Steven Eisman is an American businessman and investor During a speech entitled “Subprime Goes to College” during the Ira Sohn Conference in May Eisman attacked companies. In a speech titled “Subprime Goes to College,” delivered Wednesday at the Ira Sohn Investment Research Conference, Eisman blasted the. One of those managers was Steven Eisman of FrontPoint Partners Steven Eisman & FrontPoint Partners entitled, ‘Subprime Goes to College’.

Author: Akinoll Vudora
Country: Cape Verde
Language: English (Spanish)
Genre: Education
Published (Last): 23 June 2011
Pages: 106
PDF File Size: 20.94 Mb
ePub File Size: 15.52 Mb
ISBN: 345-4-17703-254-7
Downloads: 91775
Price: Free* [*Free Regsitration Required]
Uploader: Kijar

Newer Post Older Post Home. Infobox person using alma mater Articles with hCards. With billboards lining the poorest neighborhoods in America and recruiters trolling casinos and homeless shelters and I mean that literallythe for-profits have become increasingly eiaman at pitching the dream of a better life and higher earnings to the most vulnerable of society. Sorry, your blog cannot share posts by email.

After a discussion period, the rules will be issued in November and go into effect summer They also go after GI Bill money and currently have separate teams set up to specifically target military students.

Eisman is a strong opponent of for-profit institutions of higher education. But from she became assistant secretary of post-secondary education for the Department of Education under President Bush. He has been married to Ejsman Feigen since How do such schools stay in business? Retrieved 12 February The for-profit industry has grown at an extreme and unusual rate, driven by easy access to government sponsored debt in the form of Title IV student subprine, where the credit is guaranteed by the government.

In many instances, the for-profit institutions sit on the boards of the accrediting body. And look at drop-out rates. And the days of raising tuition would be over; in xollege cases, tuition will go down. You can download a.


Steve Eisman

The fund performed poorly inreturning 3. You may be familiar with him as he was profiled as one of the successful subprime traders in Subptime Lewis’ book, The Big Short.

In other words, she was directly in charge of regulating the industry she had previously lobbied for. This page was last edited on 31 Decemberat From Wikipedia, the free encyclopedia. He was busy making speeches that every American should take out an ARM mortgage loan.

The latest trend of for-profit institutions, meanwhile, is to acquire toes through the outright subprimf of small, financially distressed non-profit institutions. There has been a revolving door between the people who work for this industry and the halls of government. Default rates on student loans are already starting to skyrocket. Until recently, I thought that there would never again be an opportunity to be involved with an industry as socially destructive and morally bankrupt as the subprime mortgage industry.

And this growth has resulted in spectacular profits and executive tp. Tracking top hedge funds since They conveniently price tuition at the exact amount that a student can qualify for in federal loan money.

In many cases, NOT much, not much at all. Hospitals refuse to even interview graduates. I cannot emphasize enough that gainful employment changes the business model. Typically, families of lesser financial means seek lower cost colleges in order to maximize the available Title IV loans and grants — thereby getting the most out of every dollar and minimizing eissman burdens. Inside the Doomsday Machine”. Let me quote a bit from a former employee of Bridgepoint Education, operators of Ashford University:.

The New York Times. But when the Bush administration took over, the DOE gutted many of the rules eimsan governed the conduct of this industry. The scandal here is exactly akin to the rating agency role in subprime securitizations.


One example is Sally Stroup. Ira Sohn Conference Notes: It did better inreturning The for-profit model seeks to recruit those with the greatest financial need and put them in high cost institutions.

ESI is more profitable on a margin basis than even Apple. Are we going to do this all over again?

Steve Eisman – Front Point Partners Ira Sohn Subprime Goes to College

Betting against subprime mortgages during the Financial Crisis. After eismaj testimony to Senate Health, Education and Labor Committee on problems with for-profit higher education, Eisman was criticized by progressive groups such as Citizens for Responsibility and Ethics in Washington on the grounds that he stood to profit from proposed regulations due to his short positions against private colleges.

As we’ve detailed numerous times, the for-profit education space is an investor battleground with a clear divergence of opinion. While he has since scaled back his position some, we saw he collegd owned it when we detailed Lone Pine’s portfolio. But accreditation bodies are non-governmental, non-profit peer-reviewing groups. View author archive Get author RSS feed.

For-profit college group: “Eisman is a self-serving nutcase” – Apr. 21,

Posted by market folly at We’ll watch with great interest to see how this one plays out. By using this site, you agree to the Terms of Use and Privacy Policy.

Follow Us On Twitter Tweets by marketfolly.