The So-So Returns of Losers in January 2013

In a previous blog, I wrote about the strategy of buying the previous year’s losers and selling the previous year’s winners.  So how did the strategy do in January 2013?  Not so well, but it didn’t hurt either.  The long-short return was 4.44%.  Two companies in the loser portfolio were gone by the end of January.  One was Theratechnologies (THER), which was delisted from...
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Don’t Blame Lance, Blame Yourself

Lance Armstrong is again a hot topic, given his confession to doping this week.  Many people say it doesn’t matter…he’s done.  I was never a big Lance Armstrong fan.  I never bought his bracelets and I never got into the hype.  And despite all his denials over the years, I always believed he was doping.  Cycling is a sport that is so loaded with doping that it’s hard...
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When Losers are Good Company

A few years ago, when I helped create portfolios for retail customers, my research group considered offering customers the possibility to buy the worst performing stocks of the previous year.  The logic is not too different from the Dogs of the Dow strategy.  If you remember, the Dogs of the Dow strategy buys the highest dividend yielding stocks at the end of the calendar year and holds them...
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The Amazing Walt Disney

Today I went to visit the Walt Disney museum in San Francisco. The museum is so appropriately situated in the Presidio area with a splendid view of the Golden Gate bridge. Although I knew about Disneyland, Mickey Mouse, and Mary Poppins, I learned a few special things today and I thought I would share. First, I learned that Walt Disney and Roy Disney (brothers) didn’t always have it easy....
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Warren Buffett’s Secret

As of September 2012, Warren Buffett is listed as the 2nd richest man in the world with a value of $46 billion. Warren Buffett started investing in 1956 and by 1969 closed his first investment fund after having made $25 million for himself. He eventually formed a new company that was called Berkshire Hathaway (the name of a textile company he had bought in the past). His investment performance...
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Book Signing in San Francisco. November 13, 2012. 7 PM.

Dear Friends, On Tuesday night, I will be telling some stories from the Crisis of Crowding as well as doing a book signing in a beautiful San Francisco bookstore.  Please come down and enjoy the event.  I promise to tell you some stories you won’t...
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