Book notes: Joe Tomlinson, “Misbehaving: The Making of Behavioral Economics is a quicker read than Kahneman’s book [Thinking Fast and Slow], but it still provides a wealth of material on a behavioral economics.” (Advisor Perspectives)
Quote of the Day
"Far too much money has been lost by those constantly preparing for and fearing the worst, than simply doing their job to focus on what is actually happening in the market, not what they fear will happen instead."
(Charles Kirk)
Chart of the Day
Even before today the number of new 52-week lows is on the rise.
Markets
- How equity markets react to crises. (disciplinedinvesting.blogspot.com)
- The S&P 500 is working its way towards oversold. (shortsideoflong.com)
- Ten spinoffs are occurring over the next two weeks. (stockspinoffs.com)
- MODERN TRADER Magazine—the essential journal for professional traders and active investors. Special Subscription Offer! (moderntrader.com)
Strategy
- Why do so many investors persist in trying to beat the market? (awealthofcommonsense.com)
- Brett Steenbarger, "The idiot trader has no sense of process. It's all seat of the pants and randomness." (traderfeed.blogspot.com)
- Why so much of professional investing is "socially useless activity." (blog.alphaarchitect.com)
- The trouble with big macro bets. (ritholtz.com)
P2P lending
- How Social Finance became a big student loan provider. (qz.com)
- Online lenders are popping up in new verticals. (wsj.com)
Funds
- Has the rise of bond ETFs masked a bigger illiquidity problem? (ftalphaville.ft.com)
- The mutual fund marketplace is broken. (investmentnews.com)
- Should we expect active managers to outperform emerging market indices? (etf.com)
Grexit
- A Grexit reading round-up. (ftalphaville.ft.com)
- Greece invented finance...and the financial crisis. (thereformedbroker.com)
- Good luck predicting what Greek voters will do. (bloombergview.com)
- The real fear isn't about Greece. (pragcap.com)
Earlier on Abnormal Returns
- Research links: backtesting tales. (abnormalreturns.com)
- What you may have missed in our Sunday linkfest. (abnormalreturns.com)
