Warren Buffett

Buffett Wins Again: Berkshire To Get $29 Billion Boost Under Trump Tax Plan

Something curious happened as Trump was "draining the swamp" - the man who by some accounts owns the swamp, Hillary Clinton's billionaire backer Warren Buffett, may be about to get an "unexpected" windfall thanks to Trump's tax-rate cut policies which would boost the book value of Berkshire by as much as $29 billion.

Schwarzman, Dimon, Fink Will Advise Trump How To Create Jobs

Donald Trump today announced that he is establishing the President’s Strategic and Policy Forum. The Forum will be called upon to meet with the President "frequently to share their specific experience and knowledge as the President implements his plan to bring back jobs and Make America Great Again. The Forum will be chaired by Stephen Schwarzman, Chairman, CEO, and Co-Founder of Blackstone." Its members also include Jamie Dimon and Larry Fink.

About That "Fair Share"

There are two words that kept coming up over and over again over the last 20+ months during the US Presidential circus: “fair share”. It sounds really great, and given the voter statistics, this idea resonated with tens of millions of people. After all, who could possibly be against fairness? When you dive into the numbers, however, the data doesn’t support this assertion at all.

Frontrunning: November 15

  • Biggest Global Bond Rout Since 2003 Pauses (BBG)
  • Oil prices jump 3 percent on hopes of OPEC output cut (Reuters)
  • Italy polls get worse for Renzi as referendum nears (Reuters)
  • Trump will get wake-up call when he takes office, Obama says (Reuters)
  • With Priebus, Ryan’s Speakership Has Direct Channel to Trump (BBG)
  • Supreme Court now in Trump’s hands (The Hill)

No, Protesters, You Are Not Entitled To Free Education

One of the recurring themes from these protestors being interviewed, primarily young people, was that Trump wasn’t going to do anything about student debt. "The truth is that they’re not interested in free education... They just want a free university degree... a piece of paper that confers neither education nor any guarantee of success in life."

3 Things: Distortions, Earnings Missed, You're Crazy

"While you may be invested in an ‘index,’ when the next bear market correction begins, and the pain of loss becomes large enough, ‘passive indexing’ will turn into ‘active panic.’ Sure, you can hang on. But there will be a point where your conviction will eventually be broken. It is just a function of how much loss it takes to get there."

The Beer Goggles Stock Market

“Instead of pricing equities off this fragile state of earnings, look at valuations compared to revenue, which cannot be manipulated. This should give a better metric of how overvalued the equity market currently is.” With that, it would seem to be high time to don your rose-colored glasses...