My afternoon train reading

• Jeremy Grantham: The Fed is killing the recovery (Fortune)
• Luck and Skill Untangled: The Science of Success (Wired)
Shiller: The Global Economy’s Tale Risks (Project Syndicate)
• The article that got Doug Kass banned from FinTV: CNBC cheerleaders (NY Post)
• History of Money (Millenial Invest)
• Author Elizabeth Kolbert talks to Ezra Klein about a possible sixth mass extinction (Vox)
• Wind Industry’s New Technologies Are Helping It Compete on Price (NY Times)
• NYC Is America’s Dirtiest City, Says Magazine That Belongs In The Trash (Gothamist)
• Meet Cloak, the ‘antisocial’ network that helps you avoid people (The Style Blog)
• Jackson Brings Sun Tzu With Nietzsche for Knicks Melo Drama (Bloomberg)

What are you reading?



Levels of Income Inequality as Measured by the Gini Coefficient & S90/S10 Ratio

Source: Barclays


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.

10 Responses to “10 Monday PM Reads”

  1. willid3 says:

    i always thought that global climate change was a threat to humans, not the planet. and its not like some thing like it hasn’t happened before, with disastrous consequences. i just doubt we will do any thing about until we are absolutely forced to.

    • mdanda says:

      Yep, disaster must occur before change can begin. Foolish to think otherwise. It’s just how people in societies are wired.

  2. CD4P says:

    Sorry to hear Doug Kass got put on timeout. Maybe he ought to start his own financial news network and then sell it off to Rupert Murdoch for $12.7 billion?

    • VennData says:

      Now if CNBC would see how Rick Santelli is irked by all their cheer leading since DOW 666, maybe they’d can his reversed indicator ass too.

  3. Singmaster says:

    It appears James Fallows agrees with your about CNN and MH370.
    “Thus it is natural that CNN, in particular, has gone wall-to-wall with coverage even on days with no development resembling actual news. This is the war-style coverage that gave CNN its start, applied to a different situation.”

    • Bob is still unemployed   says:

      > This is the war-style coverage that gave CNN its start

      The problem plaguing CNN with that approach is that currently 24/7 news networks are not the sole source of current information about new events. Back when CNN was making its name, the Internet was not available at the retail residential level. Now, however, the Internet is available at the retail residential level, and the Internet provides many sources of 24/7 news, many (most?) of which can be browsed and ingested at a rate enjoyed by the consumer.

      The means that consumers use to access news have changed drastically since CNN was in its start-up mode. If CNN thinks that it can return to glory by applying its old start-up tactics in a very different game, the results will not be good.

  4. Michael G says:

    Is the average active manager really quite good?

    A wonderful article by Arbesman/Mauboussin on luck and skill, which mentioned the old problem that individual investors do worse than active managers, and active managers do worse than trackers.

    I have always used UK Investment trusts (closed-end mutuals) rather than OEICs (open-end mutuals) and regarded the investment trust discount as a free lunch. But Investment Trusts are coming under increased pressure to “manage discounts”, to buy back shares when the discount rises, and to sell shares when when the price rises above net asset value. I was delighted to read an article on FE Trustnet, which articulated my dislike of this practice. Closed end fund discounts and premiums are there for a reason.

    For an investment trust, this is giving up good sense for the standard practice of buying high and selling low. But this is what an open-end mutual fund does all the time. The best active manager in the world has to buy when the area is in fashion and prices are too high. Then they have to sell when the area goes out of fashion and bargains are just starting to appear.

    I used to be a pension fund trustee and I don’t think pension funds or other institutional investors are any smarter than the man in the street.

    If active managers do better than the man in the street, despite being forced to trade at the wrong time, it may be a truer test of their ability than failing to beat a tracker.

  5. winstongator says:

    Do people still watch CNBC?

  6. VennData says:

    Grantham’s quote says it all, “..I don’t like to get into the details…”