Friday, June 9, 2017

Financial Markets Trading




"Trees do not grow to the sky, credit costs are never really negative, and
last we looked, Fed chairs cannot fly through the air or spin straw into
gold."




"88% of inflation is driven by only three areas: healthcare, education + construction."  
- Marc Andreessen at

Sunday, June 4, 2017

Reading for Investors

Balancing the Books

Summer Reading for Investors

Nine must-read investment books selected by a wide range of Wall Street thinkers.

Updated May 27, 2017 
 
 
Robert Connolly for Barron's
 
Barron’s asked eight notable investment professionals to recommend books that they think all investors should read—and why. The picks include a prescient 100-year-old book on investor psychology, an out-of-print classic on value investing, two Warren Buffett–related tomes, and two books on index investing.


Abby Joseph Cohen
Senior investment strategist and president of Global Markets Institute, Goldman Sachs, and Barron’s Roundtable member

Against the Gods: The Remarkable Story of Risk, by Peter L. Bernstein

“This book has a permanent place on my physical bookshelf. A classic work, it puts modern portfolio theory and sophisticated options pricing in proper historical perspective. Bernstein shows that much of the pioneering work in today’s understanding of risk, both its measurement and management, began about eight centuries ago.”


Martin Fridson
Chief investment officer, Lehmann, Livian, Fridson Advisors, and co-author of Financial Statement Analysis: A Practitioner’s Guide
 
Margin of Safety: Risk-Averse Value Investing Strategies for the Thoughtful Investor, by Seth A. Klarman

“The positive message of Margin of Safety is that forces such as regulation and institutional investors’ behavioral quirks churn up excellent value for patient, painstaking investors. Klarman presents case histories involving securities that were priced too low—and not only in hindsight—offering credible explanations for those market inefficiencies. Most valuably, he points readers to the sources of future bargains, highlighting 
such categories as complex securities, rights offerings, spinoffs, and financially distressed companies.”
 
Out of print; lowest price on Amazon.com: $902.60.

 
Jon Hartsel
Portfolio manager, Donald Smith & Co.

Buffett: The Making of an American Capitalist, by Roger Lowenstein

“I’m far from being a Warren Buffett acolyte, but this book is the reason I attended Columbia Business School and entered this profession. It’s one-half fascinating biography and one-half methodical examination of value investing through the lens of Buffett’s evolution from ‘cigar butt’ investor, as Buffett called it, to purchaser of quality businesses.”


Burton Malkiel
Professor of economics emeritus; senior economist, Princeton University; and author of A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing
 
Bogle on Mutual Funds: New Perspectives for the Intelligent Investor, by John C. Bogle

“A succinct and readable guide to help investors implement an intelligent investment program using indexed mutual funds.” 


Mohnish Pabrai
Founder and managing partner, Pabrai Investment Funds

Poor Charlie’s Almanack: The Wit and Wisdom of Charles T. Munger, a collection of speeches and talks by Charlie Munger, vice chairman of Berkshire Hathaway

“I try to reread it every year, and each time I could swear I read stuff I have never read before. Just ‘The Psychology of Human Misjudgment’ speech in the book has multiple lifetimes of wisdom. It’s better than several college degrees.”


Meryl Witmer
General partner, Eagle Capital Partners; Barron’s Roundtable member; and board member, Berkshire Hathaway

The Intelligent Investor: The Definitive Book on Value Investing, by Benjamin Graham. 

The Money Masters, by John Train

“These two books, read during the summer of 1983, changed the direction of my professional life. In those days, the efficient market theory was all the rage, so I was more interested in getting into less-efficient markets like real estate. Reading The Money Masters, I was thrilled to learn how investors like Buffett and Phil Fisher could find companies that trade for a significant discount to their intrinsic value.”


Ed Yardeni
President, Yardeni Research

The Man Who Knew: The Life and Times of Alan Greenspan, by Sebastian Mallaby 

“Mallaby covers a lot of ground, since Greenspan was chairman of the Council of Economic Advisors from Sept. 4, 1974, to Jan. 20, 1977, and Fed chair from Aug. 11, 1987, to Jan. 31, 2006. There’s plenty for investors to learn about how policy makers influence financial markets, and how these markets affect their decision-making.”


Felix Zulauf
President, Zulauf Asset Management, and Barron’s Roundtable member

One-Way Pockets: The Book of Books on Wall Street Speculation, by Don Guyon

“Based on research into the behavior of clients of a Wall Street brokerage firm, the author shows how mass psychology can help drive a stock up as well as down. We learn that investor psychology goes through different stages, from fear and desperation at a market bottom to greed and complacency at a top. In today’s markets, mass psychology plays a role in price trends to a greater degree than is commonly thought. That’s why I find Guyon’s framework to be useful in analyzing market cycles.”

First published in 1917, One-Way Pockets is still in print. 


People are not afraid of failure, they are afraid of blame. —Seth Godin



Source: http://www.barrons.com/articles/summer-beach-reading-for-investors-1495858880?mod=bol-social-tw




Friday, May 26, 2017

"Sasha" Shulgin: Rediscovering MDMA

Shulgin sasha 2011 hanna jon.jpg










Alexander Shulgin

Alexander and Ann Shulgin at book signing in Oakland, CA in December 2011
Born Alexander Theodore Shulgin
June 17, 1925
Berkeley, California, US
Died June 2, 2014 (aged 88)
Lafayette, California
Citizenship United States
Fields Chemistry, psychology, philosophy, biology
Institutions
Alma mater
Known for
Notable awards
DEA Awards (numerous)
Spouses Nina Shulgin (deceased)
Ann Shulgin
Children Theodore (Ted) A. Shulgin (died of cancer May 15, 2011)[1]
Alexander Theodore "Sasha" Shulgin (June 17, 1925 – June 2, 2014) was an American medicinal chemist, biochemist, organic chemist, pharmacologist, psychopharmacologist, and author. He is credited with introducing MDMA (ecstasy) to psychologists in the late 1970s for psychopharmaceutical use and for the discovery, synthesis and personal bioassay of over 230 psychoactive compounds for their psychedelic and entactogenic potential.




 Source: https://en.wikipedia.org/wiki/Alexander_Shulgin


Tuesday, May 9, 2017

Say No more often than Yes

Photo published for Steve Jobs: The Focus to Say No  

"Every decision that comes up, we just try to figure out the most logical thing to do at that time." — Warren Buffett




Links: Top Financial Websites Across The Globe


Below are some of our favorite sites. There are hundreds of great sites out there and we almost certainly missed some fantastic ones so see a name missing? Feel free to send suggestion to jacob(@)valuewalk.com – Please only send ‘legit’ and applicable websites – if this is advertising related see our advertising page – all other emails will be marked as spam and deleted.

Note: No particular order whatsoever
  1. Value Investing World
  2. Acting Man
  3. Moat Investing
  4. Deal Breaker
  5. DIY Stock Investor
  6. Deep Value Investments
  7. The Southern Investigative Reporting Foundation
  8. The Odd Lot
  9. Cracker Jack Investing
  10. The Daily Reckoning 
  11. Sense on Cents
  12. The Short Side Of Long
  13. Best Broker Deals
  14. Value Investing Journey
  15. Expecting Value
  16. Ragnar is a Pirate
  17.  Lunda loupe (Great value site in Swedish)
  18. Greg Speicher
  19. Reminiscences of a Stockblogger
  20. Money Beat
  21. Oddball Stocks
  22. e Wall Streeter
  23. AAAMP Blog
  24. Zero Hedge
  25. DealBook
  26. I Heart Wall Street
  27. Moatology
  28. DShort
  29. MarketFolly
  30. Turnkey Analyst
  31. Variant Perception
  32. Cliff Kule Notes
  33. CSInvesting
  34. WexBoy
  35. A Dash of Insight
  36. valueandopportunity
  37. Crossing Wall Street
  38. Capital Observer
  39. Stock Spinoffs
  40. The Brooklyn Investor
  41. Distressed Debt Investing
  42. Abnormal Returns
  43. Above Average Odds
  44. Pmjar
  45. Harvest
  46. Base Hit Investing
  47. IRD
  48. Merrill Over Matter
  49. Streeteye
  50. Tom Friedman
  51. The Reformed Broker
  52. Mebane Faber
  53. Footnoted.org
  54. Corner of Berkshire
  55. Aleph Blog
  56. Bargain UK
  57. Buysiders.com
  58. Distressed Debt Investing
  59. Manual of Ideas
  60. Reddit/Security Analysis
  61. PragCap
  62. Bidness ETC
  63. Shadow Stock
  64. Whopper Investments
  65. Me vs. EMT
  66. Distressed Volatility 
  67. Greenbackd
  68. Capitalist Exploits
  69. Manual of Ideas
  70. Old School Value
  71. Investing Sidekick
  72. Strictly Financial 
  73. I Heart Wall Street
  74. Investing Caffeine 
  75. UK Value Investor
  76. Zach Kouwe  




Source: http://www.valuewalk.com/links/