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  • Happy Hour: Privacy

    November 18, 2016

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    Jon

    There was great discussion at a Techonomy conference around cyber security, personal data, privacy, and transparency around all the “free” services we use. Is it a fair value exchange of free service for our data, how tech companies use the information, who owns the information, and potential regulation and oversight of it all where some of the topics covered. There’s no definitive conclusion other then it’s complicated – self-regulation is unlikely to work – but it’s a good discussion for users and investors alike.

    The conference streamed live about a week ago and all the videos were published this week. The video embedded below is the discussion mentioned above with Bill Gurley, Mark Rotenberg, and Hemant Taneja. Continue Reading…


  • Marks and Klarman on Lessons from Big Mistakes

    November 16, 2016

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    Jon

    Learning from other’s mistakes is a better way to learn than hoping to make them all yourself and learn along the way. There’s far less pain involved – this typically involves big losses in investing – and you get a secondary lesson from other investors being humble. That second part you don’t see very often.

    There are a few great investors who seem to bring it up mistakes all the time. Buffett does this annually in his letters. I came across two others – Seth Klarman and Howard Marks – discussing it in a transcript from the 2008 Graham and Dodd Symposium. Continue Reading…


  • Happy Hour: What Next?

    November 11, 2016

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    Jon

    Everyone and no one knows what the next four years will bring. The prediction machine is running overtime on a narrative for the markets and country that fit with Tuesday’s results. Yet, nobody really knows. So take it all with a grain of salt.

    So what does this mean for your money? Emotions are running high. Self-control is key. Continue Reading…


  • Klarman on Skill, Luck, and Arrogance

    November 10, 2016

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    Jon

    Seth Klarman has been critical of index funds in the past. He’s been equally critical of active funds. It turns out, the behavior of fund managers and investors can work against each other. Career risk, short-termism, optimism, return chasing, and herd mentality can lead managers, investors, and markets astray.

    I recently read three articles in which Klarman covered this. Below are some of his thoughts. Continue Reading…


  • Happy Hour: Bad Century

    November 4, 2016

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    Jon

    The wait for next year is over. Congrats Cubs!

    The World Series win is the only thing that happened this week, as far as Chicagoans are concerned.

    For everyone outside my little bubble, I came across a Buffett interview on Bloomberg that digs into his early years, businesses as a kid, Ben Graham, his investment process, and more. There are some good stories and quips as usual. Continue Reading…


  • Klarman on Chasing Yield

    November 3, 2016

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    Jon

    Investors inevitably become unsatisfied with the status quo. This seems to be an unwritten rule and why the cycle of mistakes keep repeating.

    I was reminded of this after reading an article Seth Klarman wrote for Forbes in 1992 that still applies today. Continue Reading…


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