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Popular posts 2012 April

May 1, 2012 by Patrick Burns   Comments (0)

Most popular posts in 2012 April Information flows like water Replacing market indices The top 7 portfolio optimization problems A tale of two returns (posted in 2010) Cross-sectional skewness and kurtosis: stocks and portfolios Three things factor models do Beta is not volatility What the hell is a variance matrix? (posted in 2010) The quality of variance matrix estimation Low (and high) volatility strategy effects   Most popular posts in 2012 As of 2012 April 30. The top 7 portfolio...

Credit default swaps: Useful, misleading, dangerous?

May 1, 2012 by MoneyScience   Comments (0)

Richard Portes
Once upon a time, credit default swaps were a form of insurance held by investors who also owned the underlying asset. But this column argues that the market has now become overwhelmed by ‘naked CDSs’ that allow speculators to make bets on the future of corporates and sovereigns – bets that can be wildly destabilising. This column calls for a ban on naked CDSs.
Credit default swaps (CDSs) are derivatives, financial instruments sold over the counter. They...

Murdoch 'not fit' to run News Corp

May 1, 2012 by Robert Peston Blog   Comments (0)

The bombshell is on page 70 of the report by the Culture Media and Sport Select Committee into News International and phone-hacking. It is worth quoting in full: "If at all relevant times, Rupert Murdoch did not take steps to become fully informed about phone-hacking, he turned a blind eye and exhibited wilful blindess to what was going on in his companies and publications....