Are Buybacks an Oasis or a Mirage? (LINK)
1. In 2014, the S&P 500 Index’s dividend (1.9%) + buyback (2.9%) yield = 4.8%, but this yield was not realized by investors.
2. As in most years, in 2014 issuance of new shares—for management compensation, new investments, and funding mergers and acquisitions—exceeded buybacks.
3. The dilution rate for the U.S. equity market in 2014 was 1.8% compared to the historical dilution rate of 1.7% over the 80-year period from 1935 to 2014.
4. U.S. equity investors in aggregate—contrary to appearances—have not realized a benefit from the recent spate of stock repurchases.Related link to the above: Warren Buffett on Share Repurchases
Mutual Fund Observer, October 2015 (LINK)
Value Investing Podcast: Christopher Pavese on His Value Investment Philosophy (LINK)
Deutsche Bank Mistaken for Bundesbank Saved on Funding Costs [H/T Phil] (LINK)
How Steve Jobs Fleeced Carly Fiorina [H/T The Big Picture] (LINK)
Richard Dawkins discusses his book Brief Candle in the Dark with the WSJ (video) [H/T Will] (LINK)
Behold, the Mess That Is Pluto's Moon Charon (LINK)