Quote of the day

James Weatherall, “We should fear models only insofar as we are able to forget that we are using them at all. That is when it is easiest to lose sight of where the simplifications end and the real world begins.”  (FT)

Chart of the day

Now is the time for emerging markets to strut their stuff.  (All Star Charts also Bespoke)

Markets

Just how long can we expect to stay in a low volatility regime?  (Adam Warner)

Hedge fund leverage is at 52-week highs.  (aiCIO)

What if the stock market were a bond?  (Crossing Wall Street)

Just how much is your pursuit of alpha costing your portfolio?  (Big Picture)

Companies

Five stocks that look like better bets than Heinz ($HNZ).  (Long Short)

How much longer can the domestic airline industry shrink?  (The Daily Beast)

Just how big a deal is the fact that Apple ($AAPL) won’t be able to produce a ‘phablet’ until 2014?  (SAI)

Did Buffett overpay for Heinz?  (Term Sheet contra Vitaily Katsenelson)

Hedge fund follies

What is Carl Icahn’s game with HerbaLife ($HLF)?  (Kid Dynamite, Dealbreaker)

You can’t tell the players without a scorecard.  (ChartGirl)

When hedge funds trade on ego the fundamentals go out the door.  (The Reformed Broker)

Finance

More signs that a new M&A boom is here.  (Dealbook, WSJ, Time contra Reuters)

How higher costs and fee pressures will hurt small hedge funds.  (All About Alpha)

A profile of the guy who is managing George Soros’ billions.  (WSJ)

The bank loan pool is becoming increasingly cov-lite.  (FT Alphaville)

Global

Quite a day to start trading for the Moscow stock exchange.  (Dealbook)

Australian equities look expensive.  (iShares Blog)

Economy

Still little sign of a recession in these indicators.  (Capital Spectator)

Does industrial production point towards recession?  (Bonddad Blog)

Mixed media

Leased solar panels are becoming a big business.  (WSJ)

Airport-based auto sharing could soon be a thing.  (Pando Daily, AllThingsD)

Why are some home borrowers not taking advantage of lower mortgage rates?  (Term Sheet)

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