Tuesdays are all about academic (and practitioner) literature at Abnormal Returns. You can check out last week’s links including a look at the dangers of doing backtesting incorrectly.

Quote of the Day

"Investors generally “value” businesses using multiples...Multiples are not valuation."

(Michael Mauboussin)

Chart of the Day

Small cap indices are increasingly made up of companies with negative earnings.

(wisdomtree.com)