Tuesdays are all about academic (and practitioner) literature at Abnormal Returns. You can check out last week’s edition including a look at how box spreads work.
Quote of the Day
"If people really are lazy, short-sighted and inattentive, as behavioural economics suggests, then subscriptions are a hugely attractive business model."
(Tim Harford)
AI
- AI investment models can't explain how they do what they do. (msn.com)
- How JP Morgan Asset Management is rolling out AI tools for its analysts and PMs. (institutionalinvestor.com)
- How AI can be used to parse corporate risk disclosures. (papers.ssrn.com)
Box spreads
- The pros and cons of using box spreads to generate cash-like returns. (morningstar.com)
- How to calculate the cost of borrowing through the options market. (libertystreeteconomics.newyorkfed.org)
Portfolio managers
- Why portfolio managers get fired. (alphaarchitect.com)
- Is there a relationship between manager attractiveness and fund performance? (ft.com)
Work
- Ivy League athletes outperform their classmates when it comes to career outcomes. (papers.ssrn.com)
- Why employees hired in the first year of a startup are so important. (wsj.com)
Global investing
- Do more honest countries outperform? (morningstar.com)
- The case for international value stocks at present. (alphaarchitect.com)
- How war discourse affects stock market returns. (papers.ssrn.com)
Research
- Under what conditions is the stock market more likely to crash. (morningstar.com)
- The case for overlaying managed futures to an equity portfolio. (returnstacked.com)
- Are prediction markets ever going to be a thing? (nytimes.com)
- Don't put much stock in corporate mission statements. (klementoninvesting.substack.com)
- Why conglomerates fail. (blogs.cfainstitute.org)