Martin Hughes’ huge hedge fund Toscafund began a recent shareholder letter with the chorus of The Clash’s classic song, London Calling:
“The ice age is coming, the sun’s zooming in… Meltdown expected the wheat is growing thin… Engines stop running, but I have no fear… ‘Cause London is drowning, and I live by the river”.
According to This is London, which got a hold of the letter, Tosca goes on to say that the same gloom applies now as it did when the song was written in 1979.
Toscafund, remember, was ravaged in the financial crisis. The fund watched its assets drop by half.
Now, they’re apparently preparing for a rough spell – but see some reasons to be optimistic.
While the doomsayers are having their day, they write, London is alive, alive, alive. Cabbies have never been busier, high-end London home prices are up, commercial construction projects are restarting, and hotels are full.
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