Travel: NYC

I am a glutton for punishment.  First, Palm Springs in a 120 degree sauna last weekend and NYC next week (9-12). Drop me a line if you want to meetup somewhere with AC.

Asset Allocation is Like Bullets

You see a lot of articles that like to compare investing to X (Poker, Moneyball, relationships, death, etc).  While they are a bit tiresome,  I was loving these photos from Sabine Pearlman Photography.  Kind of amazing to see the intricate differences in design that are largely used for the same purpose.

Trends in LA (CFA pres)

I'll very likely be in attendance...   Trend Following: An Overview of Methodology and Return Characteristics Tuesday, July 16th, 2013 Speakers: Alex Greyserman, PhDChief Investment Officer – ISAM Systematic and Jack WeinerHead of Sales, Americas – ISAM Systematic Chair: Erik Einertson, CFA  An Alternative Investments Group Event The presentation entitled “Trend Following: An Overview of Methodology and Return Characteristics” or as we refer to it the Trend Following Teach-In,...

2013 First Half Review

How are most asset classes performing so far in 2013?  The best performers list is dominated by US stock categories, and the other end is largely commodities, foreign stocks, and bonds. US Small caps lead the pack up 18%, while precious metals are down the most at -30%.        

Stockpicking Contest with $65k in Prizes

SumZero and Value Investing Congress are partnering up for their annual stockpicking contest... We've had a few five figure winners from blog readers in past contests, let’s get some more! $65,000 in prizes for the 3 finalists! Like last year, our grand prize winner will take the stage at the 9th Annual New York Value Investing Congress, taking place September 16th &...

What Happens When You Buy Assets Down 80%?

We've done a lot of articles on value and drawdowns on the blog before (search the archives).  I was curious what happens when you bought the US equity sectors back when they were really hammered (French Fama to 1920s).   Average 3 year nominal returns when buying a sector down since 1920s: 60% = 57% 70% = 87% 80% = 172% 90% = 240%   Average...

Lessons Learned on Publishing an eBook (Also, Book Now Free for Amazon Prime Members)

After a month or so of having self published our first book, a few takeaways.   1 - The most important is that, while expected, the vast majority of sales (90%) came through Amazon.  Realizing this, we are now moving the eBook exclusively to Amazon so that Prime Members can download the book for free (see below). 2 - The biggest...

The Risks in Risk Parity

There's been lots of noise about Ray Dalio's All Weather fund's losses this year, but this really should come as no surprise to investors and readers of this blog. An environment of declining values in foreign equities, commodities, real estate, and bonds results it poor performance for buy and hold and risk parity funds especially.  I've done a bunch of...

Research Updates (CAPE)

We will be doing our quarterly CAPE updates on The Idea Farm next week at quarter end.     Some other great research we've highlighted on The Idea Farm recently: The Trillion Dollar Mistake with John Del Vecchio Risk Parity and Quality with CXO The 7:00's Report The Time for the Money with Morgan Creek 5 New Asset Classes with SocGen Macro Updates with Cornerstone Inflation expectations and...

Dads Love Dividends

Happy Father's Day to all the dads out there...I'm fishing with mine in Alaska!  Pic below of us in Denali before heading out on the water down near Ninilchik.   If you input your (or Dad's) email here, I'll send him a free ebook to read on dividends. Since my old man grew up in Nebraska on a farm, and loves...