As a diversion from the usual politics, using a linear combination of ETFs I was able to construct a ‘Madoff-like’ portfolio, without the whole fraud aspect to it. Here’s what it looks like versus the S&P 500: As a rule, I only used liquid, long-only ETFs and no re-balancing. Here’s Madoff’s actual portfolio just before… Continue reading Constructing a ‘Madoff’ Portfolio

Washington Is Giving Up on Everything A can’t-do spirit is settling over Congress and President Obama, writes a leading political handicapper. I, for one, applaud the do-nothing congress for not doing too much. Let Wall St. self-regulate. The private sector, with the help of the fed, has created more wealth in the past five years… Continue reading The Good News: Washington Is Giving Up on Everything

Another great day for stocks as the S&P 500 and Nasdaq make new yearly highs: The biological determinism bull market and economic expansion rages on, with those unfit to participate being swept under the rug. There’s certainly no secular stagnation in tech as Google, Microsoft, Apple, Intuitive Surgical, and Facebook crush earnings yet again. Where’s… Continue reading The Neoconservative Resurgence

The play was a great success, but the audience was a disaster. (Oscar Wilde) As the S&P 500 closes at another record high, the celebration of wealth and intelligence become the new religion of America. Apple and Chipotle report yet another quarter of blowout earnings. Facebook earnings due tomorrow, which will also be blowout. The… Continue reading Some Thoughts About Future Technologies

Cockroaches Bill Ackman and James Cramer are attacking Herbalife again. Hedge fund manager Bill Ackman said on CNBC today that he would give the “most important” presentation of his career on Tuesday when he unveils an investigation into Herbalife’s nutrition clubs. In December 2012, Ackman, who runs Pershing Square Capital, gave a 342-slide presentation publicly… Continue reading Bill Ackman and Herbalife

The left sorrowfully clings to their cheese in the wake of tectonic economic changes. Incapable of adapting, they complain that they cannot keep their old, economically inefficient way of life, that there is too much debt, that stocks are a bubble, interest rates are not high enough, or not enough good paying jobs are being… Continue reading Some Ideas to Reform Education

Theodore Dalrymple of Taki Magazine wrote an interesting article about investing. A passage that stood out: In this life I entrust my savings, such as they are, to advisers, in the hope that they are not of the Bernie Madoff school of finance and investment; but for all I know, or can be bothered to… Continue reading Some Thoughts on Investing, Investor Exceptionalism, Emerging Markets, Bubbles, and Debt

The ‘Grey Enlightenment’ is similar to the ‘Dark Enlightenment’ in terms of its belief in biological determinism and the social hierarchy or caste system that arises from it, which goes against the welfare liberal ideal of egalitarianism. We differ in that our approach is more descriptive (positive) than prescriptive (normative), as well as taking a… Continue reading Grey Enlightenment vs. Dark Enlightenment

Yesterday, an airplane blew up. Today, it’s the accounts of anyone that shorted the market thinking this was anything but a blip. I wrote that the sell-off would be a good buying opportunity, and sure enough it was. All the major indexes recovered yesterday’s losses. Wealth spreading liberals lose again. It must suck to be… Continue reading Stock Market Surge a Victory for Biological Determinism

Stocks tumble 1.2% and volatility surges 40%! as another Malaysian airplane goes down, allegedly by Ukrainian Rebels. While this turn of events could technically mean I was wrong about Russia not being a big deal, there would have been no way for anyone to have made a profit had they bet against the market or… Continue reading Buy the Dip on Ukraine Fears