How Much Should We Trust Economics?
I was in the process of writing a piece on this very subject.As luck would have it someone has done a much better job.
Have You Ever Wondered Why Fund Managers Do So Badly?
If so here is your answer. I snipped this out of a conversation going on in the Mentor Program Alumni forum and as is my habit whenever someone makes a bold pronouncement regarding something like stops I like to dig a little deeper. On Baskin financials website they boast the following performance. At first glance…
DetailsAre Short Sellers Positive Feedback Traders? Evidence from the Global Financial Crisis
During the recent global financial crisis, regulators, politicians and high-profile media coverage blamed short sellers for amplifying stock market downturns. Regulatory authorities in a number of countries imposed short-sale constraints aimed at preventing excessive stock market declines. This paper examines bans on selected financial stocks in six countries during the 2008-2009 global financial crisis. These…
DetailsAmerica’s Health Disadvantage
This fascinates me and seems to be a valuable window into the values of a country. I still cannot wrap my head around the ludicrous arguments against universal health care other than to offer the opinion that the more conservative you are the dumber you seem to be. Image compliments of Master of Science in…
DetailsJohn Paulson And Gold
I am not really much of a contrarian. You cant be when you are a trend follower and whilst I take mild amusement from magazine covers trumpeting that housing is the best investment in the universe in 2007 only to see housing end up in the toilet. It is not a strategy I find compelling…
DetailsResources Boom?
Last night I caught a snippet on Woodside calling it quits on a prject in WA. Ordinarily this wouldn’t worry me but I was intrigued by all the crap speak that surrounded the event. So I went in search of what was actually happening. – Woodside Petroleum Ltd. has decided against using the Western Australian…
DetailsIntroduction To Backtesting Metrics Part 2
Kora Reddy of asxiq is back as a guest contributer with part two of his introduction to backtesting metrics. It follows on from Part One which can be found here. Payoff ratio (Ratio avg win/avg loss): Payoff ratio is the system’s average profit in Dollar terms per winning trade, divided by the average loss in Dollar…
Details76% Of All Statistics Are Made Up
Whilst heading to the gym this morning I heard on the radio that police had seized 280 kilogram of methamphetamine with a street value of $205 million. Apart from thinking I was in the wrong business I thought bullshit. The reason I said bullshit was simply the result of a quick bit of mental arithmetic,…
DetailsStock Sweet Sixteen
Apparently the image below has been doing the rounds as the drivers of US stocks. To which I say…. Simply because it ignores the overriding issue of our perceptual driver. The thing in control of all markets is our own tiny brain and the silly things it does.
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