Indexing – The Media Catches up with 1932

If you read the financial media, you’ll bump into coverage of the benefits of index funds or passive funds.

They always make it sound like it is a major breakthrough.  ALERT: We have found some evidence that index funds do better than your expert investment manager.

In other words, the experts, to whom you might pay a lot of money to manage your assets, generally do worse than the simple averages.

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Fama and Shiller on Financial Bubbles

NPR interviewed Fama and Shiller on financial bubbles.

This is fairly well done and worth a listen. Generally the financial media completely screws up stories and interviews, but this one actually gets down to the real subject at hand.

You can listen by clicking here.

Notice that Shiller dances around when he is asked direct questions about how to define a bubble. He still can’t really do it.

My favorite quote from ...

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Consolidation and Shrinking in Financial Markets

Here is an article about the “shrinking” equity market.

The only point Michael Santoli is missing is the underlying reason that all of this is happening.  There are a lot of explanations out there. “Corportations are awash in cash,” there is a “Buyback binge,” etc. etc. but these just tell what is happening. They don’t dig into why it is happening.

As I have written so many times before – ...

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Digital Gold is not Gold, By Definitioin

The Bitcoin phenomenon continues. Apparently Ron Paul has stated it could “destroy the dollar.” I don’t put too much credibility into media reported. You’d think a quote, by definition, is exactly what someone said. Not so with the media. They have an amazing ability to make up quotes.

Regardless of what Ron Paul said or did not say, there are other out there who definitely do believe Bitcoin ...

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