GoldenTree goes for extra credit

March 01, 2012   Britt Erica Tunick

Steve Tananbaum’s GoldenTree applies old-fashioned Graham and Dodd values to new and increasingly complex debt instruments.

  Steve Tananbaum: "We’re always looking for a margin of safety"  (Photographs by Mackenzie Stroh)

MOST PEOPLE WHO LOOK AT Manhattan’s famed Waldorf-Astoria hotel are taken with the building’s art deco façade. Steven Tananbaum sees something different. Standing directly across the street from Tananbaum’s office, the Midtown landmark is a daily reminder that the building’s construction was largely financed by a 1929 bond issuance — one that turned out to be a major disappointment for its original debt holders and only paid off years later as an investment in the secondary market. When Conrad Hilton saw value in the Waldorf’s depressed bonds in the early 1940s, he snapped them up for pennies on the dollar and ultimately acquired the hotel, which remains a key Hilton holding to this day.

Some 70 years later Tananbaum spends his days betting on the same premise...


Subscribers have unlimited access to all online content inc rankings. Start your subscription today - click on the button below.

Subscribe now

Free trial

Taking a free trial will give you access to online content one week (excludes research & rankings). Start your trial today.

Free Trial

Latest Poll

Will Herbalife's share price fall after it implements the changes mandated by its settlement with the FTC?

 - 100%
 - 0%

View previous results