Mike Iavarone speaks

[docjocoy]

Poor guy, losing the Belmont cost him $50 mil.
http://www.cnbc.com/id/28254547

[Heidilady]

Poor guy, losing the Belmont cost him $50 mil.
http://www.cnbc.com/id/28254547

If he wants me to cry him a river about Big Brown and wax nostalgic on the riches that might've been for his hedge fund, done and done.

[pfrsue]

"If Big Brown would have won the Belmont, he could have had a stud price of $300,000 times, figure, 150 mares. That’s $45 million a year."

Okay, I liked that horse as much as anyone, Iavarone/Dutrow or not. But $300,000?

[chicago78]

That guy is so arrogant and unlikeable, and it's unfortunate that someone like him speaks for our whole industry right now.

I'm not an expert, but I don't think there's any way he could have commanded a fee over $100,000, even if he won the triple crown, with the current economy and state of the business.

The model for a horse hedge fund is going to be very difficult to ever put together. All hedge funds struggle with redemptions, and it's not like horses are ever going to be a liquid asset. Also there's no way to short individual horses or anything like that, so they won't be able to take advantage of one of the most basic facets of a true hedge fund, which is identifying and shorting overvalued assets.

Maybe the only comparison for a horse hedge fund to is the art hedge funds, which made a ton of money at their outset. They were able to show huge gains on paper because the funds would bid up the price of paintings from a certain artist that they may have in their collection. But those funds are all pretty much failing or gone altogether, because the art market has pretty much dried up. And when investors want their money back, they're forced to sell into a bad market.

[merse]

Mike Iavarone speaks

Does he ever Not?

[Vindicated]

This guy is such a moron!!!

There are no two ways about it, he just is

[Toccet02]

Poor guy, losing the Belmont cost him $50 mil.
http://www.cnbc.com/id/28254547

I was moved to tears. Poor Mr. Iavarone. I was going to use my Christmas bonus to pay off debt, but now I'm going to give it all to him in the hopes of easing his pain. I only hope I can make his pain and loss a little easier to bear.
'Scuse me. Off to church to pray for him.

[madelyn]

Into every life a little rain must fall.....

There is a new tv show, Leverage. Last night they "spoofed" IEAH in an episode with some thinly veiled messages about letting these mobsters into the TB world.. unfortunately it was so poorly done, technically, it ended up being a comedy rather than a drama.

I love the irony of a "hedge" fund acquiring horses - maybe they should invest in some steeplechasers?

[HR LLC]

That was a funny article...

I am more impressed with the guy who made 60k off a $300 bet.

[karenkarenn]

Freaking Idiot who would want to pay 300,00 to Big Brown even if he did get the Tripple Crown. Oh I m so sick of his " Poor poor pitifull me" Act.

[wilf]

To be honest these types have always infiltrated racing ,they call the shots and have no gut feeling for the horse. There is a saying in Australia"It's no use having a dog and barking yourself". This guy Iavarone is just into himself and as a horse owner/trainer I just wish he would get a trainer's licence from whatever state would allow such moronic utterances as a qualification and then he could actually be responsible for all the world to see! It's a great leveller this game and will bring you to your knees real fast when you have no clue. To command the major stud fees has always meant a climb up the stallion ladder from a promising well bred top class runner to a stallion of the highest calibre,with major accomplished sons and daughters year after year. Obviously Iavarone is a legend in his own mind and Big Brown may well go the way of War Emblem but he still merits a second chance as a stud in real terms despite his connections.

[imnumberjuan]

I see Big Brown and Green Monkey duking it out for the leading sire in Oregon in ten years time...

[Heidilady]

I see Big Brown and Green Monkey duking it out for the leading sire in Oregon in ten years time...

There's a joke about a monkey throwing something big and brown but I won't make it--oops. Too late.

[el camino]

When Tin Cup was running in the Albany stakes at Saratoga this summer I followed Mr. Ivarone on the radio show at the races with Steve Byk. I sat behind him and listened to the interview and when they went to break I wanted to introduce myself and say hello and he snubbed me and walk right by. I always hated IEAH because I shipped horses for them a few years back and lets just say securing payment was a long, long argous task.

When we went to Japan some of the other guys were there and I wanted to dislike them too but they were such nice guys I could'nt. Andy Cohn especially, hell of a nice guy, friendly and really into horses. He should be more "the voice" then Ivarone but whatever you say about them personally, they had an aamazing year. Everything they touched turned to gold. It's just most of us cant follow their business model. .....Throw a million dollars at impresive maiden winners.

[BenB]

Some years ago Classic Thoroughbreds tried to get in on a very large scale with loaded people around and a very good trainer.

End of the game: a complete sale. The intended aim could not be reached.