$FICO I have extensive background in residential mortgage-backed securities. That had been my bread and butter product for many years. While the monopoly has been broken - you can use other credit scores besides FICO - it will be a monumental shift for banks to switch away from FICO due to "sticky infrastructure." My only expectation is lower profit margins for FICO in the future, but they will remain the dominant credit score provider.
Many existing RMBS deals are required by contract to use FICO. It's in the governing documents (Indenture).
The doomsayers have no idea what they are talking about. Really. They just make up stuff they don't know or understand.
@SayNoToTrading
I resigned from Anthropic today. I spent the last three years doing pretraining research at both OpenAI and Anthropic. Neither company is acting responsibly. They are racing straight to self-improving superintelligence and gambling with our lives. More thoughts below.
$ROIV
Started looking at this after I read the Dec 13 VIC writeup. Usually not one to touch biotech but the R/R here sounds highly compelling. ~7bn in pf net cash upon closing of Roche Telavant deal and 57% ownership of $IMVT is already $12 of $ROIV value. Free call option on:
@jeremymjacquin Respectfully, it’s substantially more risky to short this name than go long. Volatility and cost of margin can crush you fast. Give up your ego. The amount of retail that has got margin calls either through shorts or $NBIZ exposure is sad; these posts aren’t helpful.
@EndicottInvests Sit back relax and don’t be too focused on the daily price action. This is an obvious winner….regardless of if the price goes to 200 or 100 this week :)
@DheerajNam $BUR last comment. Given access to debt at a lower cost of capital if they’re able to perform as they have been, ROE should generally be much stronger. This one may take time, but I think the BUR story is really interesting.
@DheerajNam Would disagree. Thesis isn’t just Argentina. The $BUR r/r comes from the other lawsuits in the pipeline + likely favorable settlement terms Re Argentina or decent recovery through a team Burford has been prepping for some time to seize assets + strong underlying biz performance
@DheerajNam $BUR the difficulty with the name isn’t about Argentina and when they will collect but rather how public markets value a business like this given the unpredictable nature of their CFs and also because there’s isn’t a good comp. Kind of like when the big PE firms first went public
@DheerajNam $BUR Especially as courts are back since the shutdown. The pending lawsuits are merely an option with very compelling payoffs and r/r. Would recommend reading about Sysco cases, which ofc don’t have the same difficulties as with Argentina