If I were one of these crazy hedge fund guys, with the slick haircuts and fancy shoes and racing stripe shirts, the trade I’d put on is 10-times-leveraged natural gas long versus 10-times short Apple. ~ Jeffrey Gundlach, April 26, 2012 The quote above is from the latest presentation given by DoubleLine’s Jeffrey Gundlach. For…
Tag Archive: sovereign debt
20 Cents from November and December 2011
I missed posting the November 2011 edition of 20 Cents due to my short blogging sabbatical, so I’m combining some highlights from November and December here. There are a few bonus links in there too. Enjoy! 1. Let’s get things started with 3 great articles courtesy of Barry Ritholtz at The Big Picture. Barry calls…
What Happened to the Euro Deal Euphoria?
Illusions commend themselves to us because they save us pain and allow us to enjoy pleasure instead. We must therefore accept it without complaint when they sometimes collide with a bit of reality against which they are dashed to pieces. ~ Sigmund Freud November started out much the same as October. Global markets plunged. By…
Another Bear Market: Is It Time to Buy?
Every exit is an entrance somewhere else. ~Tom Stoppard So the markets have really taken it on the chin lately. I read a blog post via Twitter a week ago that said it was a great time to be greedy. It was widely retweeted by many in the personal finance blogosphere. It’s just the kind…
5 Economic Trends Affecting Your Money
Growth for the sake of growth is the ideology of the cancer cell. ~Edward Abbey Although I visit the grocery store at least once a week, lately I’ve had the feeling that I’m in a different place – and that’s not just because we recently moved. I sometimes can’t believe the prices I’m seeing on…
Too Much Principal and Not Enough Principle
Wisdom is knowing what to do next; virtue is doing it. ~David Star Jordan It’s funny how rather complex issues can sometimes become a little more clear by accident. One of the spelling riddles I sometimes come across when I’m writing is the difference between principal and principle. Unlike other words like favourite and favorite,…
History Only Rhymes
Poetry is nearer to vital truth than history. ~Plato In our recent discussions about the Couch Potato style of investing, I mentioned that this strategy relies on historical market returns. I pointed out that including a component that reflects valuations might improve the strategy. This is basically the Valuation Informed Indexing approach about which Rob…
What Happens Monday?
It was widely rumoured around trading desks on Friday that S&P would downgrade the U.S. credit rating, stripping its coveted AAA status. Many dismissed the rumour. After the markets closed, it happened. Now what? I have no idea what will happen when markets open tomorrow morning. It seems like there’s a pretty good chance of…
