is trying to rock the long-short investing world, but with a twist that comes from outside of investing.
| Bill Miller|
Miles Weiss of Bloomberg reports
that the former Legg Mason
] star has filed to create a hedge fund, Seismic Value Partners 1
, that applies a natural disaster prediction model to time its long-short investing strategy. The model is licensed from a Davis, California-based company called OpenHazards Group
that is chaired by UC-Davis seismologist John Rundle
The idea behind the strategy is that natural disasters are, to use Nassim Taleb's now-famous book title, black swan events, and so are stock market crashes.
talked to several folks about the idea, though Miller himself declined to comment, and overviews Miller's background and what he's currently up to at LMM
(including PMing the Legg Mason Opportunity Trust
). Barron's also picked up
on Miller's plans.
Neil Anderson, Managing Editor
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