Today I Want to talk about how a giant billion dollar hedge fund has just collapsed, losing the majority of their assets over the last six months on highly leveraged bets. just like many other hedge funds and market makers have been doing for the last two years. So stay tuned and let's make some money now. I'll drive straight in with the key information.

So Hedge Fund Iran Duran loses a billion dollars and the majority of their fund has been lost. as of June 28 2023 it says: Pierre Aranda Rand with short, oil prices would soar. In 2023, he placed massive bets and now his fund faces an existential crisis. But I want to explain why I don't think it's just oil bets that was responsible phase funds collapse I think Pierre Aranda Rand was taking Secret side bets which are the real reason for his hedge funds collapse.

First, let's go through this report and then I'll explain what I think really collapsed his hedge fund. It says oil Trader Pierre Aranda Rand's losses deepened this month with his hedge fund slumping to its worst ever phase of decline. His main around Commodities discretionary enhanced fund which makes leveraged bets fell by another seven percent this month through June 2023, extending this year's losses to about 51. It says Iran Duran's losses likely exceed a billion dollars based on Bloomberg reports and they said as a result, hedge funds Under Pressure frequently see huge withdrawals.

This leaves the fund hurriedly selling positions at whatever price it can get. and when a hedge fund usually is in such a downward spiral, the best employees leave us. Well, now, the actual Bloomberg article says it's not clear what actually led to the recent losses. I Ran around earlier this year, predicted that oil prices May exceed 140 a barrel by the end of 2023.

Over the last few years, he's posted some very, very impressive returns, but so far he's down 50 on his entire fund so far this year. But now the reason why I think Pierre Arandaran has been making secret side bets is because the price of oil hasn't really changed to significantly. At the start of this year, oil was trading around 79 76 dollars per barrel. Yes, obviously it has gone up and it has gone down since then, but as of a few days ago, it was still trading at 76 dollars per barrel.

So that means the oil price has been fairly flat so far for the last six months. Yes, Pierre Expected oil to go up, but actually, oil hasn't really moved. So theoretically Pierre shouldn't really have lost significant amounts of money if he expected oil to go up. and oil was now trading at say 30, 20, or 10 dollars a barrel.

You could understand why, but the price of oil has actually remained fairly flat over the last six months. Maybe it's say down five or six dollars per barrel. So how is he lost fifty percent of his entire fund when the price of oil hasn't changed too significantly by a mere few dots either, Pierre was so heavily leveraged that this three dollar decrease in the price of oil effectively bankrupted its fund. Either that or he's been making secret side bets.

These Secret side bets were likely heavily leveraged as well and are the real reason for his fund's demise. which I think kind of ties in well to this tweet from the French AMC ape. He tweeted saying so shorts are agreeing to pay 850 cost to borrow fees to pin AMC right? Well, he said, technically they don't really want to agree to pay this cost to borrow a fee. they're just forced due to their over leveraged positions they can't escape from.

They've got no other choice I Don't really think any short in their right mind would agree to pay 850 percent cost to borrow fees consecutively over the last six months just to continue shorting the AMC stock. The maximum profit a short can make on a short position is 100, but obviously if they're paying 850 cost to buy fees, the math doesn't make sense. But obviously the reason why these shorts are still paying these abnormal cost to borrow fees is because they're forced to because they have no other choice. They can't close out of their positions because they're stuck and he said we'll soon see this 850 percent Plus cost to buy a fee impacting on a price action soon Christy Also tweeted something really, really interesting which is her first time seeing Phantom shares actually reported by stifle Financial Corporation Also guys, if you haven't already, you can currently get a guaranteed free share of Tesla or of Google and a 100 cash reward with MooMoo.

All you need to do is sign up to MooMoo using the link in the description below and make a qualifying deposit. You could always use those free shares and that cash reward to buy more shares of AMC GameStop or of Ape if you so wanted to. Boomer is also very easy to use and also has options as well. Stifle is reporting some transactions some Acquisitions and disposals in a stock.

Christy Noted it wasn't an AMC, GameStop or Bed Bath and Beyond or an Ape, but just simply another stock. But the transaction Stifle is reporting isn't just purchases and sales of common stock, its purchases and sales a Phantom stock units. I agree and I Think this is the first time I've seen Phantom stock units actually being reported by hedge funds for their Acquisitions and disposals. I'm pretty sure this is the point they're not supposed to write on paper and actually submit for public viewing.

but Frank has also tweeted the really interesting institutional holding for AMC stock you can see here: Susquehanna holds 65 million shares and Tara hold 56 million Vanguard hold 51 million Citigroup Another 50 million and many other funds hold significant amounts of shares as well. But hang on a second. Actually, that's tons and tons of shares, right? Well, somebody did the math and these hedge funds are currently holding 404 million AMC shares. That's supposedly over 80 percent of the flow.

So how do institutions hold 80 of the flow? and Retail investors still also hold 80 of the float And have we also been increasing our shareholdings every single day for the last two years? individual? actually? obviously? I Think the only answer is that there's a significant amount of synthetic AMC shares. We hold the float multiple times over, and it seems that institutions pretty much hold the entire float themselves as well as. Apes for us. Tweeted: he said so according to this, institutions hold 383 million shares from just the top two pages, which leaves just 133 million shares for 3.8 million individual retail investors, which equates to roughly just 35 shares per investor.

He said I know I hold a hell of a lot more than just 35 shares I obviously do as well. and I'm sure you all own more than 35 shares as well. Again, just more information and more support and evidence that backs up the fact the AMC flow is not just 516 million shares. And actually the float has been sold multiple times over.

Obviously due to those liquidity ferries when there's only 200 shares available, they can easily fulfill an order for a thousand shares just for you. And obviously it's those liquidity fairies that are responsible for selling the float multiple times over and for creating hundreds of millions if not billions of synthetic shares where they're creating them through to see whether they're hiding them in the options chain or when they're hiding them in total return swaps I Don't know, but it's clear to see the flow is sold and held multiple times over. Now You may have also seen the EMC lawsuit has just started as of today and proceedings will be running from today until tomorrow afternoon, tomorrow evening time and within like the first 10 minutes of Court being in attendance, somebody had already pulled the fire alarm Peter had tweeted saying if you needed any further confirmation, the lawsuit has been a joke from the start. Somebody actually just pulled a fire alarm at the core.

that's so far led to like an hour long recess where obviously nothing has so far been debated. It will be interesting to see whether they extend the court timings as a result of this, either on the same Thursday A or Friday or extend it into Monday as well. But I've also just had breaking news that it seems like we've caught the perpetrator who pulled the fire alarm in those courts and it was none other than Ken Griffin himself. Clearly the shorts and the shields are scared to death of this reverse split if they're resorting to pulling fire alarms in a courthouse.

I'm hoping that after this session on Thursday and on Friday either the court case will be settled or thrown out in its entirety and then hopefully the reverse split can continue over the next week or the next few weeks. At that point, I Think a significant amount of fud revolving around AMC will stop or at least slow down and the AMC price action will pick back up again. I Think you will see quite a significant increase in the AMC price as shorts close out of their short positions that were holding short positions for the Arbitrage play. As they close out of those temporary shorts, the price of AMC will be pushed upwards, which could potentially engage the short squeeze.

and it should also end with more hedge funds like Aranda Rand collapsing as well. But guys, be sure to let me know what you think down in the comments below. And as always, guys, be sure to ding that notification Bell because that way you'll be alerted. Well, I'll put a new video.

Cheers.