One definition of “volatile” is “passing off readily in the form of vapor.” Through yesterday, XIV, the exchange-traded security representing a one-day swap from Credit Suisse and offered by VelocityShares, had seen 94% of its value vaporized. It triggered a…
View pageArbitrage Mechanism would be a great name for a rock band. Of course, when bands are named for market terms – Call Option, Factor Model, Shiller PE – the bull market may be ending (let me know if your kid’s…
View pageHere in CO we can count on sun much of the time but we still watch the weather forecast. It would be a real pain to drag the skis out and drive up the mountain only to find the resorts…
View pageThe capital markets are riven with acronyms. One of the first you learn in IR (acronym for investor relations) is “GARP.” Growth at a Reasonable Price. As 2018 begins, GARP is a great way to describe the stock market, just…
View pageIn New York City, it’s beginning to look a lot like Christmas around Rockefeller Center and it feels more like it here than in Denver where we hear yesterday it was 66 degrees (on Dec 12!). In the weather forecast…
View pageIn the past week as stocks jetpacked higher, Passive Investment was 36% of trading volume. The data counter a message Passive managers like Blackrock are propagating: We don’t trade, we just follow stock-pickers. That’s not just untrue. It contradicts basic…
View pageWe’re in New York this week while companies gather in Dallas for the annual NAREIT conference, the association for real estate investment trusts. Real estate is about 3% of the S&P 500. By comparison, Technology is 23%, the largest by…
View pageA picture is worth a thousand words. See the picture here, sparing you a thousand words (for a larger view click here). It explains our rising stock market. Look at the line graphs. Three move up and down, reflecting normal…
View pageWe’ve said many prayers for friends, family and colleagues in Texas and Louisiana and will continue in the wake of Harvey. There’s a lesson from it about stocks today too. Is paying attention to the weather forecast important? The weather…
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