Six great lessons learned about your “cognitive toolkit” by Morgan Housel from This Will Make You Smarter: New Scientific Concepts to Improve Your Thinking. (Motley Fool)
Quote of the Day
"I often tell investors that dividends are easily the most important and most overlooked part of investing."
(Eddy Elfenbein)
Markets
- Long-term Treasury bonds outperformed the S&P 500 last year. (allstarcharts.com)
- The $VIX has been more volatile of late but is still not particularly high. (bloomberg.com)
Strategy
- Larry Swedroe, "Investors make mistakes when they take idiosyncratic, diversifiable and uncompensated risks." (etf.com)
- Context helps investors ask the right questions. (blogs.cfainstitute.org)
Companies
- Checking in on the valuation of mortgage REITs and business development companies. (charlessizemore.com)
- NetJets has been a poor performer for Warren Buffett and Berkshire Hathaway ($BRKB). (blogs.wsj.com)
Finance
- Bill Ackman had a huge 2014. (bloomberg.com)
- ValueAct is none too happy with MSCI ($MSCI). (ft.com)
- Goldman Sachs ($GS) thinks JP Morgan ($JPM) should be broken up. (fortune.com)
- What would be lost in a JP Morgan break-up? (ftalphaville.ft.com)
ETFs
- Why managers need to be wary of capacity constraints. (awealthofcommonsense.com)
- Vanguard is set to launch a muni bond index ETF. (blogs.barrons.com)
- Beware risk-averse fund managers. (wsj.com)
- Do you need 'low carbon' ETFs? (wsj.com)
Economy
- The developed world is weaning itself from crude oil. (thereformedbroker.com)
- The December ISM non-manufacturing report was disappointing. (bespokeinvest.com)
Earlier on Abnormal Returns
- Startup links: the year of the undercorn. (abnormalreturns.com)
- What you may have missed in our Monday linkfest. (abnormalreturns.com)
