Quote of the day

Patrick O’Shaughnessy, “History teaches us that we should avoid lottery stocks like the plague.  Just like the actual lottery, the probabilities of a big payoff are just too low.”  (Millenial Invest)

Chart of the day

Twitter ($TWTR) execs (and big shareholders) have pledged not to sell shares on the initial unlock. (Recode, Dealbook)

Video of the day

Rob Arnott defends fundamental indexing with Consuelo Mack.  (Wealthtrack)

Markets

2014 has been the inverse of 2013.  (Pension Partners)

There is no shortage of excuses for why the stock market has corrected.  (Barry Ritholtz)

Hedge funds have dumped their high growth/valuation names.  (Business Insider)

Investors are deleveraging.  (Investing with Options)

Why value should continue to outperform.  (MoneyBeat)

Why a correction is not all that surprising.  (Humble Student)

The Treasury rally is likely to run out of steam.  (Sober Look)

Investors are hedging their bets.  (FT Alphaville)

Strategy

On the use of dividend stocks for retirement income.  (Jonathan Clements)

Let go of your sunk costs.  (A Wealth of Common Sense)

Companies

Many startups are taking money they don’t need right now, but VCs are offering.  (NYTimes)

What is Yahoo ($YHOO) going to do in the TV game?  (NYTimes)

Some shareholders are urging Walgreens ($WAG) to move overseas.  (FT, 24/7 Wall St.)

The cable overlords are keeping the US in the Internet dark ages.  (FT)

Deal talk

TIAA-CREF to purchase Nuveen Investments.  (Bloomberg, WSJ)

Doing the math on the Nuveen deal.  (Felix Salmon, Term Sheet)

ETFs

What a hedge fund failure looks like.  (All About Alpha)

Smart beta investors need to understand the risks they are taking.  (ETF, FT)

How much fund companies pay for ‘shelf space‘ at the big brokers.  (Barron’s)

Economy

Retail sales were strong in March.  (Calculated Risk)

Is the Great Moderation back?  (Gavyn Davies)

The Tesla ($TSLA) kerfuffle is just another example of misplaced regulation.  (James Surowiecki)

Forecasters have a hard time calling turns in the economy.  (voxEU)

Where your tax dollars go.  (Vox)

Earlier on Abnormal Returns

What you may have missed in our Sunday linkfest.  (Abnormal Returns)

Mixed media

In praise of a regular workday.  (FT)

Why you should never read the comments.  (Priceonomics Blog)

The next steps for bring the StockTwits vibe to the physical world.  (Howard Lindzon)

You can support Abnormal Returns by shopping at Amazon. Don’t forget to follow us on StockTwits and Twitter.