locke

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    • Tue Mar 11th 00:12 AM | Rating: 0 0
      Commented on:
      Seeking Absolute Alpha Because Beta Might Not Be There
      I think the advice (echoed by Buffett) that the best way for the average person to invest in stocks is to buy a large cap index is based on the fact that the average person can't distinguish that rare quality hedge fund manager from the bozos who outperformed by taking on too much risk.

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    • Wed Mar 5th 18:31 PM | Rating: 0 0
      Commented on:
      It's Time For Economists To Make Way For Pragmatists
      I'm not sure what he is advocating. Higher fed funds rates? I would prefer employment to strong currency, only because if I lose my job, I lose my medical insurance, and I go bankrupt (because of a pre-existing condition).

      If our society actually provided health care to the unemployed, then perhaps stronger currency could be the priority. As it stands, lack of employment can mean bankruptcy or death for people who are uninsurable with our "free market" health care system, so keeping people employed should be the #1 priority, inflation or not.
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    • Tue Mar 4th 02:28 AM | Rating: 0 0
      Commented on:
      What's Caused Job Losses? Productivity Increases
      Middle class standard of living has increased steadily throughout human history. Spare us the hyperbole.

      I would love to see more equitable wealth distribution, but I don't fool myself into thinking things are worse than they ever were.
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    • Mon Mar 3rd 16:34 PM | Rating: 0 0
      Commented on:
      Using UltraShort ETFs as a Sentiment Gauge
      Thinking ahead: There does not have to be a seller for every buyer in ETFs. ETFs can be created out of thin air. They are like mutual funds. Send more money to the fund and it buys more stuff, seller or not.
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    • Mon Mar 3rd 14:23 PM | Rating: 0 0
      Commented on:
      Some Muni Bonds Appear Screaming Buys Here
      Any opinions on which Muni ETF is safest?

      Buying Munis in a Roth IRA would be a dumb move, right?
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    • Thu Feb 28th 13:07 PM | Rating: 0 0
      Commented on:
      Lechleiter Likes Lilly Stock - A Lot
      LLY's yield is 1.88/year and their EPS is 2.71 TTM. I thought the rule of thumb is that a dividend is in danger if it is more than 50% of earnings.

      Does this rule not apply to the pharma sector? Or is the dividend in danger?
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    • Wed Feb 27th 21:46 PM | Rating: 0 0
      Commented on:
      Is America Headed for a Depression?
      When I read "the end is near" I want to know about the source. I appreciate Nova's post.
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    • Wed Feb 27th 14:55 PM | Rating: 0 0
      Commented on:
      Market Valuation and Investment Returns: What's the Connection?
      This research suggests that it is a good time to buy banks.
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    • Tue Feb 26th 17:10 PM | Rating: 0 0
      Commented on:
      Notes from Recent Buffett Q&A
      "The net wealth creation in airlines since Orville Wright has been next to zero."

      Is he saying that, adjusted for inflation, the airline industry has not resulted in positive return over its lifetime? I'm not sure I understand this statement.

      I took a flight to Africa last year and went on a safari. I feel wealthier having done that. I consider this wealth creation...
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    • Tue Feb 26th 00:59 AM | Rating: 0 0
      Commented on:
      90% T-Bills/10% Berserk and Other Intriguing Portfolios
      I have heard several people say it is a bid idea to hold DDM for many years. I did some simulations, and while DDM did not double the long-term performance of DIA, it certainly would have outperformed DIA in all but the most poorly-timed scenarios.

      Here's my question. If I'm retiring in twenty years, why would holding DDM for that time be worse than holding DIA?
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    • Sat Feb 23rd 15:15 PM | Rating: 0 0
      Commented on:
      First Solar: Terrific Earnings, But Enormous Multiple
      I love the company but hate the price. Everything is going its way, macro to micro, so it could grow into it's multiple--I wouldn't be short. But I'm sure not buying any shares here.
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    • Fri Feb 22nd 11:16 AM | Rating: 0 0
      Commented on:
      Which is the Most Accurate Home Price Index?
      Great article, Matt. It's well-researched and empirical. I hope you post an update when you see things turning around!
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    • Fri Feb 22nd 10:54 AM | Rating: 0 0
      Commented on:
      1970s Style Stagflation? I Don't Buy It
      My understanding is that M3 is the most useful number, and that is no longer published, making an analysis of inflation based on monetary supply somewhat ambiguous. I'm sure Dr. Perry knows what he is doing, but it would be nice if he addressed the concerns (misconceptions?) about M3.
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    • Thu Feb 21st 15:34 PM | Rating: 0 0
      Commented on:
      Microsoft Wants to Play Nice With Open Source
      Marcel, MSFT has no credibility to lose in the software development world. Any software engineer will tell you that MSFT has a long history of underhanded and deceitful dealings toward the software development community.
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    • Thu Feb 21st 13:54 PM | Rating: 0 0
      Commented on:
      GMO: Stocks Will Lag Historical Average for Next 7 Years
      How do they justify their claim that active management adds 2%? Every study shows that active management detracts from returns, on average,
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