Warren Buffett

This Economy Is Ruined For Many Americans

In the dazzling glitter and excitement of soaring asset prices that central banks around the world, and particularly the Fed, have tried so hard to engineer, it’s easy to forget that not everyone has those assets, that a lot of people can’t get “rich” just sitting on inflated assets, that they have to work long hours in measly jobs just to stay one paycheck ahead of hunger and homelessness.

Howard Marks Redux: "There They Go Again" - Why Stock Investors Develop Amnesia

"Contributing to... euphoria... is the extreme brevity of the financial memory... There can be few fields of human endeavor in which history counts for so little as in the world of finance. Past experience, to the extent that it is part of memory at all, is dismissed as the primitive refuge of those who do not have the insight to appreciate the incredible wonders of the present."

New Hedge Fund Fee Structures Reveal Traditional Model On Verge Of Collapse

While it's inevitably a slow process, over the long term, business models that no longer make sense, like paying billions in fees for returns that rarely exceed index returns (which could be accomplished for almost nothing), eventually die off...it looks like hedge funds just entered Phase 3 (a.k.a. "Bargaining") of a 7-step process.

Someone Just Dumped $1.3 Billion Worth Of AAPL Shares

While quad-witching on index-rebal day usually leads to odd sights in the market, there was little confusion about what happened at the open, when as Bloomberg first noted, Apple shares dipped 0.1% lower after a size seller dumped 9.24 million AAPL shares in a single block trade at the Nasdaq open, at a price of $141.00, amounting to just over $1.3 billion worth of AAPL stock.

"The European 'Story' Is Broken"

"I’ll listen to what the bond market is telling me over whatever Goldman Sachs and Morgan Stanley and the rest of our sell-side friends is pitching me. The "buy-Europe!" story that has been pitched by the sell-side ad nauseam for the past six months is broken and stocks are defenseless against the steady stream of anti-Europe political news we are going to endure for the next eight weeks."

The Most Un-Fun Bubble Ever

"...although it might be fashionable to claim equities are in a bubble, be aware this “bubble” is completely different. It is not driven by speculation, but instead might be the most gigantic short squeeze of all time."