Barack Obama

He's All Outta Loeb

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The view from Manhattan is getting cloudier

From New York Times biz columnist Andrew Ross Sorkin:

Daniel S. Loeb, the hedge fund manager, was one of Barack Obama's biggest backers in the 2008 presidential campaign.

A registered Democrat, Mr. Loeb has given and raised hundreds of thousands of dollars for Democrats. Less than a year ago, he was considered to be among the Wall Street elite still close enough to the White House to be invited to a speech in Lower Manhattan, where President Obama outlined the need for a financial regulatory overhaul.

So it came as quite a surprise on Friday, when Mr. Loeb sent a letter to his investors that sounded as if he were preparing to join Glenn Beck in Washington over the weekend.

"As every student of American history knows, this country's core founding principles included nonpunitive taxation, constitutionally guaranteed protections against persecution of the minority and an inexorable right of self-determination," he wrote. "Washington has taken actions over the past months, like the Goldman suit that seem designed to fracture the populace by pulling capital and power from the hands of some and putting it in the hands of others." […]

Hey, it happens!

"We have given a great deal of thought about the impact that public policy has on individual companies, industries and the economy generally," he said. Third Point has sold its investments in big banks as a result of "regulatory headwinds"; got rid of its stake in Wellpoint, which Mr. Loeb described as "a statistically cheap stock owned by several hedge funds, but which we saw as being overly exposed to unpredictable government regulation"; and taken a short position against for-profit education companies as a result of "the government's increased willingness to use its regulatory muscle." […]

"So long as our leaders tell us that we must trust them to regulate and redistribute our way back to prosperity, we will not break out of this economic quagmire," Mr. Loeb wrote.

"Perhaps our leaders will awaken to the fact that free market capitalism is the best system to allocate resources and create innovation, growth and jobs," he continued. "Perhaps too, a cloven-hoofed, bristly haired mammal will become airborne and the rosette-like marking of a certain breed of ferocious feline will become altered. In other words, we are not holding our breath."

Whole thing here; read the letter here.

NEXT: HHS Secretary Sebelius on ObamaCare: "We have a lot of reeducation to do."

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  1. What’s the new quota for daily Glenn Beck references on this site? Does he pay Reason a royalty every time his name is mentioned?

    * Brought to you by Carl’s, Jr.

    1. From New York Times biz columnist Andrew Ross Sorkin:

    2. I guess Glenn Beck is the new GZ Mosque.

      1. Mosque! Mosque!

        1. That explosive statement was followed by a quote from a letter by Dan Senor of the Council on Foreign Relations in the Wall Street Journal (also owned by Rupert Murdoch, owner of the New York Post) that whatever the stated goals of the Islamic center and Rauf, “in the minds of many who are swayed by the most radical interpretations of Islam . . . it will be celebrated as a Muslim monument erected on the site of a great Muslim ‘military victory.'” And . . .”that’s why the question of who precisely will pay to build the $100 million project is so compelling.” Amazing!

          Here is a CFR member, whose organization is bankrolling the Islamic center with one hat on, switches hats and demands to know precisely who will pay to cough up the $100 million. Well, Dan, it’s your very own CFR sponsors who are picking up the tab. And if you think Corbett and I are the only ones who caught you with your two hats on, and your pants down, let me go to writer Steve Watson of PrisonPlanet.com, who wrote pretty much the same thing in Ground Zero Mosque Imam is Globalist Stooge.

          “The Imam of the now infamous “ground zero mosque” is a member of the ultra elitist Council On Foreign Relations and receives financial backing from powerful globalist sources including the Rockefellers, the Carnegie Corporation and the Ford Foundation.

          “This information provides a compelling backdrop to the theory that the move to establish the mosque is a deliberate attempt to further stoke religious tensions and and divert attention away from the real enemy of free humanity, the corporate globalist elite who continue to profit from global war and division.”

    3. Fuck you. I’m eating.

      1. Do I just not count anymore?

        1. Only in Wisconsin.

  2. “Perhaps too, a cloven-hoofed, bristly haired mammal will become airborne and the rosette-like marking of a certain breed of ferocious feline will become altered. In other words, we are not holding our breath.”

    Holy shit, this dude is awesome.

    1. Easy to get that “cloven-hoofed, bristly haired mammal…airborne”….just get a catapault!

    2. This language is obviously coded racist and Islamophobic hate speech.

    3. A little green rosetta?

  3. Meh. He’s just another predominately white guy.

  4. Looks like the SEC will be paying Loeb’s offices a visit.

    1. Oh, yes.

      For the true believer there is nothing so damnable as an apostate.

      1. We’ll be sending some of our shock troops to his offices as well.

        1. …mind if we come? I hear he has a fridge.

          1. We’ll provide backup.

            1. Hide the dogs !

            2. Wait, does he have a dog?

              1. Damn your nimble fingers, Mainer!

            3. His shredder is probably unsafe.

              1. We don’t like shredders.

                Well, we don’t like privately owned shredders.

                1. Actually, we generally take a dim view of “privately owned”, period.

        2. Back off, Timmy.

          This is terrorism, and a job for Homeland Security!

  5. I wonder if he burned all his Hope and Change stuff on the White House lawn. Break-ups are never easy.

  6. What a rat-bagger.

  7. Shorter Wallstreet Asshole: OMG I seriously didn’t know a fucking Marxist Democrat would take mah money?

    Burn in hell Wallstreet pigs. You bankrolled the Obama monster.

    1. Hey! Rahm said that I was bankrolling it.

  8. Fuck him and the horse he rode in on. There isn’t a shred of apology in his letter for his prior support of the Democrats. WTF did he think was going to happen when he pushed to have a cadre of statist loving wealth redistributionists elected?

    1. WTF did he think was going to happen when he pushed to have a cadre of statist loving wealth redistributionists elected?

      He thought his wallet would get fatter?

    2. Someone who voted for Obama complaining that they are now out of a job or losing money is like someone who voted for Bush in 2004 complaining that they got called up in the Reserves to go to war. Seriously, what the fuck did you think was going to happen?

      1. I think your 35% is about to get a lot bigger.

    3. Maybe he thought it was all campaign trail fabrication, like the rest of Obama’s hope n’ change. Sad Nice to see him waking up from it now that ‘the other guy’ being screwed over is him.

      “First they came for the doctors. Then they came for the casual drug users. Then they came for the wall street bankers… Oh noooooes!”

  9. He’s clearly the Koch brothers’ puppet.

    1. Who said YOU could comment here?

      1. You got to marry her, Matt. You need to let the past go.

  10. Meh, he’s rage quitting after getting owned hard for a few games.

    The flying bacon line was pretty sweet, I’ll give him that.

  11. I think Mr. Loeb needs to read up on the concept of regulatory capture. The new regulations will probably make the big banks even bigger and more profitable if history is anything to go by. I wouldn’t be selling my investments in them.

  12. Critics of Wall Street will rightfully complain that it was the actions of free market capitalists that prompted a push for regulation. On that point, Mr. Loeb does not entirely disagree.

    “Many people see the collapse of the subprime markets, along with the failure and subsequent rescue of many banks, as failures of capitalism rather than a result of a vile stew of inept management, unaccountable boards of directors and overmatched regulators not just asleep, but comatose, at the proverbial switch,” he wrote. “It is easy to see why so many people have concluded that the entire system is rigged.”

    My only quibble with this would be to transpose a couple of terms:

    unaccountable managers

    and

    inept boards

  13. Has Mark Kaplan weighed in on this issue yet?

    1. Personally, I’m looking forward to the return of CNN’s Crossfire, featuring David Weigel and Mark Kaplan.

  14. Sucker. Only he fucked over the rest of us with his dumb-ass donations, too.

    1. Yeah. We could have had McCain, damn it!

  15. The New York Times’s stories on the Great Recession always seem to manage to find 20 somethings to interview who seem completely clueless about finances. Case in point:

    Through most of last year, Ms. Ben Othman could not find any work after she was laid off by a publishing company [but now has a somewhat “shaky” position]….

    Her husband, Mohamed, a Tunisian immigrant who drives a taxi on weekends, is looking for work as a plumber’s apprentice. She said she has considered taking classes toward a graduate degree in marketing or Islamic art history. A more remote possibility, she added, would be to move to Tunisia to teach English.

    In the meantime, Ms. Ben Othman said, she is taking lunch to work, shopping at Costco and Target and frequenting her local movie theater on Tuesdays when tickets are just $5. “These days, I’m being very frugal,” she said.

    Some tips for Ms. Ben Othman and others in a similar boat: (1) Jobs in Islamic art history are scarce, to say the least; (2) Video kiosks rent movies for $1 a day, and public libraries let you borrow them for free; (3) Being “very frugal” when neither you nor your husband has non-shaky employment means shopping flea markets, garage sales, and Goodwill, and getting hand-me-downs from friends and relatives, not shopping at Target and Costco.

    http://volokh.com/2010/08/30/tales-from-the-great-recession/

    1. I wouldn’t hire a chick named Ben, either.

      1. I would love to know her story. Is she Tunisian? Odd for a white Manhattan yuppie to be married to a Tunisian cab driver.

        1. Could be a convert. She’s flaky enough to think that a degree in Islamic art history will put her on the path to a lucrative career.

          1. Maybe so. What do you want to bet she was a big feminist in college and has now fell into the other ditch and thinks wearing a head scarf and serving her man is just great?

        2. Not really. He’s a good conversation piece when her writing circle meets up at their place.

          1. Oh you married an oppressed minority. Sort of like having a rescue dog I guess.

          2. I want a writing circle.

            All I found was a knitting circle…and it shows.

            1. 90% of the time, H’n’R is a circle jerk, so that’s close enough.

      2. It’s “ben” nice talking to you this morning, Ms. Othman. Thanks so much for coming in to see us.

        Don’t call us, though; we’ll call you.

    2. She said she has considered taking classes toward a graduate degree in marketing or Islamic art history.

      One of those is a potential goldmine.

      1. The not so close to ground zero mosque will have lots of wall space to fill. Perhaps there is a future in marketing islamic art.

  16. Why should buying and reselling money receive different tax treatment than buying and reselling steel?

    1. i agree. eliminate the long-term capital gains preference.

      1. No, May the seed of YOUR loin be fruitful in the belly of YOUR woman.

        1. “Oh? And just what makes you think your banker is a man?”

        2. nice catch!

    2. umm because that is good for banksters.

  17. Wait, wait, wait, Obama’s campaign was bankrolled by wealthy people?

  18. Ah, the plight of the poor, persecuted hedge fund manager. when will his constitutional right to hoard money be protected?

  19. Alt-alt-text: “Why yes, my chest is made out of skyscrapers. Thank you for noticing that I’m not just a giant, floating Photoshop disaster.”

  20. “As every student of American history knows, this country’s core founding principles included nonpunitive taxation, constitutionally guaranteed protections against persecution of the minority and an inexorable right of self-determination.”

    Funny, I don’t remember seeing any of those principles in the Constitution. As for the rosette and bristly shit, maybe hedge fund managers shouldn’t be allowed to word process.

    1. Alan’s witless offensive against the 9th Amendment continues.

    2. “constitutionally guaranteed protections against persecution of the minority”

      So I guess you missed that whole bill of rights and 14th amendment due process part.

      It is not so much that you are stupid Venneman. A lot of people are stupid. That is forgivable. What is so annoying and unforgivable about you is that you have no idea how stupid you are.

      1. Don’t listen to John, Vannemann, I just know that deep inside of you, there is another Harriet the Spy novel just screaming to get out.

    3. Arguably much of the bill of rights exists to protect the minority. Not “minorities” in the sense most people use it, but accused criminals, religious dissidents, and people who want to say unpopular things publicly. While gun ownership was probably not a minority thing when the constitution was written, it might be today.

      The other things he mentioned he didn’t attach the phrase “constitutionally guaranteed” to.

  21. Our leaders will never see the light! Wow is us. On the other hand, if they did see the light, whiny fuckers and would=be gurus like Matt Welch would have to get real jobs. Donate now!

    1. Take a shower, Max. You reek of your dead mother’s pus-cunt.

      1. Would=be?

        Will to power? I’d say Max was questioning Nietzschean ethics, but that can’t be, since he couldn’t make it past Machiavelli for Kids.

    2. Your vomit eating videos on 4chan are quite the hit. I don’t know how you make time for us, Max, you Fat Ass Fuck.

  22. What? No mention of me?

  23. I see nothing here that a stint in the reeducation camp couldn’t cure.

  24. Wait one moment. Wait one moment. Is that an Air Supply reference? Dear Zod, is that even legal?

    1. Yes it is. And it is only legal if it has a “no homo” qualification which this one doesn’t.

    2. Whatever. Everyone knows you have the complete Air Supply discography. It’s right there by your tear-stained Chicago box-set.

      1. Like you haven’t ever hummed along to Your the Inspiration.

        1. FFS, you do this all the time. Is ‘re really that hard to type?

          1. Why do you feel the need to pick on the disabled, MP?

      2. Eeewww. One nice thing about it being now and not the 70s (or 80s, with Air Supply) is that there’s no danger of that sort of whiny music showing up on the radio. My mom liked Bread, too, which was ever worse.

        Though, now that I think about it, I do like early Chicago. Just not the whiny, womanish crap. No offense.

        1. “25 or 6 to 4” is a good song. I don’t know that I can say that about anything else they’ve done.

        2. We know your musical tastes are beyond redemption, we just hoped we could finally get you to stop dressing like Mike Reno. Three handkerchief scarves on a man your age is just embarrassing.

          1. I fear that you have mistaken me for another commenter.

        3. There is a whole soft rock genre of music from the mid 70s to the mid 80s that I really don’t understand how was ever popular. Even music I don’t like like bad Nashville country or gangster rap I can at least see why some people like it. But I can’t understand how anyone ever listened to soft rock. It was still sort of rock and the singers had long hair so old people shouldn’t have liked it. Black people certainly didn’t like it. Stoners and metalers hated it. Teenage girls were listening to David Cassidy and then Duran Duran. Just how the hell did Chicago, Air Supply and Hall and Oats sell millions of records? Who bought them?

          1. My mom. I apologize to the world.

            1. Mine, too.

              1. “If the ladies love Peter Cetera, you love Peter Cetera.”

          2. Only leaves one option, the secret buyers of soft rock were punk rockers. If you can listen to the Sex Pistols, your ears certainly wont bleed to Air Supply.

            * As if a nom de troll could save one from the wrath of The Jacket for snarking over The Sex Pistols.

            1. Well,

              Both the sex pistols and air supply sucked big camels’ balls- musically speaking. This lad might be onto something. Maybe my mom isn’t to blame!

              1. Thinking that musicians should be able to actually play their instruments rather than just make racket with them is so bourgeois of you.

          3. By the way, Chicago’s ‘Only the Beginning’, great tune to lose one’s virginity too. Last about six minutes, if you can last that long your first time in and out the sugar hole you are all that is man.

            1. Not so great: “Seas of Cheese.” True story.

              1. Okay, I’m sorry for you and all, but…

                BWAHAHAHAHAHAHAHAHAHAHAHA!

                That is hysterical.

              2. The dude lost his virginity before he learned to jack it. That is terrible!

                Sorries a girl.

                1. T, fancy lad*: I’m touched by your chortles and condolences. However, I should clarify that it was his virgin performance, not mine. And though he was completely mortified, after the vapor cone cleared, we laughed. A lot. I still smirk whenever I hear Primus.

          4. I believe their music was played exclusively at junior high dances in the mid 1980’s. I hope I never have to hear “I’m All Out of Love” again.

            1. Does ‘Crystal Blue Persuasion’ playing at my Jr. High dances sound prehistoric?

          5. Disco had a huge gravity well that distorted the entire market. Soft rock will filled the gaping hole between hard rock and disco. It had a rock beat, lyrics you could understand, and a melody most people could follow. When disco finally died, soft rock disappeared.

            And early Chicago was great. They went to shit after the co-founder blew his brains out. Famous last words: “Don’t worry, guys. It isn’t even loaded. See?”

        4. “there’s no danger of that sort of whiny music showing up on the radio”

          no, we just get other shitty, whiny music to listen to.

          1. No kidding. In all fairness, like the Fray is any better than Chicago.

            1. John, what is your problem with Air Supply and Hall & Oates?

              IMO, Hall & Oates are among the best R & B groups of all times. How can you go wrong with Sara Smile, Kiss on My List, Private Eyes and One on One? You can’t.

              1. My problem is that it is fake R&B. I suppose those songs you list are listenable. But I can’t see how it is great. But to each his own I guess.

                But what about Air Supply? They are just horrible. Like Bay City Rollers Horrible.

                1. “My problem is that it is fake R&B”

                  Raccist!

          2. Well, I suppose that’s true enough. Certainly the shitty part, as music slowly dies as an art form.

            1. Whenever I play Sara Smile or One on One or Private Eyes or I’m All out of Love or Two Less Lonely People in the World at weddings or at a baby grand in a hotel lobby, people are moved.

              1. I have to admit, I wish I could play piano just so I could have the surreal experience of banging out I am all out of Love on some hotel lobby piano.

                1. You have to admit that tunes like that are better suited to piano adaptation than say an ICP tune, right?

                  Anyways, subject change:

                  Have you seen ESPN’s promotion of its 100 greatest football players of all time? The first program is slated to air on Friday night.

                  IMO, Jerry Rice has got to be numero uno. If he’s not, somebody’s gonna have some splainin’ to do.

                  1. Not Jim Brown? It is hard to compare eras. But what about the two way guys from back in the day? My top five in any particular order

                    Jim Brown
                    Don Hutson
                    Jerry Rice
                    Chuck Bednarik
                    Walter Payton

                    But it is a hard list. I just hope Barry Sanders is above Emmit Smith and some of the old guys like Bednarik and Hutson get the love they deserve.

                    1. What about Johnny Unitas? Throwing for 40,000 yards when defenses were allowed to Steve Smith a quarterback is pretty amazing.

                    2. That is true. Also Otto Graham is really under appreciated today. They guy played for the championship in every year he started if I am not mistaken.

              2. My bowels just moved.

                1. Referring to libertymike’s moving comment above, not the football list.

                  I don’t like all-time comparisons much–the game has changed too much. Today’s receivers, for instance, might as well be playing flag football.

                  1. They might as well be. And today’s lineman might as well be sumo wrestlers. I am really showing my age, but it used to be a prettier game when you couldn’t hold on every play and the DBs actually got to cover receivers.

                    1. I’m not sure holding is worse than it was in the old days, but the restrictions on pass rushers using their hands are worse. And DBs might as well be carrying capes and yelling “?Ol?!”

                    2. Otto Graham makes my top ten as does Payton, Peyton, Jimmy Brown and Favre. Thus, six of the top ten are Rice, Brown, Payton, Manning, Graham and Favre. Leaning hard towards including John “hog” Hanna and Mike Haynes.

                    3. By the way, I think Emmitt Smith was an amazing running back and is, strangely, a little underrated as the all-time leading rusher in NFL history.

                      Best rusher ever was Sweetness, though. People forget how much he did all by himself. Chicago never had a great offense, but it was a bad offense for a good chunk of the time he was there. Bad except for him, anyway.

                    4. Walter Payton? Libertarian, please. Jim Brown averaged over 5 yards a carry. Payton was great, but Brown was better.

                    5. Brown was awesome. And he did what he did in a shorter time period. It’s hard to compare backs from different eras, too, but I still think Payton was the best. Part of that, admittedly, is from seeing him play regularly.

                    6. Sweetness was my favorite back.

                    7. This thread is fascinating, because I just visited the Hall of Fame today. Somewhere in the top 10 has to be the guy whose statue you see upon entering the building: Jim Thorpe.

  25. What do you want to bet she was a big feminist in college and has now fell into the other ditch and thinks wearing a head scarf and serving her man is just great?

    I used to think I had a lurid imagination.

  26. Daniel S. Loeb, the hedge fund manager, was one of Barack Obama’s biggest backers in the 2008 presidential campaign.

    Rich capitalists backing Barack Obama. This does not compute.

  27. I don’t think Libertarians should abjectly oppose financial regulation. As long as the government mandates a single currency, the entire financial system is ultimately operating as a gigantic, monopolistic Government Sponsored Entity. As we see with Fannie and Freddie, GSE’s need to be regulated.

    1. Obvious disclaimer:

      Better that they be done away with completely!

  28. So, as this guy was helping to get Obama elected, he didn’t listen to all of Obama’s “spread the wealth” rubbish? He didn’t hear any of the red meat he was throwing out there to the so-called middle-class about rich bankers and Wall Street con men?

    Sounds to me like someone wanted to look cool to his neo-leftist cronies (Of course I’m enlightened. I’m supporting a Negro), and now has buyer’s remorse.

    It’s either that, or this guy thought of himself as some sort of George Soros that could get himself into a position to manipulate our financial system by ingratiating himself with those holding the levers of power. “It’s worked for George around the world, so why not me?” Well, I guess once Obama realized he could get more votes by screwing people like Mr. Loeb and the red-hot poker got shoved up his ass, he changed his tune.

    1. Don’t underestimate the irrational appeal of brand and image. Obama and the Democrats positioned themselves as the cool smart brand in 2008. That blinded a lot of people to the reality of their positions.

    2. I have to laugh at the bozos who thought electing a black man was a demonstration of what an enlightened nation this is. Actually, all it demonstrates is what a frivolous nation we’ve become.

      1. Well it’s never going to happen again.

    3. These hedge fund guys need to learn there’s a price to pay if they don’t want their friends to think they harbor any sympathy for the rest of us and our dirt bikes, after-church lunch at Golden Corral, trips to Branson, etc. Mr. Loeb better watch out if he wants to be at the coolest parties in the Hamptons this weekend.

  29. Loeb…your are a slave. Either comply with the program or get ready to have your ass reamed…if you really want to be your own man then make some real noise…put millions of dollars into exposing the criminals.

    Go hard or go home…otherwise remember that hooker you saw last year? remember that time you helped Madoff? you think surveillance is about stopping Al Qaeda? you think the FBI just got the Blogo tapes and happened to put it on netwrok “programming” the day after he started making noise about the bailout?

    I predict we wil not hear another peep from Loeb…he might make a little donation to promote carbon taxes and never be heard from again.

    1. of course this doesn’t mean there is a big conspiracy, but to think through these things as if there were is a pretty good predictor of what we will see.

    2. Yet another comment from “Peak Tin Foil.”

      1. Aresen, just put on the glasses. You’ll see. Just put on the FUCKING GLASSES!

        1. I love that movie.

      2. I don’t believe in Peak Tin Foil. We can always find another whacked out conspiracy theory.

        1. Tomorrow’s the 1st. Gabe will get a refill and settled down for a few weeks.

          1. but seriously…think Loeb is going to get really mad and campaign against socialism now?

            or do you think he will just donate some money to Mitt Romney to fight the blue team?

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