Brett Caughran: Long-short hedge funds once found longs cheaper than shorts on their numbers

Brett Caughran: Long-short hedge funds once found longs cheaper than shorts on their numbers
Long-short hedge funds and pricing history

Brett Caughran commented that, for many decades, long-short hedge funds in markets were able to construct portfolios where the long positions, based on their own figures, were cheaper than the short positions, also determined by their calculations.

Caughran added that this made it possible for hedge funds to buy portfolios of high-quality long positions.

Caughran previously expanded Anthropic's S1 filing into a 121-page IPO primer, questioning how it compared to investment bank reports. He also covered the SharpeShooters team's win at the Wharton Investment and Trading Group stock pitch competition with a CPRT short. Both projects reflect his ongoing analysis of portfolio construction and equity valuation.

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