Sunday, October 11, 2015


A Dozen Things Learned from Charlie Munger about Moats (LINK)

Why Falling Oil Prices Startled MLP Investors - by Jason Zweig (LINK)

John Burbank warns of liquidity crisis (LINK)

The Manual of Ideas interview with MIT Investment Management Co. [H/T @jasonzweigwsj] (LINK)

Fred Wilson | Talks at Google (video) (LINK)

Hussman Weekly Market Comment: Not The Time To Be Bubble-Tolerant (LINK)
In this environment, we cringe to see analysts explaining the recent bounce by saying that the market cannot suffer extreme losses once short-term conditions become oversold and bearish sentiment increases (oversold conditions have cleared in recent weeks anyway, on enthusiasm that economic weakness will tie the Fed’s hands). Even if this explanation seems to have been true in recent weeks, it is emphatically not reliable more generally. The most severe market losses in history – for example, 1973-74 and 2008 – occurred despite persistently oversold conditions and bearish sentiment that far exceeded bullish sentiment. Analysts forget that the 2000-2002 and 2007-2009 collapses occurred in an environment of persistent and aggressive Fed easing. These analysts are making a version of the mistake that we made in this cycle prior to mid-2014, and it’s a dangerous one: placing greater priority on overextended market conditions than on measures of investor risk-preferences.
Book of the day: Work Rules!: Insights from Inside Google That Will Transform How You Live and Lead