Bloomberg.com – Ex-Bridgewater Analyst Wang Starts No-Fee Hedge Fund Howard Wang, a former analyst at Ray Dalio’s Bridgewater Associates LP, says most hedge fund performance mirrors the broader market, failing to justify the high fees collected. That’s why Convoy Investments LLC, the global macro fund he started in November with former Bridgewater software engineer Robert… Continue reading A No-Fee Hedge Fund
Greenbackd – Bull Markets 1871 to July 2014: Duration and Magnitude (Update) The little wobble in the market last week made me think of a post I ran in April last year on the duration and magnitude of all bull and bear market periods in U.S. stocks since 1871 using charts from Butler|Philbrick|Gordillo and Associates’… Continue reading Comparing Bull Markets Since 1871
The Financial Times – Gundlach reveals 2020 vision for bond market “A lot of things seem to be pointing to the year 2020 as an interesting timeframe,” he says, sipping cool lemonade in the Los Angeles heat. Mr Gundlach is the founder of DoubleLine, which went from a standing start in 2009 to $50bn in… Continue reading Gundlach on Why 2020 Will Be An Interesting Year
Bloomberg.com – Italy Recession, German Orders Signal Euro-Area Struggle Italy unexpectedly returned to recession and German factory orders dropped the most since 2011 as political tensions and slowing global growth threaten the euro area’s recovery. Italy’s economy shrank 0.2 percent in the second quarter after contracting 0.1 percent in the previous three months. German orders… Continue reading Italy In Recession
The Atlantic – Hedge Funds Run by Women Outperform Those Run by Men This morning, the Wall Street Journal reported on funds that choose to tie their fates to the performance of companies led by women. Barclays’ Women in Leadership Total Return Index, which consists of American companies with a female CEO or whose proportion… Continue reading Women In Hedge Funds
The Wall Street Journal – U.S. Tells Big Banks to Rewrite ‘Living Will’ Bankruptcy Plans Fed, FDIC Say Plans Provide ‘No Credible Path’ Through Bankruptcy; Raise Specter of Tougher Rules, Even Break-up In a sweeping rebuke to Wall Street, U.S. regulators said 11 of the nation’s biggest banks haven’t demonstrated they can collapse without causing… Continue reading Rewriting Big Banks’ “Living Will” Bankruptcy Plans
<Click on chart for larger image> Bloomberg Businessweek – American Workers Are Older Than Ever The U.S. workforce has never been older. The share of workers ages 55 and over hit 22.2 percent in July, according to data released last week by the Bureau of Labor Statistics. That’s the highest since record-keeping began in 1948.… Continue reading Number Of Older Workers In The U.S. Grows
None Today
The Wall Street Journal – Earnings Season: There’s a Surprise Hidden Behind All Those Surprises It’s no secret on Wall Street: If a company’s earnings aren’t beating analysts’ estimates, or at least matching them, something is wrong.That’s one reason the second quarter is looking encouraging — not because companies are beating estimates, but because of… Continue reading An Earnings Update
The New York Times – Neil Irwin: Why Is the Economy Still Weak? Blame These Five Sectors The economy keeps underperforming. Yes, new G.D.P. data last week were better than expected. But the United States is still producing around $800 billion a year less in goods and services than it would if the economy were… Continue reading Breaking Down The Economy By Sector
The Federal Reserve – Low Frequency Effects of Macroeconomic News on Government Bond Yields In this study, we analyze the reaction of the U.S. Treasury bond market to innovations in macroeconomic fundamentals. We identify these innovations based on macroeconomic news, which are de fined as differences between the actual releases and market expectations. We find that… Continue reading Market Expectations vs. Actual Releases: The Effect On Bond Yields
MoneyBeat (WSJ Blog) – Goldman Sachs: Here’s What Will Happen When Fed Raises Rates Goldman Sachs Group Inc. says it knows what’s going to happen when the Federal Reserve starts raising interest rates. The quick takeaway: Stocks look much more attractive than bonds–at least through 2018. “We forecast a dramatic divergence between stock and bond… Continue reading What Happens When The Fed Raises Rates?