Category Archives: Business Genius

George Soros Comparison Only Cast a Long Shadow

George Soros recently spoke in Sri Lanka at an economic forum and warned that the world was at risk of a similar crisis to that of 2008s. Soros is famously known for forcing the pound out of the mechanism in 1992. His remarks came after China suspended its benchmark CSI 300 stock index after just fifteen minutes of trading. The first time that day the market leapt 5% triggering a 15 minute circuit breaker. When fixed the market dropped another 2% forcing them to close the trade for the day. This was the second time in a week. According to an article in business, Insider, the halting of the market was done under the new regulations that were designed to prevent panic selling.

The Guardian, Business, Economics George Soros is quoted saying that China had serious adjustment problem. His comparison of the current scenario indeed would be taken seriously based on his expertise and previous experience. Many financial experts, however, seems not to agree with his view. Mark Ostwald in the same article is quoted to have said that Soros parallel comparison of the two crisis would “only serve to cast a long shadow” over the markets. The crisis is not parallel to 2008. This is because there is no reckless lending, wayward blindness to credit sector risk, irresponsible supervision and bad regulations of the market.

CNBC Economy ( ) also mention U.S. stocks index futures had sharp lower opens. The focus is however mostly in China. Analyst have shown concern over Chinese market regulators who seems to have no grasp of the market. The circuit breakers seem not to be of much help to them. There have been new rules though by the Chin securities regulator, the number of shares that can be sold by major shareholders.

George Soros had warned of a similar catastrophe back in 2011, but it never came to pass. His worries cannot be ignored. Likewise, investors must be cautious moving ahead.

No two crisis are the same. An article in NASDAQ website (news), investors, should be hopeful. The present crisis has been observed for a long period and this period of turmoil is of no shock. What causes huge reactions in the market sometimes is the shock. 1998 was a perfect scenario when there was a huge reaction causing a market to a crisis. All this could also be as a result of the strengthening dollar or weakness in China and other emerging markets.

2016 could be more close to 1998 than it is to 2008. However bad the current scenario is, one can almost be sure that it will not be like the previous scenario. The current crisis has been detected and is being observed carefully and for that reason, past mistakes are not likely to be repeated.

Bruce Levenson

Bruce Levenson is a businessperson and philanthropist based in the US and was a former NBA team owner as well as a co-owner of Atlanta Hawks LLC under which the Atlanta Hawks basketball team operates. The LLC also owns Phillips Arena. Bruce Levenson has been on the NBA Board of Governors first as Hawks’ Governor then later as an ex-officio. He also owns the United Communication Group or UCG, which he co-founded in 1977 and TechTarget, where he serves as a board member. Bruce Levenson comes from a Jewish family that was based in Washington, D.C. He was brought up in Chevy Chase, Maryland and later went to Washington University in St. Louis before graduating with a law degree at American University. While studying for the law degree, he used to work part-time as a journalist with the Washington Star. Bruce Levenson and Ed Peskowitz started UCG in Gaithersburg, Maryland and used Levenson’s apartment as their office. The company started with publishing newsletters regarding the oil industry, Oil Express, but later acquired a larger database that enabled them to venture into other industries such as data collection and analysis in energy, telecommunication, mortgage banking, healthcare, and technology. UCG has since developed and operates a mobile application, Gas Buddy that provides drivers with information of the low gas prices at their current location. He has also served as an adviser with BIA Digital Partner, appears in the Board of Directors for the newsletter Electronic Publishers Association, and features in the Software and Information Industry Association Hall of Fame in 1997. Atlanta Hawks The duo formed Atlanta Spirit LLC in 2004 with an aim of buying Atlanta Hawks LLC that was then owned by Turner Broadcasting. Bruce Levenson and Ed Peskowitz are still the majority partners of Atlanta Hawks LLC though the purchase had originally included Atlanta Thrashers, which was sold in 2011. As of now, Levenson serves as the managing partner and appears at the NBA Board of Governors as a member. In 2012, Danny Ferry was hired by the team as Hawks general manager as well as president of basketball operations. Ferry once played for Cleveland Cavaliers but later became their general manager and has also served as vice president of operations with San Antonio Spurs. In March 2014, Bruce Levenson and his family accompanied the Hawk’s trip to the U.S. Holocaust Museum in Washington, D.C. taking into consideration his mother-in-law is a Holocaust survivor. He was able to speak with the team regarding his experiences. Later in the year, he announced his bid to sell his share of ownership based on a self-reporting email that was sent out in Aug. 2012 that started the decreasing interest of African-American fan base for the team. As such, Bruce Levenson is bringing on a team of investment bankers to aid with the process. Philanthropy Bruce Levenson participates actively at the Community Foundation of Washington, D.C., the Hoop Dreams Foundation, and serves as president for I Have a Dream Foundation Washington chapter. Bruce Levenson is a founding donor of the U.S. Holocaust Museum and has made major donations to the SEED Foundation as well as Seeds of Peace.