The article below is an excellent depiction of the disconnect in investors minds between the perceived “safety” of bonds, and the actual risks defined as the permanent losses of capital should interest rates rise.  Treasury bonds are absolutely terrible investments at these prices and so are many of the corporate and municipal bonds that investors...Read More

This was a truly excellent publication put out by the Columbia School of Business students.  Particularly insightful are the interviews with Joel Greenblatt, and the investment team at Loews.  If you take the time to read it you won’t be disappointed. http://www4.gsb.columbia.edu/filemgr?&file_id=7312109 INVESTING IN THE FINANCIAL MARKETS INVOLVES RISKS. OPTIONS ARE NOT SUITABLE FOR ALL...Read More

As if there wasn’t enough evidence of how ridiculous the regulatory environment has gotten, the below WSJ article describes how the Federal Reserve won’t share their formulas for the stress tests.  This process is so complicated and there is so much information that it is virtually impossible for any one formula to be right, but...Read More