Kyle Bass of Hayman Capital Management released his must read annual letter to shareholders. Bass has a gift of being able to break down complex global political and economic issues into a easy-to-digest framework. Hayman’s underlying thesis is that the global credit market debt has reach a point of diminishing returns, and a global restructuring is required.
Bass’s previous letters and discussed the quantitative issues in great detail. This most recent letter, while full of fact and figures really focuses on the qualitative issues. The quantitative issues are now well documented and “are what they are” but qualitative issues have become front and center
Below are the highlights of the letter: