Linkfest: Earnings sustainability holds key to valuation debate; CLOs and CDOs rebound; Coke’s comp under fire
Categories: Linkfest
Today’s most shared:
- Whether the market is overvalued always comes back to whether profits are sustainable or will revert to the mean.
- CLOs and CDOs make a comeback, and the SEC investigates whether they are used as a gimmick to hide risks.
- Shareholder attacks Coca-Cola’s stock compensation plan, saying management could reap as much as $24 billion.
- David Einhorn declares victory against still-anonymous blogger. Bloomberg News sides with hedge fund manager looking to spike story, as Bloomberg spiked story on China tycoon. Perhaps not a total coincidence, since hedge funds and tycoons pay for Bloomberg terminals.
- GM’s defect scandal gets worse.
- US labor force participation now trails UK’s.
Profit Margins: The Epicenter of the Valuation Debate
philosophicaleconomics.wordpress.com
James Montier of GMO, whose work I deeply respect and enjoy reading, recently put out a white paper defending the Shiller CAPE from some of the attacks that have been waged against it.
shared by @derekhernquist, @ReformedBroker, @naufalsanaullah
philosophicaleconomics.wordpress.com
James Montier of GMO, whose work I deeply respect and enjoy reading, recently put out a white paper defending the Shiller CAPE from some of the attacks that have been waged against it.
shared by @derekhernquist, @ReformedBroker, @naufalsanaullah
SEC investigators are looking at whether banks and companies are using complex bond deals to hide certain risks illegally
Wall Street Journal
SEC investigators are looking at whether banks and companies are using complex CLO and CDO bond deals to hide certain risks illegally and are expanding an inquiry into how Wall Street sells the deals.
shared by NYT Dealbook, Business Insider, Naked Capitalism, @AmyResnick
Wall Street Journal
SEC investigators are looking at whether banks and companies are using complex CLO and CDO bond deals to hide certain risks illegally and are expanding an inquiry into how Wall Street sells the deals.
shared by NYT Dealbook, Business Insider, Naked Capitalism, @AmyResnick
A Question of What’s a Reasonable Reward
New York Times
A money manager claims Coca-Cola allocated as much as $24 billion toward stock-based rewards for its senior people.
shared by @JacobWolinsky, @morningmoneyben, @abnormalreturns, @davidweidner, @Dasan
New York Times
A money manager claims Coca-Cola allocated as much as $24 billion toward stock-based rewards for its senior people.
shared by @JacobWolinsky, @morningmoneyben, @abnormalreturns, @davidweidner, @Dasan
David Einhorn Gets His Blogger
New York Times
Having discovered the identity of “Valuable Insights,” David Einhorn, head of Greenlight Capital, considers the matter resolved. The firm did not name the blogger.
shared by @MattGoldstein26, Here Is The City, @JohnLothian, @Dvolatility
New York Times
Having discovered the identity of “Valuable Insights,” David Einhorn, head of Greenlight Capital, considers the matter resolved. The firm did not name the blogger.
shared by @MattGoldstein26, Here Is The City, @JohnLothian, @Dvolatility
Trish Regan, Einhorn apologist
Reuters
Ensconced as she is within the massive Bloomberg borg, Regan doesn’t need to worry about the cost of defending her journalistic operation against litigious hedge fund managers.
shared by Reformed Broker, @JacobWolinsky, @finansakrobat, @ReformedBroker
Reuters
Ensconced as she is within the massive Bloomberg borg, Regan doesn’t need to worry about the cost of defending her journalistic operation against litigious hedge fund managers.
shared by Reformed Broker, @JacobWolinsky, @finansakrobat, @ReformedBroker
Asia editor quits Bloomberg News over handling of investigative piece
jimromenesko.com
Ben Richardson quits Bloomberg News over handling of investigative piece.
shared by @AntDeRosa, @prchovanec, @niubi, @ryanchittum, @vshih2
jimromenesko.com
Ben Richardson quits Bloomberg News over handling of investigative piece.
shared by @AntDeRosa, @prchovanec, @niubi, @ryanchittum, @vshih2
General Motors Misled Grieving Families on a Lethal Flaw
New York Times
Despite a 2009 meeting on Chevrolet Cobalt black-box data confirming a potentially fatal defect, the carmaker told accident victims’ families it did not have enough evidence.
shared by @TheStalwart, @MattGoldstein26, Business Insider, @nancefinance
New York Times
Despite a 2009 meeting on Chevrolet Cobalt black-box data confirming a potentially fatal defect, the carmaker told accident victims’ families it did not have enough evidence.
shared by @TheStalwart, @MattGoldstein26, Business Insider, @nancefinance
How is the world getting better?
vox.com
What if I told you the last 50 years had been the best in the history of the world? Now what if I showed you the data to back it up?
shared by @AnnieLowrey, FT Alphaville, @Noahpinion, @ezraklein
vox.com
What if I told you the last 50 years had been the best in the history of the world? Now what if I showed you the data to back it up?
shared by @AnnieLowrey, FT Alphaville, @Noahpinion, @ezraklein
Loneliness of Kiev Bond Trader Shows Market Was Wiped Out
Bloomberg
For 29-year-old Fyodor Bagnenko, a fixed-income trader at Dragon Capital in Ukraine, selling bonds has become a lonely business.
shared by @TonyTassell, @LaurenLaCapra, @finansakrobat, Here Is The City, @moorehn
Bloomberg
For 29-year-old Fyodor Bagnenko, a fixed-income trader at Dragon Capital in Ukraine, selling bonds has become a lonely business.
shared by @TonyTassell, @LaurenLaCapra, @finansakrobat, Here Is The City, @moorehn
Who Needs a Boss?
New York Times
Worker co-ops might be the key to alleviating inequality, if only someone would give them a loan.
shared by @JacobWolinsky, @Alea_, reddit/Economics, @newsycombinator
New York Times
Worker co-ops might be the key to alleviating inequality, if only someone would give them a loan.
shared by @JacobWolinsky, @Alea_, reddit/Economics, @newsycombinator
Catherine Rampell: The long-term unemployed aren’t lazy, but are stuck in an unforgiving cycle
Washington Post
An improving economy may not help those out of work the longest.
shared by @crampell, @MarkThoma, reddit/Economics, @NKingofDC
Washington Post
An improving economy may not help those out of work the longest.
shared by @crampell, @MarkThoma, reddit/Economics, @NKingofDC
US loses edge as employment powerhouse
Financial Times
The US is losing its edge as an employment powerhouse, where most people have a job or are looking for one, after its labour participation rate fell behind the UK’s.
shared by @AmyResnick, Naked Capitalism, @morningmoneyben, @prchovanec
Financial Times
The US is losing its edge as an employment powerhouse, where most people have a job or are looking for one, after its labour participation rate fell behind the UK’s.
shared by @AmyResnick, Naked Capitalism, @morningmoneyben, @prchovanec
Is Surging Inequality Endemic to Capitalism?
New Yorker
French economist Thomas Piketty’s “Capital in the Twenty-first Century” is a sweeping account of rising inequality.
shared by Marginal Revolution, reddit/Economics, @Alea_, @Richard_Florida
New Yorker
French economist Thomas Piketty’s “Capital in the Twenty-first Century” is a sweeping account of rising inequality.
shared by Marginal Revolution, reddit/Economics, @Alea_, @Richard_Florida
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