Quote of the day
Morgan Housel, “I love investing because there is no such thing as normal. At every moment the market is in one of six distinct moods: Obliviousness, denial, self-righteous gloating, paranoia, and stark-raving lunacy. This also keeps things exciting.” (Motley Fool)
Chart of the day

Don’t buy into the hype of ‘peak chocolate.’ (MoneyBeat)
Research
The challenges that come with working with price/book value data. (James O’Shaughnessy)
Weren’t stock markets supposed to be highly correlated by now? (A Wealth of Common Sense)
Does global diversification destroy value? (SSRN)
When is the best time to release bad earnings data? (Quartz)
When manager tenure doesn’t matter: systematic strategies. (Systematic Relative Strength)
Behavior
Being aware of your cognitive errors is a start, but only a start, to avoiding investment errors. (Barry Ritholtz)
Why your goal should be to make “less-bad decisions.” (Dynamic Hedge)
Luck matters but so does your reaction to it. (Adam Grimes)
Companies
Why do we still pretend that stock options are not a real expense? (Fortune)
Always be wary when a public company goes after its detractors. (Herb Greenberg)
Activists are now pushing back against seemingly successful companies. (Dealbook)
Finance
Can millionaires really fend for themselves? (The Reformed Broker)
Why no one should be surprised by the woes facing private REITs. (Enterprising Investor)
Private equity: there’s a fee for that. (WSJ)
Institutional
Institutional investors increasingly are turning to big data startups for unique insights. (WSJ)
Another example of why restrictions on short-selling don’t work. (FT)
IEX, of Flash Boys fame, continues to gain traction among traders. (MoneyBeat)
Funds
The huge “asymmetric information problem” facing investors. (Noah Smith)
A closer look at the ValueShares US Quantitative Value ($QVAL). (Morningstar)
Target date maturity bond ETFs are working as planned. (InvestmentNews)
George Soros just put $500 million to work with Bill Gross. (WSJ)
Global
China has joined the global rate cutting club. (Bloomberg)
Are we overestimating market liquidity? (FT Alphaville)
Also on Abnormal Returns
Podcast Friday is up with a look at the growth in the medium. (Abnormal Returns)
A perfect example of the behavior gap at work. (Abnormal Returns)
What you might have missed in our Thursday linkfest. (Abnormal Returns)
Mixed media
Why do we all keep working so darn hard? (Vox)
Why a television network should buy the now bankrupt Aereo? (Time)
Google ($GOOG) really wants you to buy a Chromebook. (Business Insider)
The Apple iPad Air 2 is the best tablet you can buy. (The Verge)
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