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My experience of google adsense...(Blogger related material)

November 15, 2011 Comments (0)

I am involved in a small charity, "the Haiti Tree Project".  We try to raise money to send to a couple of villages in Haiti so that they can plant trees and create a sustainable tree-based agriculture that helps reforest the country (we've planted over 10,000 so far).   As with most small charities, raising money is always the issue and so I thought I'd give google adsense a go.  For the uninitiated, google adsense is a program that will automatically insert ads into your blog....

Gene Fama on volatility

November 15, 2011 Comments (0)

Gene Fama, Chicago Professor and the father of the efficient markets theory,  talks about recent volatility to a group of students.  Well worth reading.

60 minutes on insider trading by congress.

November 15, 2011 Comments (0)

Last night, the CBS news program - 60 minutes -  "exposed" legal insider trading by members of Congress.  Apparently it is entirely legal for members of congress to trade on private information - you can read a nice summary on the InvestorCookbooks blog. Basically our elected officials on either side of the aisle are trading using information that they gathered in their capacity as lawmakers.  However, this actually isn't really new news.  Several academic finance studies...

NCSU Jenkins MBA is in the Businessweek Top 30

November 15, 2011 Comments (0)

Great news about our part-time MBA program. 

Most of Groupon's float is being shorted.

November 15, 2011 Comments (0)

Investors could short Groupon on Thursday.  Apparently 100% of the float of GRPN shares is now being shorted. Even when a stock like GRPN is widely believed to be overvalued, shorting is still a very risky enterprise.  First, the cost of borrowing shares to short is no doubt very high.  At one point it cost 50% per year to borrow shares of Krispy Kreme (another overpriced IPO).   Second, just because you are short, there is no guarantee that you'll make money from your...

Leverage...

November 15, 2011 Comments (0)

Jon Stewart on MF Global, regulation and the effects of leverage.  (via Greg Mankiw's blog). If there is one repeated lesson from virtually all financial disasters it is that it is not bad bets that are the problem, but the amount of leverage used to make those bets. Reducing leverage would be the simplest way to prevent future financial disasters.  But, as the case of MF Global shows, even when there were limits to leverage, a well connected ex-regulator could circumvent them.

Reading lists of Vanguard Fund Managers

November 15, 2011 Comments (0)

Vanguard is a mutual fund company known for its devotion to the concept of indexing rather than active management (although they do have some actively managed funds).  It should be no surprise then that "A Random Walk Down Wall Street" is a popular book with Vanguard Fund Managers.   Here is a full list of their favorite finance reads.  This list would be a good starting point for any finance student wanting to broaden his or her knowledge of the subject.

How much do different college majors earn?

November 15, 2011 Comments (0)

From the WSJ - a sortable list by pay, employment and popularity.  As my colleague, Craig Newmark points out, a lot of the highest paid majors contain the word "engineering".

Pension plan day of reckoning is 15 years away...

November 15, 2011 Comments (0)

I've talked about how state pension plans are underfunded in both obvious and not so obvious ways.  The obvious way is that even with their return assumptions, they are often unable to meet their promised obligations.  The not so obvious way is that they use a high rate of return (usually about 8%) to find the present value of what they owe.  Because their obligations are virtually riskless, they should use a much lower rate, which would result in these obligations having a...

Wall Street doesn't want financially literate investors

November 15, 2011 Comments (0)

An interesting article that argues that the last thing Wall Street wants is investors that know what they are doing.