels are celebrated for a modern design aesthetic and the residential units at the W Las Vegas will embody that signature style with floor plans and furnishings designed to delight at every turn and amenities to truly make the experience a home away from home. Studios, one-bedroom units and suites ranging from 500 to 3,000 square feet will be available for purchase and can be combined to form larger residences.
Owners will have the benefits of being attached to a W Hotel, including maid service, room service and Whatever/Whenever™ concierge services, along with preferred access to dining, nightlife and other amenities.
Residence owners have the option of placing their condo-hotel unit into an organized rental program, allowing owners to make their unit available through the hotel reservations department when they are not using it and share in the revenue that the unit generates.
Notable names reserving residences at the W Las Vegas include Dave Navarro and Carmen Electra, Anne Heche, Paul Walker, DJ AM, Ahman Green of the Green Bay Packers and others. Paris Hilton, a frequent staple of the Las Vegas social scene, reserved an exclusive penthouse, as did poker pro Phil Hellmuth. The World Poker Tour champion bested 50 celebrities and poker professionals to win the W Las Vegas Poker Invitational and celebrated his victory by immediately applying his studio condominium grand prize as a down payment on a $2 million penthouse.
About W Hotels Worldwide
W Hotels is a global lifestyle brand with 20 properties in the most vibrant cities around the world. Inspiring and indulging its guests with thoughtful, refreshing and stylish experiences, signature restaurants, bars and destination spas, W has become the fastest growing luxury hotel brand in the world. Each hotel offers a unique mix of innovative design, comfort and cultural influences from fashion to music to art and everything in between. Recent openings include W’s first property in Asia, W Seoul – Walkerhill and its first property in Canada, W Montreal. W Residences, offering the W lifestyle at home, have been announced for Las Vegas, Hollywood, Dallas, South Beach, Fort Lauderdale, Phoenix, Scottsdale and Hoboken. Internationally, W has announced plans for hotels in the Maldives, Barcelona, Hong Kong, Shanghai and Dubai.
About Edge Group
Edge Group LLC is a development and investment company formed in 2004 by principals Trevor Pearlman, Reagan Silber and Adam Frank to focus on real estate and gaming primarily in the Las Vegas market. Edge Group is the parent company of Edge Resorts LLC, which has formed a partnership with Starwood Hotels & Resorts Worldwide, Inc. to build The W Las Vegas Hotel, Casino and Residences. Edge Resorts owns 75% of the venture with Starwood owning the remainder.
Source: http://multivu.prnewswire.com/mnr/wlasvegas/24331/