tag:blogger.com,1999:blog-5880610.post1021321642969742183..comments2024-01-13T18:57:18.243-05:00Comments on Information Processing: Capital and Human CapitalSteve Hsuhttp://www.blogger.com/profile/02428333897272913660noreply@blogger.comBlogger15125tag:blogger.com,1999:blog-5880610.post-31158698364180750972013-11-16T18:44:55.880-05:002013-11-16T18:44:55.880-05:00You're repeating yourself once again. And quo...You're repeating yourself once again. And quoting yourself as you do here is a psychopathology just like your alternate profiles are.oregonlocalhttp://www.youtube.com/watch?v=RRh0QiXyZSknoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-23688785680148362482013-11-15T18:25:35.927-05:002013-11-15T18:25:35.927-05:00i'm sure at this point you're senile.
&qu...i'm sure at this point you're senile.<br /><br />"too bad you missed your calling. you could have made billions as a hedge fund manager."Diogenesnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-78735479691687870342013-11-15T15:31:39.348-05:002013-11-15T15:31:39.348-05:00How so. All I did was save my money and invest it...How so. All I did was save my money and invest it wisely. Fund managers only invest in financial instruments and there are many rules limiting most mutual funds to small percentages in any one stock. Do you think that the multitudes of wealthy people in the US are only involved in the stock market or have to follow mutual fund rules?<br /><br /><br />And yes, I guess I am smarter than all oregonlocalhttp://www.youtube.com/watch?v=RRh0QiXyZSknoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-71954164294854151552013-11-14T18:56:11.487-05:002013-11-14T18:56:11.487-05:00"And my millions in capital exists by smart i..."And my millions in capital exists by smart investment of that income"<br /><br /><br />then you're smarter than all those guys at ltcm. too bad you missed your calling. you could have made billions as a hedge fund manager.Diogenesnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-12725813526210890912013-11-14T13:09:52.293-05:002013-11-14T13:09:52.293-05:00"then why do you run a balanced portfolio?&qu..."then why do you run a balanced portfolio?"<br /><br /><br />Capital preservation mostly. Plus rebalancing realizes profits where they exist and forces a buy low-sell high strategy.oregonlocalnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-25703690664803517212013-11-14T13:02:49.903-05:002013-11-14T13:02:49.903-05:00And my millions in capital by smart investment of ...And my millions in capital by smart investment of that income. BTW, how is that dead end job of your working out?oregonlocalnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-22294849189425498172013-11-13T22:25:25.712-05:002013-11-13T22:25:25.712-05:00"you are totally wrong about bonds"?
th..."you are totally wrong about bonds"?<br /><br />then why do you run a balanced portfolio?<br /><br />they were a long term short in japan 20 years ago too!<br /><br />"That's why I'm rich and you are not...You know nothing about money."<br /><br /><br />you're not even bougeois. your md like income you made by the sweat of your brow.Diogenesnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-77476972567876988062013-11-13T21:35:13.980-05:002013-11-13T21:35:13.980-05:00You'll be happy to know I've run a balance...You'll be happy to know I've run a balanced portfolio since the 1980's. That's why I'm rich and you are not.oregonlocalnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-15171477786872275712013-11-12T23:35:21.121-05:002013-11-12T23:35:21.121-05:00BUT the rocket scientist have no understanding of ...BUT the rocket scientist have no understanding of accounting or business and their usefulness is limited to ultra high frequency trading, derivatives pricing, and portfolio optimization.<br /><br /><br />buffet said, "risk comes from not knowing what you're doing." but the rocket scientists think of investments risk in the same way they think of the "irreducibly" random &Diogenesnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-38807259100386108022013-11-12T15:08:51.962-05:002013-11-12T15:08:51.962-05:00AmenAmenBobdisqusnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-59926145411010748832013-11-12T05:54:14.276-05:002013-11-12T05:54:14.276-05:00MBAs who go into portfolio management don't no...MBAs who go into portfolio management don't normally learn anything beyond the four factor model. I'm not sure what the R^2 is for the four factor model, but it's about .95 for the three factor model vs. a portfolio of stocks. The smart MBAs just use one of those models to construct a portfolio with a particular risk-reward profile. Most MBAs aren't very inquisitive so I wouldn&#Corneliusnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-54999188817478060572013-11-11T23:07:28.336-05:002013-11-11T23:07:28.336-05:00From page 11 of the paper: "Moreover, the an...From page 11 of the paper: "Moreover, the analyses focus on actively managed products; accordingly, we exclude index products." Guess that it wasn't important to see how the PhD is doing against Mr. Market. You'd think the authors (all from schools selling PhD degrees) could have mentioned that, but why include critical information? Pun intended.Kenutonoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-70463619677233021922013-11-11T21:41:06.960-05:002013-11-11T21:41:06.960-05:00sounds like ressentiment to me.sounds like ressentiment to me.Diogenesnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-10676450658920331562013-11-11T21:39:34.516-05:002013-11-11T21:39:34.516-05:00so the oracle of omaha was wrong.
he said (i par...so the oracle of omaha was wrong.<br /><br /><br />he said (i paraphrase), "the investments game isn't one where the guy with a 160 iq beats the guy with a 130 iq."Diogenesnoreply@blogger.comtag:blogger.com,1999:blog-5880610.post-31775604238292107472013-11-11T12:15:59.080-05:002013-11-11T12:15:59.080-05:00Most mutual funds do not outperform the market ave...Most mutual funds do not outperform the market averages. The high-flyers that do (including anti-Black Swan event ones!) experience a catastrophic Black Swan collapse of 50 - 70+% at least once within ten years. The (presumably Phd. holding managers) of these high flyers get fat on their .75% annual management rake but their clients get wiped out 10% of the time. If the fund managers have oregonlocalnoreply@blogger.com