Using Veritas to Construct the "Per…

29-04-2017 Hits:82132 BoomBustBlog Reggie Middleton

Using Veritas to Construct the "Perfect" Digital Investment Portfolio" & How to Value "Hard to Value" tokens, Pt 1

The golden grail of investing is to find that investable asset that provides the greatest reward with the least risk. Alas, despite how commonsensical that precept seems to be, many...

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The Veritas 2017 Token Offering Summary …

15-04-2017 Hits:77760 BoomBustBlog Reggie Middleton

The Veritas 2017 Token Offering Summary Available For Download and Sharing

The Veritas Offering Summary is now available for download, which packs all the information about Veritas in a single page. A step by step guide to purchasing Veritas can be downloaded here.

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What Happens When the Fund Fee Fight Hit…

10-04-2017 Hits:77330 BoomBustBlog Reggie Middleton

What Happens When the Fund Fee Fight Hits the Blockchain

A hedge fund recently made news by securitizing its LP units as Ethereum-based tokens and selling them as tradeable (thereby liquid) assets. This brings technology to the VC industry that...

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Veritaseum: The ICO That's Ushering in t…

07-04-2017 Hits:82077 BoomBustBlog Reggie Middleton

Veritaseum: The ICO That's Ushering in the Era of P2P Capital Markets

Veritaseum is in the process of building peer-to-peer capital markets that enable financial and value market participants to deal directly with each other on a counterparty risk-free basis in lieu...

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This Is Ground Zero for the 2017 Veritas…

03-04-2017 Hits:78667 BoomBustBlog Reggie Middleton

This Is Ground Zero for the 2017 Veritas Offering. Are You Ready to Get Your Key to the P2P Capital Markets?

This is the link to the Veritas Crowdsale landing page. Here is where you will be able to buy the Veritas ICO when it is launched in mid-April. Below, please...

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What is the Value Proposition For Verita…

01-04-2017 Hits:80958 BoomBustBlog Reggie Middleton

What is the Value Proposition For Veritas, Veritaseum's Software Token?

 A YouTube commenter asked a very good question that we will like to take some time to answer. The question was, verbatim: I've watched your video and gone through the slides. The exchange...

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This Real Estate Bubble, Like Some Relat…

28-03-2017 Hits:47839 BoomBustBlog Reggie Middleton

This Real Estate Bubble, Like Some Relationships, Is Complicated...

CNBC reports US home prices rise 5.9 percent to 31-month high in January according to S&P CoreLogic Case-Shiller. This puts the 20 city index close to an all time high, including...

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Bloomberg Chimes In With My Warnings As …

28-03-2017 Hits:79669 BoomBustBlog Reggie Middleton

Bloomberg Chimes In With My Warnings As Landlords Offer First Time Ever Concessions to Retail Renters

Over the last quarter I've been warning about the significant weakness in retailers and the retail real estate that most occupy (links supplied below). Now, Bloomberg reports: Manhattan Landlords Are Offering...

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Our Apple Analysis This Week - This Comp…

27-03-2017 Hits:79189 BoomBustBlog Reggie Middleton

Our Apple Analysis This Week - This Company Is Not What Most Think It IS

We will releasing our Apple forensic analysis and valuation this week for subscribers (click here to subscribe - lowest tier is the same as a Netflix subscription). As can be...

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The Country's First Newly Elected Lame D…

27-03-2017 Hits:79740 BoomBustBlog Reggie Middleton

The Country's First Newly Elected Lame Duck President Will Cause Massive Reversal Of Speculative Gains

Note: Subscribers should reference  the paywall material here for stocks that should give a good risk/reward scenario for bearish trades. The Trump administration's legislative outlook is effectively a political desert, with...

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Sears Finally Throws In The Towel Exactl…

22-03-2017 Hits:84718 BoomBustBlog Reggie Middleton

Sears Finally Throws In The Towel Exactly When I Predicted "has ‘substantial doubt’ about its future"

My prediction of Sears collapsing once interest rates started ticking upwards was absolutely on point.

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The Transformation of Television in Amer…

21-03-2017 Hits:81665 BoomBustBlog Reggie Middleton

The Transformation of Television in America and Worldwide

TV has changed more in the past 10 years than it has since it's inception nearly 100 years ago This change is profound, and the primary benefactors look and act...

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In my last AGO update in mid-March , I commented on how XL was one of the more likely bear candidates in the insurance space, that has gone relatively unnoticed. Well, it has just released the earnings performance that I expected, below the consensus estimates, of course. It should gap down at the market open tomorrow with a 57% drop in first-quarter net income after the insurance and reinsurance company was hit by lower returns from some of its hedge fund investments.

Underwriting income is down (this is the soft portion of the P&C business and premium cycle), investment income is down (hard investment climate), underwriting profit is down (taking losses) with a very high combined (loss plus expenses and loss adjustment expenses) ratio, realized losses were significant, and unrealized losses were historically massive as writedowns shook the corporate and structured credit product inventories.

RTT News:

XL Capital Ltd (XL) reported a decrease in its first quarter earnings, hurt primarily by decrease in income from investment affiliates and losses on investments. Both earnings per share and revenues for the quarter came in below the consensus.

For the quarter, earnings were $244.4 million, down from $562.5 million last year. Net income available to ordinary shareholders for the quarter was $211.9 million, or $1.20 per share, down from $549.7 million, or $3.06 per share, in the same quarter last year.

The company attributed the fall in earnings to a decrease in net income from investment affiliates of $107.1 million, net realized losses on investments of $102.3 million, compared to a gain of $9.3 million in the prior year quarter, a decrease in underwriting profit from Property and Casualty operations of $52.4 million, an increase in foreign exchange losses of $44.2 million, and a decrease in net income from financial operating affiliates of $39.6 million.

Net income, excluding net realized gains and losses, for the quarter was $276.9 million, or $1.57 per ordinary share, lower than $540.0 million, or $3.01 per ordinary share, in the prior year quarter. Analysts estimated earnings of $2.24 per share for the quarter.

Quarterly revenues were $2.2 billion, down from $2.5 billion in the same quarter last year, while analysts estimated revenues of $2.3 billion for the quarter.

Net premiums earned for the quarter from Property and Casualty operations fell 2.9% to $1.6 billion, while life operations grew 8.6% to $159.6 million.

Combined ratio for the quarter was 93.6%, compared to 90.2% last year.

XL Capital closed Tuesday's regular trading session at $30.04, down $0.39 or 1.28%. In the after hours trading, the company's shares are trading at $27.50, down $2.54 or 8.46%.