Quote of the Day
"To summarize, when you sort open-end funds and ETFs based on the volatility of their cash flows, you find that ETFs are more heavily represented (as a percentage of their assets) in the more volatile quintiles than open-end funds."
(Jeff Ptak)
Chart of the Day
Bitcoin (and Ethereum) as a percentage of ETF assets.
Markets
- Retail traders are helping to drive volatility around earnings releases. (sherwood.news)
- Regional banks and biotechs dominate small cap indices. (trendlabs.com)
Crypto
- Wall Street was against crypto, until it was for it. (nytimes.com)
- How Charles Schwab ($SCHW) enter into spot crypto. (riabiz.com)
Meta
Fund management
- Semi-liquid funds come in a lot of different flavors. (morningstar.com)
- There are good reasons for accredited investor rules. (bloomberg.com)
- You can't disrupt things without stepping on some toes. (philbak.substack.com)
- ETFs and open-end funds differ in a material way. (jeffreyptak.substack.com)
Private assets
- Another sign that venture capital has matured as an asset class. (tomtunguz.com)
- Four red flags for private equity funds. (larryswedroe.substack.com)
- Why private equity-owned companies are adopting AI. (tomtunguz.com)
- The NFL looks more like an investment fund than a league these days. (hollywoodreporter.com)
State capitalism
- Why American should avoid the Chinese investment model. (fasterplease.substack.com)
- So many Trump policies raise costs and reduce supply. (theatlantic.com)
- Corporate America is rolling over for the administration. (npr.org)
- Donald Trump now effectively controls the semiconductor industry. (nytimes.com)
Tariffs
- How much money are tariffs bringing in? (npr.org)
- Switzerland seems to be at a bit of a crossroads. (wsj.com)
- The de minimis exemption is dead and buried. (gq.com)
- Can AriZona Ice Tea's value proposition survive tariffs? (nytimes.com)
Economy
- July PPI surprised to the upside. (bonddad.blogspot.com)
- Still no meaningful sign of a pickup in weekly initial unemployment claims. (calculatedriskblog.com)
- Why are initial and continuing claims moving in opposite directions? (bonddad.blogspot.com)
- Container ship counts from China are once again falling. (apolloacademy.com)
- A look at the cast of characters up for Federal Reserve Chairman. (on.ft.com)
Earlier on Abnormal Returns
- Longform links: our brain drain. (abnormalreturns.com)
- What you missed in our Wednesday linkfest. (abnormalreturns.com)
- Personal finance links: fallible and biased. (abnormalreturns.com)
- Everything is disruptable, and even if it isn't, you should act as if it is. (abnormalreturns.com)
- Don't miss a thing! Sign up for our daily e-mail newsletter. (abnormalreturns.com)
Mixed media
- Adam Singer, "True rarity matters when it signals authentic uniqueness, irreplaceable craftsmanship, or ecological scarcity, things that can’t be mass-produced without losing their essence." (hottakes.space)
- A look back at the backlash against the Walkman. (freethink.com)
- Clippers are flooding TikTok and Instagram. (wsj.com)
