Evening Guests Only

Another Farcical Wedding
I just got back from a wedding up in the Yorkshire Dales, which if you've never been to I highly recommend provided the weather is good, as it was during my visit. Unfortunately the wedding was terrible and scant reward for driving 5 hours each way, spending a great deal on hotels and generally making a huge effort to be there.

Our reward was to sit through the usual church ceremony snooze fest, followed by not being invited to the actual wedding itself. Instead we were 'evening guests', which as a concept is fine - but only for people who are invited locally. So the six of us drove off and found a nice country pub for lunch and to watch a couple of horses die horrifically in the Grand National (I always enjoy winding up L about such things as she's a huge animal lover). Thereafter we checked into the wedding hotel and spent the next 5hrs in a bizarre situation as effective wedding outcasts or second class citizens: drinking (at our own expense) in an atrium within sight of the wedding doors but not actually allowed in.

It was funnier because the others also recognised the situation as being ridiculous - the bride, who was the only connection we all had with this whole event, did come across as totally selfish however (perhaps fair enough, it was her big day).  She wandered in for a token hello to us all, but clearly didn't give a shit that we were there and didn't recognise the effort - or more importantly didn't ensure WE recognised that she recognised the effort. 

I've been through a situation like this once before, so this clearly happens all the time due to poor wedding planning. If anybody is planning a wedding, for goodness sake think about the experience all of your different types of guests will have. For guests who will have to travel from distance, either invite them to the full day or don't invite them at all - penny pinching is not worth it.

Ethical Dilemma? Nope
I took some time out for CFA study as well prior to my wedding fun last week. The main achievement was not my progress in ploughing through the course, but rather displaying my already questionable morals by lifting the entire set of one of the more popular 2010 study guides (in convenient pdf format) from a torrent site. The irony of this given the huge 'ethics' section of the course was not lost on me - or that thousands of other would-be candidates have clearly done the same judging by the seed and peer numbers.

What possessed me to take the hard road of making my own notes is quite beyond me. With this innovative new approach, and having just spent the morning quietly printing out around 800 pages courtesy of the bank's printers, I am now all done with making notes and can focus on the review (which won't take long), and then properly learning all this, memorizing the formulae and crucially practicing questions and preparing for the 5th June exam.

In this internet age of designer drugs, I'm sure most of my competitor candidates will be high on modafinil and other cognitive performance enhancers while I pass out mid-afternoon from exhaustion. This little tactic however, is an admission by me that I need to abandon my noble aim of going through the course at my own pace to learn everything (and get side tracked by applying what was learned to various investment scenarios or candidates), and instead focus on passing the level 1 exam.

If I had continued on my current path, the pressures from balancing work with study would simply have meant I would still have been not finished reviewing the course much less been preparing for the exam proper by the end of May. I have another two weeks off in May in the run up to the exam, so this is going to be a really shit couple of months all in all.

The main plus upon getting back into work today was working out just how little work my colleagues have done in my absence. Both the other new guys are off today - one with man flu and the other from tripping on a pavement yesterday and getting a bruise. Never let it be said that men don't feel pain more than women, particularly on a Monday morning.

So my sole job for the day will be interviewing some candidates for hire later on - unfortunately for the candidates, any too exceptional (if there are any) will suffer as my primary criteria will be to ensure they are good but know less than me. Where the Dark Lord is concerned, I don't intend to be outshined by any other new hires, and instead shall ensure I remain amongst his favoured elite footsoldiers, not to be sacrificed during culls or temper tantrums.

That's a survival tip for those considering a long-term career in banking by the way.

Chartering A New Course

You could say that the wedding and subsequent month off has really knocked me out of my rhythm since getting back. That has certainly been a really good thing, as there is nothing worse than letting life's undercurrents pull you along in whatever direction it chooses.

I have taken the title of my last entry (time to reassess) to heart and have been taking a long, hard look at what I want to do next both professionally, not to mention spending all of yesterday looking at houses, as I think 2010 will be the year I finally pick up a place at last.  Buying your own house (as opposed to properties to rent) are a total waste of money, and should never be viewed as investment.  

Their 'return' is largely an illusion given the multitude of hidden costs, not to mention the opportunity cost from what returns all that money tied up in a property could yield elsewhere.

Anyway, It was over drinks with a number of former colleagues that I got into some serious banker-beer analytics on why I find my current job at the bank so utterly dull these days. I think it is easy to explain: ever since the work become reactive (the Time Wasting Insolvency Initiative, which was panic fuelled by the events of October 2008), the work is not remotely analytical based.  As such my role has increased in responsibility but decreased in actual interest.

So it was that on my fifth pint with a good friend of mine, who has moved over to one of the other banks, concluded I ought to get out of what I am doing and become an investment analyst with a view to eventually trying to climb the greasy pole into full asset/portfolio management.  It was the sort of matter-of-fact statement that makes it sound like the easiest thing in the world.

Despite that, it was a bit of a lightbulb moment, as I had not seriously considered the prospect of a complete move out of my area until now.  However I am certainly never one to rule out ideas as 'impossible' simply because they might be difficult. So despite my inebriated state I filed that and mulled over it at work for the next week, eventually concluding that doing something I have been meaning to for the last 5 years would be a useful first step.  

As such I signed up for the CFA (Chartered Financial Analyst) programme a couple of weeks ago, and that is naturally going to take up a great deal of time over the next 6 months alone.

To anybody who has taken the time to read some of my previous entries, it probably won't come as a great surprise to realise that I have a passionate interest in investing, not to mention an unusual willingness (and bizarre enjoyment) in carrying out the associated due diligence and analysis required to make sure the important decisions are the right ones.  The CFA course itself looks to be largely areas I know a lot about anyway, so this should just be useful in really ensuring I fill in the knowledge gaps as I go along.

The benefit for all of you guys, is that I will start producing far more concise, better quality research and analysis over the coming months as I go forwards.  Unlike the hoards of people blogging and making recommendations ultimately to make money, I'd rather help in my own small way in the development we all undergo as investors from those first, emotion-driven small dips in the water, through to spending hundreds of thousands based on a cold, worked analysis thesis.

And on that subject, we can celebrate the first anniversary of my initial position that I took in General Growth Properties.  I have obviously been following developments with the company with a great degree of interest over the past fortnight regarding GGP's lender blueprint that it has fast-tracked with many of its major secured lenders, and of course the news the day before from Simon Property Group that they have hired Lazard Frères with a now open interest in acquiring some or all of GGP.

All excellent news for the share price of course, which has rightly repriced upward sharply into the $6 territory, and will almost certainly continue rising over the coming months as further news regarding lender settlements and takeover rumours begin to gather pace.

To anybody sitting on the sidelines, now remains a very good time to look at General Growth Properties as an investment.  Despite concerns regarding the impact of share dilution from many, this is becoming an increasingly less important factor as the company market capitalisation increases.  Limited asset sales to raise a couple of billion could easily be agreed with SPG or rivals to reduce that $6.5bn figure further, so I see this as a minor downside on the upward direction of the stock price over the next two years, as risk perceptions reduce and the market continues to reprice the stock accordingly. 

Oh, and on a final note, the job market here in the City of London has bounced back hugely in the last few months.  After screwing up the global economy, there is no irony that the sector is the first to be firmly out of recession.  The major banks are all haemorrhaging good people now - people who are generally fucked off after the last two years of being treated badly and overworked by employers that are now making plenty of money (courtesy of cheap and easy government money).

As such, the already understaffed banks are now desperately hiring - my own being no exception.  Naturally I am never one to turn down an opportunity, so have already had a couple of interviews in the last week and could take jobs with them now if I wanted based on the feedback.  It is the best market I have seen since 2005/6, and so despite the longer term aim, I shall probably use this as a moment to cash in on the prestige/name of where I work and up my earnings by 30-40%.  It would be rude not to...