Archive for the ‘Blog Posts’ Category

Political Markets: Democrats' Chances Of Holding The Senate Just Doubled

Political Markets: Democrats’ Chances Of Holding The Senate Just Doubled

By The Banker | Blog Posts

I generally trust markets when it comes to political forecasting, which is why I dabbled in trading contracts on the Iowa Political Markets in both 2008 and 2012. I’d rather trust in people’s actual money-on-the-line to indicate an aggregated belief in who will win an election, rather than your average poll – or worse – [&hellip

On Retirement, From a Millennial's Perspective

On Retirement, From a Millennial’s Perspective

By The Banker | Blog Posts, Personal Finance

A thoughtful reader sent me this Time Magazine article, with musings on retirement written by a 24 year old. The first question the article prompted: Is Time Magazine still around? I had no idea! Anyway, the next set of questions posed by the article are worth contemplating: 1. Why does a rational 24 year-old decide to [&hellip

Rebalancing, Explained

Rebalancing, Explained

By The Banker | Ask an Ex-Banker, Blog Posts, How Not To Invest, Investing, Texas

Editor’s Note: A version of this post appeared today in the San Antonio Express News: A former student at Trinity sent me a Facebook message recently. He linked to an advertisement message for an investment advisory company that emphasized the importance of ‘rebalancing’ one’s investment portfolio every quarter or every year. I realized I had [&hellip

Mortgage Lending Made Easy Makes Me Uneasy

Mortgage Lending Made Easy Makes Me Uneasy

By The Banker | Blog Posts, Wall Street

Yesterday was a pretty big day in the slow unwinding of post-crisis mortgage-lending policy making, according to the Wall Street Journal. I’m not going to jump up and down and declare that this latest negotiated relaxation of federal mortgage standards means we’re back to the pre-Crisis madness. On the other hand, it appears that all [&hellip

More On Actively Managed Equity Mutual Funds

More On Actively Managed Equity Mutual Funds

By The Banker | Blog Posts, How Not To Invest, Investing, Personal Finance, Wall Street

Lately I’ve taken to saying boldly and loudly to anyone who asks my opinion (and some who don’t!) that every academic study ever done on actively managed (high cost) mutual funds vs. passively managed index (low cost) mutual funds shows that, in aggregate, the actively managed funds under-perform the passively managed funds by approximately the [&hellip