Over-Rebalancing

Research Affiliates has been churning out some great content lately.  In their recent piece titled "Timing “Smart Beta” Strategies? Of Course! Buy Low, Sell High!" they examine some value based factor rotation strategies.  Namely, they examined rotating among the factors that had the worst 1,3,5,and 10 year trailing performance.  Not surprisingly it worked well. So I went and re-ran a...

Free Books! Also NYC, DC, Richmond, and OC

Super quick note to remind everyone that our last four Ebooks are free on Amazon for one more day, so don't miss out! Likewise a reminder we are giving away a free month trial to The Idea Farm. I'm also giving the following speeches (links to the event pages), come out and say hello: Saturday November 5th, AAII, Orange County Tuesday November 15th,...

Value and Momentum Starting to Align

Long time readers know that I talk a lot about two ancient investing strategies - value and momentum/trend.  Often I will mention that my favorite setup is when the two align, although that only happens about a third of the time for any given market. (Old post here). So we've been preaching foreign stocks markets are cheaper, they haven't really...

Episode #27: Porter Stansberry: “There’s Going to Be a Big Bill of Bad Debt to Pay”

Episode #27: “There’s Going to Be a Big Bill of Bad Debt to Pay”   Guest: Porter Stansberry. Porter Stansberry founded Stansberry Research in 1999 with the firm's flagship newsletter, Stansberry's Investment Advisory. He is also the host of Stansberry Radio, a weekly broadcast that has quickly become one of the most popular online financial radio shows. Prior to launching...

10 Year Blogiversary

Did you know that on this very day in 1512, the Sistine Chapel opened to the public? Also on this very day in 1952, the U.S. tested the first hydrogen bomb. Last – and most certainly least – on this very day 10 years ago, I penned my very first blog post! It wasn’t quite the work of art as the Sistine...

I’m Investing $85,000

Last week, we announced the launch of a fundraising campaign on behalf of my company, Cambria. If you’ve been curious, yet remained on the sidelines, this update is for you. Two quick points: First, at the beginning of this month, I published the post, "How I Invest My Money". One of my intended takeaways was that it’s critical that fund...

Let’s Bury Active vs. Passive…

Fund A Description Fund invests in penny stocks of companies where the CEO is a man, whose name is Chris, and has eaten a hamburger once in the past 12 months.  Positions are weighted by how many hamburgers the CEO has eaten. The management fee is 2.0% per year, plus a 5% front end load and a 0.5% 12b-1 fee. Fund...

Podcast Episode #26: Jeremy Schwartz, “You Should Be Hedged a Lot More Than You Are”

*We experienced some technical issues with Episode #26. We’ve resolved them going forward. Thank you for your patience with the slightly reduced audio quality in this episode.   Episode #26: “You Should Be Hedged a Lot More Than You Are”   Guest: Jeremy Schwartz. Jeremy has been the Director of Research at WisdomTree Investments, Inc. since October 2008. He was previously the...

Which Investment Do You Prefer?

Let's say you had the choice of the four following investing systems, which would you prefer? Well of course you would say C,B,D,A in that order.  Who wouldn't?  And well of course you know from reading me that this is likely a trick question. Investment A and C are actually the same system, the S&P 500, and Investment B and D...

A Broken Model

How much revenue have authors on the website SeekingAlpha.com given away for free? About $112,000,000. That's not a typo.  $112 million dollars. SeekingAlpha has 711,498 articles written by over 10,000 authors and 280,000 commentators from over 4 million users.  The interesting part of SA, and other sites like it such as Forbes and other content aggregators is that they don't have the biggest...