Momentum

Interesting post from the WSJ on how momentum in the first half of the year carries over to the second half when the first half is exceptionally strong. What I …

Machine Learning and Noisy Data

We’ve been working on a new artificial intelligence engine for several months now. And while the programming of feedforward networks, recurrent Long-Term-Short-Term networks and generative adversarial networks may sound super …

Copper Plunge Has Me Nervous

Here’s an interesting article about the plunge in copper, and how it might be signaling future economic weakness. Those of you familiar with our simple three factor system know that …

Interesting Volatility Research

Interesting article¬†at Alpha Architect about two research papers pertaining to volatility. The first has to do with idiosyncratic volatility (“IV”), and how higher IV leads to short-sale contraints, which leads …

Strange Things Happening in Europe

Two strange things are going on in Europe. As the chart below shows, there has been a big increase in the quantity of government bonds that have a negative yield. …

Behavioral Economics in the Real World

Here’s an interesting discussion on MSNBC regarding behavioral economics and perceptions related to their tax refunds for 2018. Basically, the anchor and his technology correspondent both support and acknowledge that …

Jamie Dimon Likes Straddles

OK, maybe he doesn’t really “like” straddles. But what he does say implies that the market conditions going forward will have characteristics that are conducive to long straddles. Dimon Sees …

This Time is Different?

If you’ve been a member of our Three Easy Factors service (now renamed to Three Pillars), you’ve probably taken notice of the yield curve lately. Well, some people are still …