Podcasts about abnormal returns

Welcome to The Nonlinear Library, where we use Text-to-Speech software to convert the best writing from the Rationalist and EA communities into audio. This is: Congressional Insider Trading, published by Maxwell Tabarrok on August 31, 2024 on LessWrong. You've probably seen the Nancy Pelosi Stock Tracker on X or else a collection of articles and books exposing the secret and lucrative world of congressional insider trading. The underlying claim behind these stories is intuitive and compelling. Regulations, taxes, and subsidies can make or break entire industries and congresspeople can get information on these rules before anyone else, so it wouldn't be surprising if they used this information to make profitable stock trades. But do congresspeople really have a consistent advantage over the market? Or is this narrative built on a cherrypicked selection of a few good years for a few lucky traders? Is Congressional Insider Trading Real There are several papers in economics and finance on this topic First is the 2004 paper: Abnormal Returns from the Common Stock Investments of the U.S. Senate by Ziobrowski et al. They look at Senator's stock transactions over 1993-1998 and construct a synthetic portfolio based on those transactions to measure their performance. This is the headline graph. The red line tracks the portfolio of stocks that Senators bought, and the blue line the portfolio that Senators sold. Each day, the performance of these portfolios is compared to the market index and the cumulative difference between them is plotted on the graph. The synthetic portfolios start at day -255, a year (of trading days) before any transactions happen. In the year leading up to day 0, the stocks that Senators will buy (red line) basically just tracks the market index. On some days, the daily return from the Senator's buy portfolio outperforms the index and the line moves up, on others it underperforms and the line moves down. Cumulatively over the whole year, you don't gain much over the index. The stocks that Senators will sell (blue line), on the other hand, rapidly and consistently outperform the market index in the year leading up to the Senator's transaction. After the Senator buys the red portfolio and sells the blue portfolio, the trends reverse. The Senator's transactions seem incredibly prescient. Right after they buy the red stocks, that portfolio goes on a tear, running up the index by 25% over the next year. They also pick the right time to sell the blue portfolio, as it barely gains over the index over the year after they sell. Ziobrowski finds that the buy portfolio of the average senator, weighted by their trading volume, earns a compounded annual rate of return of 31.1% compared to the market index which earns only 21.3% a year over this period 1993-1998. This definitely seems like evidence of incredibly well timed trades and above-market performance. There are a couple of caveats and details to keep in mind though. First, it's only a 5-year period. Additionally, any transactions from a senator in a given year a pretty rare: Only a minority of Senators buy individual common stocks, never more than 38% in any one year. So sample sizes are pretty low in the noisy and highly skewed distribution of stock market returns. Another problem, the data on transactions isn't that precise. Senators report the dollar volume of transactions only within broad ranges ($1,001 to $15,000, $15,001 to $50,000, $50,001 to $100,000, $100,001 to $250,000, $250,001 to $500,000, $500,001 to $1,000,000 and over $1,000,000) These ranges are wide and the largest trades are top-coded. Finally, there are some pieces of the story that don't neatly fit in to an insider trading narrative. For example: The common stock investments of Senators with the least seniority (serving less than seven years) outperform the investments of the most senior Senators (serving more than 16 years) by a statistically significant margin. Still though, several other paper...

Link to original articleWelcome to The Nonlinear Library, where we use Text-to-Speech software to convert the best writing from the Rationalist and EA communities into audio. This is: Congressional Insider Trading, published by Maxwell Tabarrok on August 31, 2024 on LessWrong. You've probably seen the Nancy Pelosi Stock Tracker on X or else a collection of articles and books exposing the secret and lucrative world of congressional insider trading. The underlying claim behind these stories is intuitive and compelling. Regulations, taxes, and subsidies can make or break entire industries and congresspeople can get information on these rules before anyone else, so it wouldn't be surprising if they used this information to make profitable stock trades. But do congresspeople really have a consistent advantage over the market? Or is this narrative built on a cherrypicked selection of a few good years for a few lucky traders? Is Congressional Insider Trading Real There are several papers in economics and finance on this topic First is the 2004 paper: Abnormal Returns from the Common Stock Investments of the U.S. Senate by Ziobrowski et al. They look at Senator's stock transactions over 1993-1998 and construct a synthetic portfolio based on those transactions to measure their performance. This is the headline graph. The red line tracks the portfolio of stocks that Senators bought, and the blue line the portfolio that Senators sold. Each day, the performance of these portfolios is compared to the market index and the cumulative difference between them is plotted on the graph. The synthetic portfolios start at day -255, a year (of trading days) before any transactions happen. In the year leading up to day 0, the stocks that Senators will buy (red line) basically just tracks the market index. On some days, the daily return from the Senator's buy portfolio outperforms the index and the line moves up, on others it underperforms and the line moves down. Cumulatively over the whole year, you don't gain much over the index. The stocks that Senators will sell (blue line), on the other hand, rapidly and consistently outperform the market index in the year leading up to the Senator's transaction. After the Senator buys the red portfolio and sells the blue portfolio, the trends reverse. The Senator's transactions seem incredibly prescient. Right after they buy the red stocks, that portfolio goes on a tear, running up the index by 25% over the next year. They also pick the right time to sell the blue portfolio, as it barely gains over the index over the year after they sell. Ziobrowski finds that the buy portfolio of the average senator, weighted by their trading volume, earns a compounded annual rate of return of 31.1% compared to the market index which earns only 21.3% a year over this period 1993-1998. This definitely seems like evidence of incredibly well timed trades and above-market performance. There are a couple of caveats and details to keep in mind though. First, it's only a 5-year period. Additionally, any transactions from a senator in a given year a pretty rare: Only a minority of Senators buy individual common stocks, never more than 38% in any one year. So sample sizes are pretty low in the noisy and highly skewed distribution of stock market returns. Another problem, the data on transactions isn't that precise. Senators report the dollar volume of transactions only within broad ranges ($1,001 to $15,000, $15,001 to $50,000, $50,001 to $100,000, $100,001 to $250,000, $250,001 to $500,000, $500,001 to $1,000,000 and over $1,000,000) These ranges are wide and the largest trades are top-coded. Finally, there are some pieces of the story that don't neatly fit in to an insider trading narrative. For example: The common stock investments of Senators with the least seniority (serving less than seven years) outperform the investments of the most senior Senators (serving more than 16 years) by a statistically significant margin. Still though, several other paper...

If you are looking for more resources to dive into financial planning, this episode is for you!  Corey and Rachelle list out a few of their favorite books, blogs, and podcasts.  There is a little something for everyone here! Books: Some of our favorites include: Financial Planning Basic for Doctors by Marshall Weintraub, et al. Advisors at our firm wrote this one! The Psychology of Money by Morgan Housel Behavior Gap and The One Page Financial Plan by Carl Richards The Opposite of Spoiled by Ron Lieber Blogs: Everyone's favorite, The White Coat Investor! A little biased against advisors and a little heavy on the advertisements, but still a wealth of information. Another classic, The Physician on FIRE. For those that want to achieve financial independence as quickly as possible. If you like numbers and analysis, Of Dollars and Data with Nick Maggiulli is great. If you like a little of everything, Abnormal Returns aggregates daily finance articles and blogs from around the web. Podcasts: Do you really want or need anything other than our pearls of wisdom? Maybe! Different perspectives can be very helpful and cover different topics. Bonnie Koo at Wealthy Mom MD talks about her own journey through medical training and debt. Corey's favorite, Morgan Housel, has a podcast! Listen to the episode to hear more about these resources and our thoughts on them.  With any media, especially resources found online, use your critical thinking skills and verify information before committing it to long-term memory.  In the end, a lot of this is behavior-based, and you have to find the resources that work well for you. For more financial planning tips from Corey and Rachelle, find them on social media! LinkedIn: @CoreyJanoff and @RachelleVanderzanden; Instagram: @CoreyJanoff and @VanderzandenRachelle; and Twitter: @CoreyJanoffCFP and @RachelleFinance  Discussions in this show should not be construed as specific recommendations or investment advice. Always consult with your investment professional before making important investment decisions. Securities offered through Registered Representatives of Cambridge Investment Research, Inc., a broker-dealer, member FINRA/SIPC. Advisory services offered through Cambridge Investment Research Advisors, Inc., a Registered Investment Adviser. Finity Group, LLC and Cambridge are not affiliated. Cambridge does not offer tax or legal advice.

Lawrence McMillan of OptionStrategist.com, president of McMillan Analysis, says that the technical indicators have all lined up so where there are no sell signals and the market could easily move up to recapture its August highs, though he acknowledges that the big concern is not something in the charts but rather is the Federal Reserve, 'which is not exactly bending over backwards to help the markets.' McMillan notes that he would like to see a confirming signal from a cumulative volume indicator to be convinced that it's a full-fledged bull market, but he intends to ride the trends while determining if the market is building long-term confidence. In The Big Interview, Tadas Viskanta, editor at Abnormal Returns, discusses how the changing landscape of financial blogs and media has left investors swimming in a sea of data that can be hard to cut through without succumbing to confirmation bias and other bad behavioural concerns. John Cole Scott, president of Closed-End Fund Advisors and the chairman of the Active Investment Company Alliance, is back for The NAVigator, looking at how the market's hot start to the new year has changed the outlook for various closed-end fund sectors and the moves investors might want to consider now and, in the Market Call, Will Rhind of GraniteShares discusses the X-Out method for investing in large-cap stocks.

What in the world is a long-only manager supposed to do?Check The Lead-Lag Report on your favorite social networks.Twitter: https://twitter.com/leadlagreportYouTube: https://www.youtube.com/c/theleadlagreportFacebook: https://www.facebook.com/leadlagreportInstagram: https://instagram.com/leadlagreport                       Sign up for The Lead-Lag Report at www.leadlagreport.com and use promo code PODCAST30 for 2 weeks free and 30% off.                        Nothing on this channel should be considered as personalized financial advice or a solicitation to buy or sell any securities.                        The content in this program is for informational purposes only. You should not construe any information or other material as investment, financial, tax, or other advice. The views expressed by the participants are solely their own. A participant may have taken or recommended any investment position discussed, but may close such position or alter its recommendation at any time without notice. Nothing contained in this program constitutes a solicitation, recommendation, endorsement, or offer to buy or sell any securities or other financial instruments in any jurisdiction. Please consult your own investment or financial advisor for advice related to all investment decisions.See disclosures for The Lead-Lag Report here: The Lead-Lag Report (leadlagreport.com)

Tadas Viskanta is the Founder and Editor of Abnormal Returns which highlights the best financial and investment content every day.   There is far more information available than any one person can digest, and yet somehow Tadas does it.   Listen now and learn: How to be a better consumer of financial information Problems that consuming forecasting content can cause Why it's important for advisors to create content     Visit www.TheLongTermInvestor.com for show notes, free resources, and a place to submit questions.

Our guest on the podcast today is Tadas Viskanta. Tadas is the director of investor education at Ritholtz Wealth Management. He's also the founder and editor of the popular financial and investing blog Abnormal Returns, which he launched in 2005. Tadas is the author of the book Abnormal Returns: Winning Strategies from the Frontlines of the Investment Blogosphere and has coauthored a number of papers that have appeared in esteemed academic publications like the Financial Analysts Journal. Tadas earned his bachelor's degree in economics and political science from Indiana University and his MBA from the University of Chicago Booth School of Business.BackgroundBioAbnormal ReturnsTwitter: @abnormalreturnsAbnormal Returns: Winning Strategies From the Frontlines of the Investment Blogosphere by Tadas ViskantaInvestor Education“Financial Literacy vs. a Fiduciary Standard: Which Matters More?” by Tadas Viskanta, abornormalreturns.com, May 26, 2019. “What Has the Stock Market Taught Us Since 2010? ” by Ben Carlson, awealthofcommonsense.com, Sept. 10, 2021.Content“Earning the Permission of Your Audience,” by Tadas Viskanta, abnormalreturns.com, Feb. 21, 2021.“Keys to Social Media Success: Curiosity, Conversation, and Patience,” by Sloane Ortel, cfainstitute.org, May 15, 2016.HumbleDollarJonathan ClementsThe Rational Reminder Podcast Retirement Planning and Personal Finance“Don't Short-Circuit Your Financial Plan With an Inflexible Spending Rule,” by Tadas Viskanta, abnormalreturns.com, July 31, 2019.“Shifting Gears in Retirement Isn't Easy,” by Tadas Viskanta, abnormalreturns.com, Nov. 23, 2019.“Social Influence and the Rise of Index Investing,” by Tadas Viskanta, medium.com, Feb. 12, 2017.Canvas platform, O'Shaughnessy Asset Management“Not All That Glitters Is Gold With Tadas Viskanta,” ycharts.com, 2021.OtherThe Success Equation: Untangling Skill and Luck in Business, Sports, and Investing, by Michael J. Mauboussin“Consilient Observer,” by Michael Mauboussin and Dan Callahan

Ok now we’re starting to get into some topics that not only are very interesting but also possibly profitable, So let’s talk about Abnormal returns.

On today’s F-Bomb John discusses the following: - Rising lumber prices - Yellen says that inflation is coming - We should be performing for an “audience of one” rather than seeking man’s approval - Home prices continue to skyrocket - Crypto insanity continues to catch fire - The danger of trying to “break even” - The Big 5 do more in sales each week than McDonalds does in an entire year - 9 of the 10 past years were positive in the stock market, but 40% of the index’s stocks posted negative returns during that time period Sources: Wall Street Journal, Cheryl Riley, Abnormal Returns, Josh Brown

I get really tired of hearing people talk about stocks who are in it just to try and make a quick buck. Therefore, I am here to teach you how to go about picking stocks based on the ideas of two of the best investors that we have ever known: Peter Lynch & Warren Buffett. Their philosophies bump heads in some places, but their baseline tenants for how to pick which companies you should be investing in really stand congruent with one another. Most of you all should not be buying individual stocks in the first place (stick to index funds) but those of you willing to test the waters need a smart way to navigate, and I am trying to help you with just that. Today, we will discuss: 1. Reasons NOT to invest in individual stocks 2. Understanding what you own 3. Doing your homework on stocks 4. Investing in stocks for the long-term   Begin your path to financial freedom today: https://www.youtube.com/channel/UCjyCApAbHBN0Jtw5bAehbRg?sub_confirmation=1   Don't forget to like, subscribe, and leave comments below as I would love your feedback. Be sure to check out my website (www.mnowithdylan.com) where you can get more information on my financial coaching services and more, the podcast of these shows if you are more of a listener than a watcher, and follow the show on any social media outlet (FB, Twitter, & Instagram) @mnowithdylan (Money's No Object with Dylan Howell) [All links in description]. Tune in tomorrow to talk about owning shares of stock and how that aligns with owning a piece of a company. Don't forget to check-in every weekday (Monday-Friday) for new videos which will be uploaded each day at 6 a.m. CDT. Thank you, guys, for tuning into this episode of Money's No Object. I'm Dylan Howell. God Bless!   Website: https://www.mnowithdylan.com/   Financial Coaching Information: https://www.mnowithdylan.com/workwithdylan/   Facebook: https://www.facebook.com/mnowithdylan/   Instagram Page: https://www.instagram.com/mnowithdylan/   Twitter: https://twitter.com/mnowithdylan     (Please keep in mind that I am not a financial advisor. I create these videos for educational purposes only. You and only you are responsible for the investment decisions that you make.)

The volume of financial content that is produced these days can be completely overwhelming. Filtering through it to find the best articles is a task that most investors just don't have the time to complete. Thankfully, they don't have to. Tadas Viskanta helped solve this problem when he launched Abnormal Returns over 15 years ago. Every day, Tadas identifies the best financial content and distills it down to a condensed series of links. And he does it for free. Tadas is also the Director of Investor Education at Ritholtz Wealth Management. In this episode, we discuss: - the process Tadas uses to filter the vast amount of financial content that is out there - his views on audio and video and the future of content - the role of content in communicating with current and prospective clients - the importance of authenticity We hope you enjoy the discussion. ABNORMAL RETURNS https://abnormalreturns.com/ FOLLOW TADAS ON TWITTER https://twitter.com/abnormalreturns ABOUT THE PODCAST Excess Returns is an investing podcast hosted by Jack Forehand (@practicalquant) and Justin Carbonneau (@jjcarbonneau), partners at Validea. Justin and Jack discuss a wide range of investing topics including factor investing, value investing, momentum investing, multi-factor investing, trend following, market valuation and more with the goal of helping those who watch and listen become better long term investors. SEE LATEST EPISODES https://www.validea.com/excess-returns-podcast FIND OUT MORE ABOUT VALIDEA https://www.validea.com FOLLOW OUR BLOG https://blog.validea.com FIND OUT MORE ABOUT VALIDEA CAPITAL https://www.valideacapital.com FOLLOW JACK Twitter: https://twitter.com/practicalquant LinkedIn: https://www.linkedin.com/in/jack-forehand-8015094 FOLLOW JUSTIN Twitter: https://twitter.com/jjcarbonneau LinkedIn: https://www.linkedin.com/in/jcarbonneau

Listen to this episode on iTunes What was your biggest insight from this week's episode? Let Jay know in the […]

Guest: Dr Don Hamson, Plato Investment Management. Host: James Marlay, co-founder, Livewire Markets. In year 427BC, the Greek philosopher Plato founded ‘The Academy', which is considered the world's first university. It is somewhat fitting then that half of Sydney-based fund manager, Plato Investment Management's team have PhD's. With so much grey matter focused solely on generating equity income for their clients, it's no surprise the results are impressive. Managing Director, Dr Don Hamson, shared in this interview that their investors will have received 16% gross yield after fees this financial year. That's about 10% above the gross yield of the index, though Don cautions that these were ‘abnormal returns' supported by some political and corporate one-offs. So what is the outlook for dividends post-election? In our latest fund manager interview Don addresses this question, highlights one part of the market that remains under-appreciated for income and explains what he believes is the single most expensive asset in the market today.

“Rebalancing is getting a little overrated. It is nowhere near as impactful on returns as human and digital advisors advertise. I also feel like human advisors probably rebalance more than is truly necessary.”Peter Lazaroff who is the co-CIO of Plancorp and BrightPlan. Peter blogs at PeterLazaroff.com and most importantly for the purposes of this discussion is the author of the recently published book Making Money Simple: The Complete Guide to Getting Your Financial House in Order and Keeping It That Way Forever.We recently published a two-part Q&A with Peter on Abnormal Returns: part one and part two.You can read more about Peter at his blog: https://peterlazaroff.com/blogEnable our Alexa skill here - "Alexa, play the Compound show!"https://www.amazon.com/Ritholtz-Wealth-Management-LLC-Compound/dp/B07P777QBZTalk to us about your portfolio or financial plan here: https://ritholtzwealth.com/Obviously nothing on this channel should be considered as personalized financial advice just for you or a solicitation to buy or sell any securities. Please see this 3,000 word terms & conditions disclaimer if you seriously need this spelled out for you. https://thereformedbroker.com/terms-and-conditions/ See acast.com/privacy for privacy and opt-out information.

Tadas Viskanta is among the first wave of successful investment bloggers, starting the Abnormal Returns blog in 2005. Rather than providing its readers with forecasts and other crystal ball-gazing exercises, Tadas focuses on education, writing about best practice in both investing and personal finance. MarketFox columnist Daniel Grioli speaks with Tadas about the early days of blogging, what it takes to write interesting material and how blogging keeps wealth management clients engaged. They also talk about how this blog ultimately led Tadas to join Ritholtz Wealth Management as Director of Education. Podcast overview: 5:00 starting out in the industry 7:00 How did studying at the University of Chicago, the bastion of the efficient market hypothesis, influence your thinking? 11:30 The early days of blogging 14:30 How long did it take for people to engage with your content? 17:00 Taking an educational slant 19:00 Doing this on a daily basis allows me to see the flow of information and how topics evolve over time 20:30 The idea that investors can bring their values to the markets is going to be increasingly a topic for investment 22:00 The debate about whether an ESG strategy will deliver the same or somewhat more than the market is besides the point. The behavioural aspect is much more interesting than the performance. 24:30 There has been much talk about the FANGs, but the way in how these technology companies change and shape our society is something that is important to stay on top off. 29:40 My position at Ritzholtz wealth management is really a function of the blogosphere. 30:30 What does Director of Education mean? 32:30 Treating social media as a monthly performance report. 33:00 Authenticity is the key to writing online. 35:00 Howard Marks of Oaktree was one of the first investors to write in this style, before blogs even existed. 40:30 The great financial crisis was what brought the financial blogosphere to the fore. We were all in the dark and the media started to look at bloggers that had first hand experience in mortgage backed securities. 43:00 We use the blog to update our clients daily on what is going on. They don’t have to wait for the quarterly performance report. 46:00 There is no one way to communicate with a client. 47:30 What things in your career did you have to learn the hard way? 48:30 What blogs do you recommend?

If you read the NGPF Blog then you have benefited from the handiwork of Tadas Viskanta and his blog Abnormal Returns. Having logged over 10,000 hours curating the best the web has to offer in finance news and research, Tadas offers up sound advice on how WE should be reading the financial press (hint: ignore the pundits spouting predictions). What's new in investment research? How will Fidelity's zero-fee index funds change the investing landscape? What new role has Tadas taken on at Ritholz Investment Management? Listen to this podcast to get answers to these questions and more. Enjoy!

Howard Lindzon is the Managing Partner @ Social Leverage, where he has made investments in the likes of Angellist, Datafox, previous guest Robinhood, Rent.com (acq by eBay for $415m) and many more incredible companies. Howard is also the Founder of StockTwits, a social network for traders and investors, named one of the ten most innovative companies on the web. He is also an author with multiple published titles that can be found here. If that was not enough, he also continues to manage the hedge fund he started in 1998. A man of many hats for sure!   In Today’s Episode You Will Learn: 1.) How Howard made his way into the world of hedge funds, tech and now VC with Social Leverage? 2.) Why is trend following a good thing to do when starting investing? How can you trend follow and still invest with conviction? 3.) Why Howard believes people need to lose money to learn about the market and ecosystem What have been his learnings from missing Twitter and Zynga? 4.) Who Howard believes that fundraising is an art and not everyone can be taught it? What are the core elements that lead to a successful fundraise? 5.) What was Howard's biggest lesson from investing alongside Fred Wilson and Brad Feld? How did that alter his approach to price and ownership? Items Mentioned In Today’s Show: Howard’s Fave Book: Reminiscences of a Stock Operator Howard’s Fave Blog or Newsletter: Fred Wilson, Abnormal Returns, Josh Brown: The Reformed Broker Howard’s Most Recent Investment: Civic As always you can follow Harry, The Twenty Minute VC and Howard on Twitter here! Likewise, you can follow Harry on Snapchat here for mojito madness and all things 20VC. Angelloop is the leading post funding management platform for private market investors and their portfolio companies. They help investors manage and track their portfolio companies on the cloud while providing them with access to their investments performance data. Angelloop helps founders of startups track their performance, manage their cap table and keep their investors in the loop. Investors get free access while their portfolio companies pay only $49/Month. Use or share the promo-code 20MinVC to get your portfolio companies online with a two month trial. This episode was brought to you by DesignCrowd, the online marketplace for custom graphic, logo and web design that helps startups, entrepreneurs, web developers and agencies outsource design projects to designers from around the world.

When most people celebrate anniversaries, they do something for themselves. But Tadas Viskanta at Abnormal Returns isn't most people. To celebrate the 10 year anniversary of his amazing blog, he's launched a limited edition t-shirt, and for every t-shirt sold, he'll donate $10 to charity: water. You can learn more here: http://abnormalreturns.com/2016/05/30/the-abnormal-returns-1010-campaign/. After listening, if you're ready to buy, you can snag your t-shirt here: https://teespring.com/abnormal-returns. If you already have plenty of t-shirts, you can donate direct: https://donate.charitywater.org/abnormal-returns/abnormalreturns

Tadas Viskanta is the Founder and Editor of Abnormal Returns. His “forecast-free investment blog” has become a fixture on the financial scene for over nine years. Tadas is a private investor with over 25 years of experience in the financial markets. He is the co-author of over a dozen investment-related papers that have appeared in publications like the Financial Analysts Journal, Journal of Portfolio Management among others.   Tadas is also the author of the well-received book: Abnormal Returns: Winning Strategies from the Frontlines of the Investment Blogosphere that distills lessons learned from his time blogging.   Tadas holds an MBA from the University of Chicago and a BA from Indiana University and lives with his family in   Tadas’s Challenge; People are too hard on themselves when it comes to investing. Give yourself a break and do the best you can. The most important thing is learning from your mistakes.   Tadas’ Book Abnormal Returns: Winning Strategies from the Frontlines of the Investment Blogosphere   Connect with Tadas Twitter Stocktwits LinkedIn Website

Tadas Viskanta is the Founder and Editor of Abnormal Returns.  Tadas is a private investor with over 25 years of experience in the financial markets.  He is the co-author of over a dozen investment-related papers that have appeared in publications like the Financial Analysts Journal, Journal of Portfolio Management among others. Tadas is also the author of the well-received book: Abnormal Returns: Winning Strategies from the Frontlines of the Investment Blogosphere that culls lessons learned from his time blogging.   Five Good Questions: With traditional media, TV, bloggers, twitter, etc., there’s so much information flow these days.  It can feel overwhelming.  How do we go about curating signal from noise? As special businesses have transitioned from primarily key PPE advantages (more readily quantifiable by accounting) to instead relying on IP, knowledge, network effects, intangibles (less quantifiable and more subjective), you could make an argument that the balance sheet is increasingly divorcing from economic reality.  Given this trend, does a quantitatively driven approach to value investing still work in the future? I’ve heard many great investors say you shouldn’t compare yourself to the S&P, and yet every does.  What do you personally use for your benchmarks? You often hear that ETFs are a better mousetrap?  What exactly makes them so much better than mutual funds? You have an interesting quote: “The primary role of the financial system is to coax risk-adverse investors into risky securities.”  What did you mean by that, and do you think it’s even more of an issue with zero interest rate policies like we see today?

My guest today is Tadas Viskanta, the founder and editor of the Abnormal Returns blog and a private investor with 20-plus years of experience. Viskanta calls his blog a "forecast free investment blog". The topic is his book Abnormal Returns: Winning Strategies from the Frontlines of the Investment Blogosphere. In this episode of Trend Following Radio we discuss: Investment philosophies and strategies to the challenges authors and bloggers face in the world today Disadvantage given to those who follow the constant data stream from the media Why Viskanta felt the need to write "Abnormal Returns", and the strategy and style behind it The phrase "abnormal returns" and trying to measure returns over and above the risk taken Underperforming Preparing for abrupt change in the markets Viskanta's move from value investing to a more systematic strategy--and Covel's early experiences with value investing material Now that so many global barriers are easy to cross, why so many people have "home bias" and difficulty placing global investments Why people still look at the markets with rose colored lenses and so easily forget the bubbles of the past The behavior gap Why having a suboptimal strategy that you can follow in a systematic way is better than having no strategy at all The ramifications of instant feedback in the blogosphere Why you need a burning desire to be an author today Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

Michael Covel talks with Tadas Viskanta. Viskanta is the founder and editor of the Abnormal Returns blog and a private investor with 20-plus years of experience. His first book, "Abnormal Returns: Winning Strategies from the Frontlines of the Investment Blogosphere", is out now. Viskanta calls his blog a "forecast free investment blog", and that sort of outlook certainly appeals to Covel and his trend following philosophy. Covel and Viskanta cover a wide range of topics, from investment philosophies and strategies to the challenges authors and bloggers face in the world today. Specifically, Covel and Viskanta discuss the disadvantage given to those who follow the constant data stream from the media; why Viskanta felt the need to write "Abnormal Returns", and the strategy and style behind it; the phrase "abnormal returns" and trying to measure returns over and above the risk taken; underperforming; preparing for abrupt change in the markets; Viskanta's move from value investing to a more systematic strategy--and Covel's early experiences with value investing material; now that so many global barriers are easy to cross, why so many people have "home bias" and difficulty placing global investments; why people still look at the markets with rose colored lenses and so easily forget the bubbles of the past; the behavior gap; why having a suboptimal strategy that you can follow in a systematic way is better than having no strategy at all; the ramifications of instant feedback in the blogosphere; and why you need a burning desire to be an author today. Yes, some territory is covered! Free DVD: www.trendfollowing.com/win.