Business

George Soros Stands to Gain Millions From His Purchase of MF Global Bonds

Remember when The Blaze reported that George Soros’ family fund bought $2 billion worth of MF Global’s European bonds?

At the time we reported:

…When MF Global filed for bankruptcy, the firm sold part of the bonds but still had about $4.8 billion worth of them on its books, CNBC reports.

They were turned over to KPMG, MF Global’s bankruptcy administrator in London; they were then offered to big investors by MF Global’s London clearing house, LCH Clearnet, the Journal said, quoting a KPMG spokeswoman.

When KPMG offered the bankrupts firm’s European debt to a variety of big investors, most of them passed. However, they were able to find one investor willing to buy the bonds at rock-bottom prices: George Soros.

A spokesman for Soros declined to give details about the company’s positions and why it decided to buy the bonds.

“While our firm is always in the market, we have a policy of not disclosing details of our positions,” the spokesman told the Wall Street Journal.

The Blaze also noted that his purchase of European debt seemed odd, considering that earlier he said that European debt crisis is putting the global financial system in a ”self-reinforcing process of disintegration.”

Now it’s being reported that he stands to profit quite a bit from the purchase.

The Wall Street Journal reports the discount Soros got and the current size of his paper profits:

…the purchases highlight the hefty profits that could come from these bonds. Mr. Soros’s family fund, Soros Fund Management LLC, currently is up more than $130 million based on the marked-down prices paid for the bonds, according to a trader who bought some of the same bonds, though it is hard to put an exact value on the complicated trade [emphasis added].

Buyers paid about 89 cents on the dollar for the Italian bonds, compared with a market price of about 94 cents at the time, according to the trader who bought them.

When ex-MF Global CEO Jon Corzine testified before Congress, many people—specifically MF Global customers—were hoping to hear what happened to the estimated $1.2 billion that has been reported as missing since the firm collapsed.

“I’m not in a position, given the number of transactions, to know anything specific about the movement of any specific funds,” Corzine said.

Corzine stuck to his prepared remarks and claimed that he didn’t know what happened where the money went. Of course his “confusion” (i.e. silence) on the matter has led many analysts to believe that those billions of comingled dollars are gone for good.

With that in mind, and the estimated millions that Soros stands to gain through his investment in MF Global’s European bonds, it looks as if he has once again proven that he is not only a master at picking winners and losers but that he also knows how to profit from a bad situation (see Black Wednesday).

Read the entire Wall Street Journal report here (login required).

(h/t Business Insider)

Comments (138)

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  • ONE-IFBYLAND
    Posted on December 14, 2011 at 10:40pm

    @ THE-MONK

    That is way too good for this POS!!!!!!!!!!!!!

    Report Post »  
    • Eliasim
      Posted on December 14, 2011 at 10:49pm

      Mountains are people. And people will bury their riches in mountains only to return to them worthless. That’s bonds.

      Report Post »  
    • The-Monk
      Posted on December 15, 2011 at 12:17am

      @Eliasim
      I read your post and determined that you are an ID ten T. Mountains are prople? Sounds like you have a Mountain of problems. Are you sure that you are not Rose Ellen?

      Report Post » The-Monk  
    • Give Me Newt Or Give Me Death
      Posted on December 15, 2011 at 11:03am

      What would be good enough? Just curious.

      Report Post » Give Me Newt Or Give Me Death  
  • rja444
    Posted on December 14, 2011 at 10:38pm

    Gee, I wonder what his fair share is. You know those evil corporate types.

    Report Post »  
  • DESKOCCUPANT
    Posted on December 14, 2011 at 10:13pm

    With all the dough he has maybe he could adopt 99% of the Occupiers and get them off our streets.

    Report Post » DESKOCCUPANT  
  • GramSam
    Posted on December 14, 2011 at 10:08pm

    Surprise surprise!!!!!!! Maybe Soro’s knows where the 1.2B is.

    Report Post » GramSam  
    • OhCanada
      Posted on December 14, 2011 at 10:43pm

      Its all smoke and mirrors. Just look at Corzines face as he testified. Absolute fear.
      They know what happened to the money, and someone screwed up. Now someone has to take the fall for the BIG plan they had in play. Although we may never know what happened exactly. I believe the truth always surfaces. First dead body to show up, pay attention. this thing is HUGE. And its all connected.
      The history books will see this administration as the most corrupt.

      Report Post »  
    • AZindependent
      Posted on December 14, 2011 at 11:09pm

      There have been reports that the $1.2 billion + in stolen customer accounts went to pay off MF’s lender JP Morgan Chase. Like the mob, they don’t care where the money comes from, just pay us.

      Report Post »  
    • KAdams
      Posted on December 15, 2011 at 12:16am

      Did anyone see the placard placed before Corzine in the hearing? I thought that someone had made a typo… the placard read “The Honorable” Jon S. Corzine. Most assuredly, it should have actually read “the Dishonorable”…

      Report Post »  
    • Give Me Newt Or Give Me Death
      Posted on December 15, 2011 at 11:01am

      Most Likely

      Report Post » Give Me Newt Or Give Me Death  
  • lodgerat
    Posted on December 14, 2011 at 9:58pm

    You are one sick puppy..take that picture down you freak

    Report Post » lodgerat  
    • db321
      Posted on December 14, 2011 at 10:44pm

      It is down – Blaze took it down! Thank You Blaze.

      Report Post » db321  
    • randy
      Posted on December 14, 2011 at 11:56pm

      We Applaud you Becket Adams for taking care of and personally replying to my complaint of Arbitrot’s disgusting avatar

      Dear Sir,

      My name is Becket Adams and I am the assistant editor to the business side of The Blaze. I heard about your complaint (posted on the Soros article) and, although I cannot force arbitrot to change his avatar photo, I can do the next best (and admittedly enjoyable) thing: I can delete his comments. I am deeply sorry that you and other readers were exposed to that trash and filth.

      Please feel free to inform me directly anytime one of our readers gets out of line like that. I will do my best to correct and purge all such images before anyone such as your daughter (or any of my seven sisters) is exposed to that nonsense.

      Again, I am deeply sorry for arbitrot’s actions and I will do my best to minimize the likelihood of things like that happening again. Thank you for reading The Blaze and have a wonderful weekend!

      Cordially,
      Becket Adams.

      Report Post » randy  
    • BlazeModerator
      Posted on December 15, 2011 at 12:51am

      Arbitrot’s account has been disabled and his posts have all been deleted now. Thanks to those who reported him.

      Report Post » BlazeModerator  
  • db321
    Posted on December 14, 2011 at 9:57pm

    Arbitrot – Your speaking out of your Picture! You don’t have to remove – it will be down soon. I have read your other post and I have come to the conclusion that you would applaud Satan if it meant you could get your Liberal agenda across. There is no defense for Soros, he is using this administration to profit like no other person in the history of America. Supporting Obama is one thing – that just shows ignorants. Supporting Soros – shows you have major issues.

    I really would like to know what it is you want so bad, that you would sell your sole to get it- is it free health care – if so you’ve already lost – Obama Care is not free – Is it Welfare, because you’re to lazy to work – what is it!

    Supporting a man like Soros who is destroying America, shows you would do just about anything to get what you want. Now, take your picture down and go back to the Huntington Post! God Bless You!

    Report Post » db321  
  • bald stick
    Posted on December 14, 2011 at 9:41pm

    What good is it for a man to gain the whole world yet forfeit his soul? Mark 8:36

    Report Post »  
    • INOGAWD
      Posted on December 14, 2011 at 9:58pm

      The maggots are gonna’ love this POS !!!

      Report Post » INOGAWD  
    • jzs
      Posted on December 14, 2011 at 9:59pm

      Wait a second! This is the free market. Is someone objecting to one of the 1% making money? Aren’t you being hypocritical here? Only the Koch Brothers can make money? Not a jew?

      Report Post » jzs  
    • right
      Posted on December 14, 2011 at 10:57pm

      @JZS Soros has made large sums of money using immoral tactics that undermine the free market system and, in actuality, run contrary to free market economic principles. Capitalists reject those types of unscrupulous tactics regardless of who employs them, their ethnicity or their last name. You’ve mixed arguments, played the race card and misrepresented conservative views in an attempt to skirt the fact that our free market system has created WIDESPREAD prosperity –more than the world, in fact, has ever seen. Capitalists recognize this, and therefore, believe the OWS crowd should be careful what it wishes for.

      Report Post »  
    • KAdams
      Posted on December 15, 2011 at 12:21am

      @JZS

      If you think this is free market, you’ve got another think coming. This is cronyism at it’s best (worst?). Corzine/Soros, in my humble opinion, worked that firm, squeezed its’ shareholders dry. The firm was in business for 100+ years before Corzine? There’s 1.2+ billion missing, and Soros just happens to buy 2 billion in bonds, “considering that earlier he said that European debt crisis is putting the global financial system in a ”self-reinforcing process of disintegration.” This is not free market. Did you go to Obama’s school of socialism, or something? Saul Alinsky’s whelp, maybe?

      Report Post »  
    • Therightsofbilly
      Posted on December 15, 2011 at 1:06am

      Right is right.

      And I know my rights.

      Report Post » Therightsofbilly  
    • Therightsofbilly
      Posted on December 15, 2011 at 1:08am

      Did not mean to leave you out KADAMS.

      You are right also.

      Report Post » Therightsofbilly  
    • Give Me Newt Or Give Me Death
      Posted on December 15, 2011 at 11:06am

      WEll, for one, he gets to drive some really nice cars and he has a hot trophy wife. More than I got.

      Report Post » Give Me Newt Or Give Me Death  
    • jzs
      Posted on December 15, 2011 at 12:19pm

      right says, “Soros has made large sums of money using immoral tactics that undermine the free market system and, in actuality, run contrary to free market economic principles.”

      Then you won’t have any problem describing those immoral – as opposed to illegal – tactics and how they undermine the free market system and giving a couple of example? Or are you simply repeating something you heard?

      And perhaps you care to explain how moral you think Wall Street is?

      Report Post » jzs  
    • Therightsofbilly
      Posted on December 15, 2011 at 12:40pm

      JZS

      Can a street be moral?

      Or were you referring to some particular individuals?

      If so, would you please list them, individually?

      Report Post » Therightsofbilly  
    • jzs
      Posted on December 15, 2011 at 9:47pm

      Billy, saying “Wall Street” as a reference is like saying the “White House” says this or that. Certainly the White House is a house and cannot talk. Buildings don’t talk, I agree. It’s also true that when your hear that the “Kremlin says” something that does not mean that the building magically spoke or that the population of Moscow got together and said something in unison.

      Sometimes buildings or, in this case, a street, are used to represent a person or group of people in the english language as well as other languages.

      Report Post » jzs  
  • Detroit paperboy
    Posted on December 14, 2011 at 9:37pm

    @arbitrot
    Wait, so Soros is one of the 1%? when will you arrive on his front lawn… I DARE you to answer this….. My guess, u wont…. Answer or Arrive.

    Report Post »  
  • Detroit paperboy
    Posted on December 14, 2011 at 9:31pm

    Imagine that……Soros profiting from someone elses misfortune,,,, whoda thunk it ??????

    Report Post »  
    • Snowleopard {gallery of cat folks}
      Posted on December 14, 2011 at 9:38pm

      I just wish one of these governments he has hurt so bad had the collective guts to go after him for crimes and put him away for good.

      Report Post » Snowleopard {gallery of cat folks}  
    • The-Monk
      Posted on December 14, 2011 at 9:42pm

      @Snowleopard
      A great big double ditto on that! A cell next to Bernie Madoff would be as well as them sharing a cell.

      Report Post » The-Monk  
    • rt elms
      Posted on December 14, 2011 at 10:05pm

      Many people profit on the misfortunes of others. Your furnace goes out, that is unfortunate for you, but the repairman earns a profit making the repair. However, it is an entirely different matter if the repairman had someone on the inside to sabotage the workings of your furnace to make that profit. Given the creepy connections found in the high places of politics and finance, what are the chances we will ever know the truth?

      Report Post » rt elms  
    • INOGAWD
      Posted on December 14, 2011 at 10:27pm

      @ rt elms
      Given the creepy connections found in the high places of politics and finance, what are the chances we will ever know the truth?
      MF Global CEO Jon Corzine , HUH ???????

      Report Post » INOGAWD  
    • ONE-IFBYLAND
      Posted on December 14, 2011 at 10:37pm

      @ THE-MONK

      That is way to good for this POS!!!!!!!!!

      Report Post »  
    • The-Monk
      Posted on December 14, 2011 at 11:37pm

      @ONE-IFBYLAND
      Could you be more specific about what you are talking about?

      Report Post » The-Monk  
  • RJDeforest
    Posted on December 14, 2011 at 9:29pm

    AR-15 with a BCM upper and a Spikes Tactical lower….$2,000. 4000 rounds of Lake City 62 grain Green Tip Penetrators…..$1,300. EOTech 550 HOLOgraphic Weapon Sight with night vision…..$5,000. Zero Point knife….$200. Total break down of society and lining up Leftists in my sights….PRICELESS!!!!!!!

    Report Post » RJDeforest  
    • Give Me Newt Or Give Me Death
      Posted on December 15, 2011 at 11:07am

      Yeah….we’re not killing anyone. Not sure if you got the memo. But, . . .um, we’re not lining anyone up. That’s what Fascists do. psycho.

      Report Post » Give Me Newt Or Give Me Death  
    • Kipcane
      Posted on December 16, 2011 at 10:44am

      Nice… In reply to “give me newt, give me, etc…” Newt is just another progressive who loves big government. The only real choices we have right now are Santorum and Bachman… Ron Paul down right scares me… what a goofball! Perry, not so sure I like his immigration stance.

      Report Post »  
  • chips1
    Posted on December 14, 2011 at 9:24pm

    Corrupt insider trading isn’t available to Americans. Only Marxist politicians. Pelosi, Reid,Newt, etc.

    Report Post »  
  • last frontier
    Posted on December 14, 2011 at 9:24pm

    Once again Soros get‘s the cake and the US tax payer get’s the bill. And yes the government will get the money back to the farmers.

    Report Post » last frontier  
  • Red-Long-Braid
    Posted on December 14, 2011 at 9:18pm

    When you have a black-hole for a heart, there is no enough stuff you can get, power you can grabb or pseudo-love you can buy to fulfill the endless emptiness of darkness.
    Remember, we all die alone. It depends on how we will be remembered on the hearts we have touched along the way.
    Pray on your knees and be meaningful, God is a great listener.
    Be brave, be honorable. We can do this, we will win.
    LIGHT is coming our way…

    Report Post » Red-Long-Braid  
  • whatthecrazy
    Posted on December 14, 2011 at 9:15pm

    That nasty little munchkin surely will die eventually .Must be true only the good die young……………

    Report Post »  
  • Dug2Dark
    Posted on December 14, 2011 at 9:10pm

    Don’t undertand why soros & corzine aren’t sharing a cell together right now. But again, they‘re barry’s buddies???? Wake up, you stupid libs. These should be the ones who you’re against.

    Report Post » Dug2Dark  
  • pennsy.357
    Posted on December 14, 2011 at 9:09pm

    I guess Soros realizes Obama is going to need a lot more money to get his puppet Obama re-elected next year, fortunately it’s more money than Soros will ever own in two lifetimes.

    Report Post »  
  • 1947
    Posted on December 14, 2011 at 9:06pm

    Has everyone forgot that SOROS is part of that 1%

    Report Post »  
  • Carol1955
    Posted on December 14, 2011 at 9:05pm

    Soros wins big, farmers and ranchers suffer huge losses, Obummer’s friend runs around free. The senators are patting themselves on their backs for asking “the tough questions” regardless of their impotency. The media, including Fox, fails to point out that they stole segregated account money . Money that was not theirs to invest in anything and instead makes it sound like just some bad investments. Do people realize this company committed outright theft of money?

    Report Post »  
    • ashestoashes
      Posted on December 14, 2011 at 9:19pm

      @Carol That whole bunch are thieves…that is why we want someone different in the Presidency…this time we are voting for the Constitution..a great number of us now will vote out the thieves. the federal reserve..the blood money war mongers..the big government…we are going back to “We the People” This time “we are going to vote in Dr. Ron Paul…..YES WE WILL

      Report Post »  
    • KAdams
      Posted on December 15, 2011 at 12:29am

      No you won’t. This is all by design, period. Has been, ever since Lucifer got the balls to try and stand up to God, and was thrown out for his impertinence. There is no saving this planet, only the souls that inhabit it.

      Report Post »  
  • ddg7
    Posted on December 14, 2011 at 9:04pm

    Soros? Gain millions? No shat?

    Report Post »  
  • LeadNotFollow
    Posted on December 14, 2011 at 9:01pm

    Why does an 81 year old man need more mere millions when he already has approx. 14 BILLION??? I’ve yet to see a hearse with a trailer full of money in tow. You can’t take it with you to H*LL.

    Report Post »  
    • TheSitRep
      Posted on December 14, 2011 at 9:05pm

      His goal is not just to attain more wealth but to destroy everyone else’s on the way.

      He is a slash and burn kind of guy.

      Report Post » TheSitRep  
    • Darmok and Jalad at Tanagra
      Posted on December 14, 2011 at 9:06pm

      But he is the Anti-Christ, and is trying to build Hell on earth. All that fire and brimestone isn’t cheap, plus the demons just unionized, he has to cover their healthcare now.

      Report Post » Darmok and Jalad at Tanagra  
    • martinez012577
      Posted on December 14, 2011 at 9:13pm

      Its good at his age he still wants more. What is bad is I am sure he is using it to destablize the area and turn it into power.

      Report Post » martinez012577  
    • KAdams
      Posted on December 15, 2011 at 12:30am

      The same reason why the Rockefellers and Rothschilds wake up every morning. They already own everything, now they just want total and utter control. Not to mention the reduction of the population by 90% (It might be 95%, but I haven’t read the Georgia guidestones lately).

      Report Post »  
    • Godfather.1
      Posted on December 15, 2011 at 8:14am

      The same reason the Koch brothers, who are both in their 70s, continue to rake in millions.

      Report Post »  
  • Al J Zira
    Posted on December 14, 2011 at 8:53pm

    As much as I can‘t stand Soros this is where I can’t begrudge him buying bonds of a bankrupt company and profiting from it. If I had the capital to do it I would have done the same thing, it’s the capitalist way.

    Having said that; I would still like to follow the French model and label him an economic terrorist, seize his assets in the U.S., if there are any and lock him out of future trading in this country. From there you can start going after all his interests in this country and close them down one-by-one. That alone would take years.

    Report Post » Al J Zira  
  • BubbaT
    Posted on December 14, 2011 at 8:50pm

    Of course he does. Will some fine, upstanding American please put a chunk of hot lead into this demon’s brain. PLEASE?

    Report Post » BubbaT  
  • Darmok and Jalad at Tanagra
    Posted on December 14, 2011 at 8:48pm

    The plan is coming together. Excellent Smithers, Excellent.

    Report Post » Darmok and Jalad at Tanagra  
  • poverty.sucks
    Posted on December 14, 2011 at 8:48pm

    Upon liquidating everything you have, abandon all credit, sell all your Gold, only then will we see Soros fail.

    Report Post » poverty.sucks  
  • SamIamTwo
    Posted on December 14, 2011 at 8:44pm

    Old news from a few days ago…yep sores always ends up winning…seems his gold bubble is popping also…glad I got in back in the 80′s…don’t think it will drop that far but what do I know…LOL

    Report Post » SamIamTwo  
    • Wdawg
      Posted on December 14, 2011 at 9:04pm

      Soros sold all of his holdings in gold about a year ago.

      Report Post » Wdawg  
    • chips1
      Posted on December 14, 2011 at 9:20pm

      When I was young, I was stupid and bought a friends silver to help him out. $3.65 per ounce was alot and It’s been in a box of stored junk. Found it several months ago. Guess 433 oz will come in handy. Bought more at $29 at a coin mart.

      Report Post »  
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