Book recommendation: Hank Paulsen’s Dealing with China: An Insider Unmasks the New Economic Superpower is a “captivating read.” (Reading the Markets also FT)
Quote of the Day
"The sharing economy of early 2015 is no different than the “new economy” of early 2000: It will almost certainly turn out to be a huge boon for businesses and consumers. But it will wipe out investors who think no price is too high to participate."
(Jason Zweig)
Chart of the Day

Over time investors have been overwhelmingly choosing low expense funds.
Markets
- The bull case for US stocks. (howardlindzon.com)
- 15 years between all-time highs is a long time. (jlfmi.tumblr.com)
- One of the worst investment strategies ever. (theirrelevantinvestor.tumblr.com)
- Cash is pouring into four big losers from last year. (etf.com)
Strategy
- There is no such thing as "smart money." (awealthofcommonsense.com)
- This is a master class in gold CEF dynamics. (kiddynamitesworld.com)
- Why investors resist portfolio rebalancing. (vanguardadvisorsblog.com)
- On the benefits of international diversification. (novelinvestor.com)
Companies
- Two companies that Warren Buffett would find interesting for his portfolio. (sumzero.com)
- What is Google ($GOOG) going to do with all its free cash flow? (financialorbit.tumblr.com)
- Why "investing" in biotech stocks takes an iron stomach. (businessinsider.com)
- Amazon ($AMZN) Web Services is a $5 billion business. (buzzfeed.com)
Apple Watch
- The Apple ($AAPL) Watch IS the smartwatch category. (businessinsider.com)
- An in-depth review of the Apple ($AAPL) Watch. (theverge.com)
- The app winners on the wrist will be different than on the phone. (asymco.com)
- Should developers work on Apple ($AAPL) Watch. (bubba.vc)
Finance
- Eric Schmidt just bought a big stake in hedge fund manager DE Shaw. (ft.com)
- There's not much new in the fund management business. (ai-cio.com)
ETFs
- Investors are driving down fund fees, not fund companies. (thereformedbroker.com)
- How target date funds are working out for investors. (bloomberg.com)
- Do you know what is in your unconstrained bond fund? (investmentnews.com)
- ETF statistics for March 2015. (investwithanedge.com)
Economy
- April economic statistics show modest growth. (capitalspectator.com)
- Are first quarter slumps a statistical issue? (nytimes.com)
- 1.5% GDP growth in Q1? (calculatedriskblog.com)
Earlier on Abnormal Returns
- Podcast links: why podcasts are so compelling. (abnormalreturns.com)
- Longform links: a billion dollar business. (abnormalreturns.com)
- What you may have missed in our Wednesday linkfest. (abnormalreturns.com)