From the bookshelf: A new book from William BernsteinRational Expectations: Asset Allocation for Investing Adults, is always worthy of note.

Quote of the day

Tom Brakke, “An investment committee or board member needs to understand the underpinnings of the investment approach, including its bedrock assumptions that are so pervasive that they often don’t get discussed.”   (the research puzzle)

Chart of the day


Fear has quickly to turned to greed.  (CNN)


The world’s stock markets are overbought.  (Bespoke)

REITs are on fire.  (Bespoke)

About that coffee shortage.  (MoneyBeat)

On the continued underperformance of trendfollowing managed futures funds.  (CNBC)


How to avoid value traps.  (Aleph Blog)

Why you need to understand what you know and more importantly what you don’t know.  (Andrew Thrasher)

Meb Faber, “The biggest failing of market-cap-weighted buy-and-hold investing is that it ignores valuations.”  (Advisor Perspectives)

Is the “Sell in May” phenomenon already diminished? (SSRN)


Apple ($AAPL) needed to forget, in part, its past.  (stratechery)

The “Apple doesn’t get the cloud era” is over.  (Quartz)


Michael Santoli, “Technology, not finance, is now the source of riches, prestige and material for cable-TV shows.”   (Daily Ticker)

The SEC is going to increase the oversight of high-speed trading.  (Dealbook, WSJ)

What is the future of the exchange business model?  (Points and Figures)

Shareholders are voting against golden parachutes.  (WSJ)

Why corporate treasurers are so reluctant to put money to work.  (FT also Quartz)


Are mutual funds sitting ducks?  (Alpha Architect)

Are merger arbitrage funds worth it?  (research puzzle pix)


Why investors are once again hot on emerging market bonds.  (Institutional Investor)


The May non-farm payrolls report shows US employment is back at its highs.  (Calculated Risk, Vox, Quartz, The Upshot, FiveThirtyEight, Capital Spectator, Bonddad Blog)

Lawrence Summers positively review by House of Debt: How They (and You) Caused the Great Recession, and How We Can Prevent It from Happening Again by Atif Mian and Amir Sufi. (FT)

Earlier on Abnormal Returns

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

Mixed media

The robots are coming, the robots are coming!  (FT)

The online security problem is only going to get worse.  (TechCrunch)

Maybe what Detroit needs more goat herders.  (Dealbook)

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

This content, which contains security-related opinions and/or information, is provided for informational purposes only and should not be relied upon in any manner as professional advice, or an endorsement of any practices, products or services. There can be no guarantees or assurances that the views expressed here will be applicable for any particular facts or circumstances, and should not be relied upon in any manner. You should consult your own advisers as to legal, business, tax, and other related matters concerning any investment.

The commentary in this “post” (including any related blog, podcasts, videos, and social media) reflects the personal opinions, viewpoints, and analyses of the Ritholtz Wealth Management employees providing such comments, and should not be regarded the views of Ritholtz Wealth Management LLC. or its respective affiliates or as a description of advisory services provided by Ritholtz Wealth Management or performance returns of any Ritholtz Wealth Management Investments client.

References to any securities or digital assets, or performance data, are for illustrative purposes only and do not constitute an investment recommendation or offer to provide investment advisory services. Charts and graphs provided within are for informational purposes solely and should not be relied upon when making any investment decision. Past performance is not indicative of future results. The content speaks only as of the date indicated. Any projections, estimates, forecasts, targets, prospects, and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others.

Please see disclosures here.

Please see the Terms & Conditions page for a full disclaimer.