Where Have all the Mergers Gone?
One argument against a top in equities is the lack of M&A. Below are a few charts from IMAA:
The New House of Money
Steve Drobny, author of the great books Inside the House of Money: Top Hedge Fund Traders on Profiting in the Global Markets and The Invisible Hands: Top Hedge Fund Traders on Bubbles, Crashes, and Real Money just put out a new one: The New House of Money. Check it out, it's free.
1st interview: Kyle Bass
The US is the Most Expensive Stock Market in the World
Out of 44 developed and emerging markets in the world, the US stock market is the most expensive on a 10 Year PE ratio basis with a value of 25 (CAPE). If you include frontier markets, the US is the most expensive out of 55 markets with the one exception of Sri Lanka.
Now, the US isn't in a bubble,...
Bitcoin vs. South Seas Stock
This is just for fun, I have no idea if or when the bitcoin train will ever get derailed. You could compare this to any speculation that has gone parabolic, I just like ones that are over 200 years old.
Chart 1 is actual bitcoin and South Sea Stock values plotted with SS peak lined up with current BC data.
Chart...
Small Caps, Cheap or Expensive?
It always surprises me when people have not heard of The Leuthold Group. (Maybe because they are based in MN?!)
They put out some great research so check out their site! Below on small cap valuations :
Screenshots from Tactical Backtester
Almost done cobbling together this backtester, aiming to send it out later this week. A few screenshots below from the current model...
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In addition to the regular benefits of subscribing to The Idea Farm, which include 2-3 research reports each week as well as free copies of my new books, we have another cool new feature coming!
I’m going to make a...
The Investment Brief
It is good to see people tackling our 5 Million Dollar Ideas in FinTech. Below is one such example, and I've talked the founder into letting my readers have a free three month subscription. See below:
Download The Investment Brief app for free from the Apple app store.
Once downloaded, open up The Investment Brief, where they will see a yellow...
Supply and Demand
Same amount of money chasing reduced supply = PE multiple expansion.
Nice piece from Barron's this wknd.
