The Achilles heel of the endowment investing model:  a “lack of true diversity.”  (WSJ, ibid)

Does the “golden cross” in the S&P 500 provide any sort of edge?  (Trader’s Narrative)

What happens for the rest of the year after the Nasdaq outperforms the Dow though June.  (Bespoke)

What do overpriced options tell us about market performance going forward.  (Daily Options Report)

“In other words, the 3x ETF FAS is no more volatile or has more uncertainty in its stock price now than XLF did during the period from October through April. Tracking error aside, FAS is now effectively the ghost of XLF.”  (VIX and More)

The VIX is hitting post-Lehman lows.  (The Pragmatic Capitalist, Mish, Crossing Wall Street)

Layering on an inflation fear filter to a simple moving average model.  (The Technical Take)

Times are good on Wall Street.   No wonder salaries are going up.  (WSJ, Clusterstock)

Given their immense reach, how much slack should we cut Goldman Sachs (GS)?  (True/Slant)

Sheila Bair, national hero.  (Clusterstock)

“The poor performance of highly rated credit instruments, especially those tied to the subprime mortgage market, is great evidence that there was something deeply wrong with the ratings process.”  (Clusterstock)

Financial products must be made more simple for consumers to understand.”  (Aleph Blog)

The new MacroShares home price securities are by no means simple.  (Bespoke, IndexUniversegreenfaucet)

The rate of decline in the Case-Shiller is slowing.  (Calculated Risk, Free exchange, Clusterstock, Caveman Forecaster)

High equity portfolio weights hurt private pension funds around the world in 2008.  (Economix)

Emerging market savers financed a spending boom by US households.  (Brad Setser)

One sign of good judgment is the ability to make wise decisions when information is incomplete.”  (Falkenblog)

Interviews with Denise Shull and Corey Rosenbloom.  (Wall St. Cheat Sheet, Afraid to Trade)

“Monkeys might not deal in stocks and shares, but they do trade commodities, and now it seems that monkey exchange rates are influenced by supply and demand.”  (New Scientist)

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