Quote of the Day
"Not only do we not know when the best, worst, or base case will prevail, there’s always an element of luck in terms of where you are in your investing lifecycle for how these different scenarios will impact your bottom line."
(Ben Carlson)
Chart of the Day

Has Yale’s endowment fund really outperformed on an apples-to-apples basis?
Markets
- S&P is worried that the leveraged loan market is getting frothy. (ft.com)
- The forward P/E ratio on the S&P 500 has come down a decent chunk. (thereformedbroker.com)
- How the stock market performed historically on Friday the 13th. (quantifiableedges.com)
Strategy
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Finance
- Zillow ($Z) is getting into the business of buying/selling homes. (wsj.com)
- Plaid is building the plumbing of the fintech economy. (forbes.com)
- Banks are looking for ways to implement AI-based solutions. (ft.com)
Funds
- The hedge fund industry is losing its star managers. (bloomberg.com)
- Why standard mutual fund holdings don't often represent the true risks of the fund. (morningstar.com)
- Why aren't there more women managing fixed income funds? (bloomberg.com)
Global
- Brexit has been a complete and utter failure for the UK. (mainlymacro.blogspot.com)
- The oil glut is pretty much gone. (wsj.com)
Economy
- Tim Duy, "The economy is in the mature stage of the business cycle while the Fed continues to raise short-term policy rates to contain and cool economic activity, flattening the curve along the way." (bloomberg.com)
- The US is in the midst of the second longest economic expansion. (calculatedriskblog.com)
- The next recession will not look the last one: the case of subprime lending. (theirrelevantinvestor.com)
- There is a big gap in economics education. (bloomberg.com)
Earlier on Abnormal Returns
- Podcast links: podcasting live! (abnormalreturns.com)
- What you missed in our Thursday linkfest. (abnormalreturns.com)
- Startup links: meeting a need. (abnormalreturns.com)
Mixed media
- The research on generational difference is specious. (slate.com)
- Tim Harford, "In statistics, as elsewhere, hard logic and personal impressions work best when they reinforce and correct each other." (ft.com)
- How Ben Falk turned his obsession with basketball statistics into a rabid following and successful website, Cleaning the Glass. (si.com)