During this era, I started contributing articles via tumblr to Yahoo Finance. That also meant that every article would start with a picture, graph, or photo.
In my view, these were my best posts written between August and October 2014:
Hedge funds and mutual funds are shells — what goes into them matters more than the form itself.
Down 70%+ since then. In general, complexity is not rewarded in investments, and particularly insurance companies. It also helps if you choose lines of business that are good risks, which long-term care and mortgage insurance aren’t.
Shortcuts in investing are generally not a good idea.
Prescient — the liberal reservers have not done well as a group. I will be doing an update on this.
Survivorship bias has an effect on all of our investment statistics. Try to combat that by reading history books — the only thing more volatile than markets is history.
It’s not as easy at it looks, and often IRRs overstate the realized returns when you consider capital that is locked up.
Beware of being sold an investment; rather, research your investments carefully, perhaps with the aid of a skilled and trusted friend
Managements want to prevent hostile takeovers through not leaving a lot of idle cash on the balance sheet.
The Financial Stability Oversight Council doesn’t understand what firms contribute to systemic risk.
Why the CFA “Future of Finance” project was unlikely to go far. Is that still around?
If you stop measuring performance and risk, the performance doesn’t change, and the risk doesn’t go away
The first thing to remember is that retirement is a modern concept. That the world existed without retirement for over 5000 years may mean that it is not a necessary institution. For a detailed comment on this, please consult my article, “The Retirement Tripod: Ancient and Modern.”
When assets are highly levered, volatility can morph into permanent destruction of capital.
If a large amount of bonds inside an ETF are illiquid, all sorts of funny things could happen, but they wont make us laugh.
It should reflect the opportunity cost of the unlevered funds.
A few tips and tricks
Money management is far harder when you have to draw funds regularly to cover expenses. Also, most people overestimate how much money they can draw from investments.
…Howard Simons, astutely would comment something to the effect of: “The stock market is not a futures contract on GDP.” This much is true, but why is it true? How can the market go down on good economic news?
Are factors getting overused?
An examination of the Fairholme Fund, and what returns that an average investor received from it.
An examination of why interest rates don’t have to go up.
What happened when I met Bill Gross…
It’s harder to create a giant crisis than you think, but if enough parties borrow enough money at the same time, we just might be able to do it.