tag:blogger.com,1999:blog-6704573462403312459.post753018387587534507..comments2024-03-29T02:53:03.321-04:00Comments on Moneyness: Finance's Battle of the SommeJP Koninghttp://www.blogger.com/profile/02559687323828006535noreply@blogger.comBlogger13125tag:blogger.com,1999:blog-6704573462403312459.post-64892943010244861582021-09-15T19:40:37.257-04:002021-09-15T19:40:37.257-04:00The next time I just read a blog, I hope so it doe...The next time I just read a blog, I hope so it doesnt disappoint me about this blog. I mean, It was my solution to read, but I personally thought youd have something interesting to convey. All I hear is a handful of whining about something you could fix in the event you werent too busy trying to find attention. <a href="https://www.ssrastrologer.com/indian-astrologer-in-usa.php" rel="nofollow">Best Indian Astrologer in USA</a><br />Anonymoushttps://www.blogger.com/profile/18022149016627491398noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-68155920552341650642019-04-01T03:14:27.415-04:002019-04-01T03:14:27.415-04:00Small and mid-sized businesses don't understan...Small and mid-sized businesses don't understand what identity theft can do to their business until it is too late. These thieves can gain access to key accounts and drain them, many times, before the bank is aware of the act. The cost of can be enormous and can shut a business down. There are three key steps every <a href="http://www.brownbook.net/business/45284350" rel="nofollow">hop over to this website</a> must take to protect against this kind of crime. Criminals act quickly, so, a business must work hard to implement these key steps to protect its money, image and future.<br />Edward foxxhttps://www.blogger.com/profile/02895861275995201641noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-33441594379089495072016-04-05T22:06:08.797-04:002016-04-05T22:06:08.797-04:00in the past 30 years I've never read a study t...in the past 30 years I've never read a study that strongly supports the "information" advantage of fund managers, definitely not when fees are factored in. So you may want to visit your premise.<br /><br />Funds became the de-facto saving vehicle from the great disinter-mediation from savings accounts to tech heavy funds (before discount brokers made direct stock ownership possible. In short, fund managers hung on the coattails of the information revolution from 1985 to 2000 (and beyond). People aren't going into index funds because manager's can't beat the market (though that's some of it). They're going into index funds because it doesn't make sense to pay for the "risk" anymore.<br /><br />Also, you ignore a trend towards active management's focus more on sector trends (though ETFs mostly) than old Graham and Dodd company accounting analysis. Today's active managers don't play stocks, they play markets (currencies, international trade, M&As, etc.) Hedge funds are doing well. Leverage ETF/ETNs are doing well. <br /><br />All in all, the problem that fund managers are up against isn't investment "information", it's high debt, low-growth global economies. That's why I came to this blog and look forward to reading more of your posts. How long can the stock market keep going up when technology is more about playing Call of Duty on your PC, than better productivity at your company?Max Rottersmanhttps://www.blogger.com/profile/14692296462072888394noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-7885172053677287852016-04-01T12:03:10.635-04:002016-04-01T12:03:10.635-04:00It was, wasn't it? And, yes, there is a hambu...It was, wasn't it? And, yes, there is a hamburger and burrito bubble - CMG, SHAK - good thing, too, or all those former manufacturing and real estate workers couldn't become waiters and bartenders!<br /><br />And yes, a small group of conniving individuals created the burrito bubble. (Psst, c'mere. Don't tell anybody I told you this. They are called the "Federal Open Market Committee". This rabbit hole goes deep. Don't get in over your head. Follow the money, JP.)<br /><br />Or do you think that $3 trillion in base money was efficient allocation? Things were about to get really efficient and fair, really fast. They didn't, because of these "smart guys". In fact, they continue to work overtime in their struggle against the EMH. We should pay them more!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-21348403557864105282016-04-01T09:37:08.020-04:002016-04-01T09:37:08.020-04:00But I do agree on one thing, Margin Call was a gre...But I do agree on one thing, Margin Call was a great movie.JP Koninghttps://www.blogger.com/profile/02559687323828006535noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-67714966399049369012016-04-01T09:36:16.446-04:002016-04-01T09:36:16.446-04:00Thanks, will check it out. I've always liked S...Thanks, will check it out. I've always liked Shiller, he's had some wild & great ideas for novel investment products.JP Koninghttps://www.blogger.com/profile/02559687323828006535noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-28240712383065712952016-04-01T09:33:40.821-04:002016-04-01T09:33:40.821-04:00So a small group of conniving individuals have cre...So a small group of conniving individuals have created something called the burrito bubble? Sorry, I don't see it.JP Koninghttps://www.blogger.com/profile/02559687323828006535noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-77681507455412339672016-03-31T15:14:18.918-04:002016-03-31T15:14:18.918-04:00JP, you've got it all wrong. *The smart guys ...JP, you've got it all wrong. *The smart guys are there to create inefficient markets*. Don't for a second think that smart guys are there to create fair markets. You think that pays?!<br /><br />A lot of smart guys have been working and persuading very hard in all avenues of government, finance and industry to create inefficiencies: massive bubbles everywhere -- LBOs, fiber, internet, housing, all the way to hamburgers and burritos. These bubbles have employed people, expanded the surveillance-and-debt state's power faster than legal constraints, and created world-spanning technologies and industries. The consequences will live on for decades. Massive bubbles created massive waste, but formed real power and capital investment with few legal constraints and little inflation. They're that smart, JP.<br /><br />In short, it takes a lot of smart guys to keep your "first-world" no-inflation high-leverage bubble-blowing markets blessedly inefficient.<br /><br />Nobody wants EMH. We want cake, and lots of it. Dumb markets are fair and efficient. Nobody in the US wants that.<br /><br />(From Margin Call, a good movie.)<br /><br />Jesus, Seth. Listen, if you really wanna do this with your life you have to believe you're necessary and you are. <br /><br />People wanna live like this in their cars and big fuckin' houses they can't even pay for, then you're necessary. The only reason that they all get to continue living like kings is cause we got our fingers on the scales in their favor. <br /><br />I take my hand off and then the whole world gets really fuckin' fair really fuckin' quickly and nobody actually wants that. They say they do but they don't. <br /><br />They want what we have to give them but they also wanna, you know, play innocent and pretend they have no idea where it came from. Well, thats more hypocrisy than I'm willing to swallow, so fuck em. Fuck normal people. <br />Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-21407859532048062282016-03-31T12:17:33.620-04:002016-03-31T12:17:33.620-04:00Here is the Google Books page for Shiller's 19...Here is the Google Books page for Shiller's 1993 book on Macro Markets<br /><br />https://books.google.ca/books?id=R8Ak4fefNfwC&printsec=frontcover&#v=onepage&q&f=false<br /><br />Shiller focuses on the technical details of producing these securities, but his advocacy for them doesn't really spell out the potential benefits of such markets. We can do that here in posts like this on the bloated investment management industry, or your previous one that points out undesirable side effects of passive investing in stocks by indexers.Anwerhttps://www.blogger.com/profile/08277173974258559733noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-83140690357334100162016-03-31T11:19:31.608-04:002016-03-31T11:19:31.608-04:00Yep, all analogies break down at some point. I thi...Yep, all analogies break down at some point. I think this one works best if we think of the waste that is being created from the perspective of society. <br /><br />Asymmetric works for me. JP Koninghttps://www.blogger.com/profile/02559687323828006535noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-82739156565399500642016-03-31T11:15:48.910-04:002016-03-31T11:15:48.910-04:00Do you have a link for Shiller 1993?Do you have a link for Shiller 1993?JP Koninghttps://www.blogger.com/profile/02559687323828006535noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-8273896742228358882016-03-30T21:35:16.590-04:002016-03-30T21:35:16.590-04:00Surely there was a great deal waste in the Somme, ...Surely there was a great deal waste in the Somme, but war is full of coerced agents, and coerced agents tend not to act in their best interest. Stock Analysts and Fund Advisors are (I believe) acting in their best interest, so the idea that they'd be doing wasteful work seems strange. <br /><br />You say: "As investors begin to adopt indexing, the bits of information they stop analyzing become unique again." "Unique" seems like a strange word choice here, but I'm not sure what is better. Maybe we could describe bits of information that are known to few as "asymmetric." Alex Millar (@bitcoin3000)https://www.blogger.com/profile/11673636763801835349noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-68913326523634159752016-03-30T11:56:11.483-04:002016-03-30T11:56:11.483-04:00We went far past the waste point due to a missing ...We went far past the waste point due to a missing market. We should be able to trade financial indices directly (as described in Robert Shiller 1993) without investing in the underlying stocks, as we do now. Investment companies who think that they can generate alpha should be expected to fund themselves by shorting the index i.e. by selling macro securities. Those who consistently fail to generate alpha will burn up their capital.<br /><br />Index funds do help us approximate the missing market, and that is good, but they create the free-riding problem that you noted in your previous post on slow and fast money.Anwerhttps://www.blogger.com/profile/08277173974258559733noreply@blogger.com