My morning reading material, edited in real time (done):

• Inspect the Fees in Your 401(k) (WSJ) see also Americans ‘just not prepared’ to manage their own retirement funds (Washington Post)
Special focus: The Changing Face of Big Money (DealBook)
• JPMorgan illegally let Lehman Bros. count customers’ funds as its own (Washington Post) see also JPMorgan’s practices bring scrutiny (FT)
• Bankers Form SuperPac for ‘Surgical’ Strike at Industry’s Enemies (American Banker)
• Americans brace for next foreclosure wave (Reuters)
• Why the Fed has taken QE3 off the agenda (FT.com) see also The Case Against Fiat Money (WSJ)
• Ex-Con Man Says JOBS Law Makes Guys Like Him Rich (Bloomberg)
• Apple’s iPad tops Consumer Reports’ list despite heat issue (Reuters) see also Project Glass (Google+)
• China’s Bloody Factories: A Problem Bigger than Foxconn (Pulitzer Center)
Now this gets interesting: Anonymous hacks hundreds of Chinese government sites (ZDNet)

What are you reading?

>
Market Chilled by Crisis Sees a Thaw

Source: WSJ

Category: Financial Press

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

14 Responses to “10 Thursday AM Reads”

  1. swag says:

    Free Pussy Riot!

    Amnesty calls on Vladimir Putin to release Pussy Riot immediately

    http://www.guardian.co.uk/music/2012/apr/05/amnesty-vladimir-putin-pussy-riot

  2. RugbyD says:

    Not sure if there was a specific purpose to posting the WSJ graphic on CLOs, but as a side comment they were a securitization product that worked as intended and came out of the crisis in pretty good shape for good reason. (Cash flow deals only. The market value deals got killed, but they were few relative to cash flow deals.)

  3. RW says:

    The JOBS law was not a jobs bill and not what the nation needed: Just another boondoggle and giveaway with some scraps for hoi palloi to make it taste a little better.

    WRT CLO demand, quite a few loans essentially backed by government (“agency” debt) and clearing smoke on the housing/credit battlefield have improved that market and led to increased mREIT formation. The more interesting ones from my POV are those run by (and also serving) business development companies — e.g., AGNC, TWO, MITT, MTGE, etc — someone searching for ways to boost yield in an income portfolio probably wouldn’t be interested in ACAS but the mREIT’s it runs might fit the bill.

  4. machinehead says:

    ‘The rise of the 401(k), dating to the early 1980s, has steadily shifted more financial responsibility onto the shoulders of many Americans who are — let’s face it — clueless.

    “Managing your own money is just horrible,” said Alicia Munnell, “We just don’t know how to do it.”

    This is a huge issue. Enormous strides have been made in portfolio theory. But they have not been put into accessible form, and conveyed to people who now have to manage their own money.

    I’m writing a book on the subject. Some amazingly simple portfolios can produce some amazingly robust results. And I’ve got historical data back to the early 20th century to prove it.

    It’s axiomatic that to extract a return in a low-yield world, one has to relentlessly cut costs. Job #1 is getting Wall Street’s sticky fingers out of your pocket. Ask your broker, ‘Where are the customers’ yachts?’

  5. VennData says:

    Jobless claims fall to lowest since 2008
    http://www.reuters.com/article/2012/04/05/us-jobless-claims-fall-to-lowest-since-2008
    March sales brighten retailers’ profit prospects
    http://www.reuters.com/article/2012/04/05/us-usa-retail-sales
    For those of you who missed the rally, think Obama is a Socialist, think Bernanke is dumb …Here’s your chance to not change your thinking in the face of all the facts.

  6. RugbyD says:

    @RW,

    I should have clarified that I was only referring to CLOs as vehicles for corporate debt investment. I can’t speak to the other stuff you mentioned.

  7. VennData says:

    Family Investment Funds Go Hunting for Wall St. Expertise
    http://dealbook.nytimes.com/2012/04/04/family-investment-funds-go-hunting-for-wall-st-expertise/
    And they will pay these guys, who will in aggregate under perform the market. Create an Asset allocation. Buy, Hold, and Rebalane to it once a year and you will outperform the Family Offices of the world.

  8. RW says:

    @RugbyD,

    I actually didn’t see your comment before I posted mine so I was just noodling around in my own head but thanks for the clarification. I think some of the mREIT’s I mentioned may in fact serve the purpose of debt investment for the BDC that operates them which is another reason I give them a close look; my interests as an investor may, wonder of wonders, actually be aligned with those of management.

    NB: It varies from day to day and post to post but the differences in time between when comment is actually posted and when it appears to visitors on this blog can really be extreme in some cases, even when logged in.

  9. AHodge says:

    http://ftalphaville.ft.com/blog/2012/04/05/950911/the-mystery-of-morgan-stanley%e2%80%99s-footnote-unravels-%e2%80%93-part-2/
    about a $3.4 bio CDS related payment by Govt of Italy to Morgan Stanley.
    to complex to summarize, but essential reading for europe debt geeks

  10. Rube says:

    Venn Data neither of your links worked. I consider myself a moderate conservative. Still, last time the DCCC called and asked me for a donation he accused me of being an “extremist” liberal. He was screaming at me and then hung up. It’s all about the context.

    Our political system being where it is,… what used to be considered moderately conservative is now viewed as “extremely” liberal. Former Reagan economist Bruce Bartlett seems like a very reasonable and sensible man to me,… but he has been thrown out of his party and seems way to the left of Obama.

    I am sad for our country that it has come to this.

    How one does in the stock market, without the benefit of insider information,.. seems like it has little to do with political views. There may be some points in time when one afflicts the other, but not generally.

    The stock market allows us as individuals to change our situation. Politics,… unless you’re someone like the Kochs, Lloyd Blankfein or Jamie Dimon,.. you’re spitting in the wind.

    Here’s what concerns me about your view,… it’s akin to the view that the Koch brothers must be “all knowing” because they are so rich. That is,… your view is akin to the conservative view that wealth confers some magical know how on every subject.

    I don’t believe that ideas should only be valued based on the wealth they accrue.

  11. RW says:

    Crestmont: Stocks ‘Fairly’ Valued, But ‘No Doubt’ Secular Bear Market Intact

    Meant to add this in my previous comment WRT morning reading; link to Ed Easterling’s Quarterly Review of the P/E Ratio is in the article along w/ a link to Shiller’s analysis.

  12. Transor Z says:

    The bankers quoted in the American Banker super PAC article explaining that congress doesn’t care about banks desperately need red hot pokers shoved up their asses.