After tracking Cairn Energy for over 2 years and not finding it interesting enough, today I finally pulled the trigger with a 10% position. I’ve dealt with Indian tax issues before in the portfolio, specifically with Satyam, and it appears to be applied without consistency or sense. I don’t believe that Cairn Energy will be […]

I’ve worked for j2 Global for 3 years now. We have monthly quotas to sell the product. Not only do they fraud customers, they fix commission reports to steal half your commission. Every month, it’s a fight for your money. You sell the product, meet goal and they claim customers cancel so they don’t have […]

The arb I mentioned in a previous post is DEMBF. It’s the ADR of D.E. Master Blenders, the coffee company Honne published research on in late 2012. We sent a copy to JAB Holdings in February. JAB ended up offering 12.5 euros per share just a month later. Not all DE shareholders tendered. All shares […]

Is there a greater joy in the investing world than finding a WAY OFF THE RUN arbitrage promising 8% in several months? Where you can put the trade on in decent size ($10 million?) It’s 2014 and I’ve found a riskless arb. Unbelievable!!!!

Go to China. China has built replicas of famous European cities. Counterfeit cities. That’s a new one… with far worse economics than making counterfeit handbags. Who’s going to pay the rent to pay off the debt load that was used to finance these enormous projects? No one. Which means the loans are bad, which […]

“Anyone who buys Puerto Rican debt of any kind is taking on an awful lot of principal risk for not much return.” -Me November 2012 Now I’m hearing stories of “conservative” Puerto Rican investors who have been totally wiped out. Think about that for a minute. People typically do not buy bonds with their risk […]

Magnus Carlsen beat 18 out of 20 players and drew 2 playing simultaneously. Magnus drew one to a grandmaster; the other to a 9 year-old kid, out of sympathy. Boaz resigned before Magnus could advance his pawns to crush him. The amazing thing is Carlsen doesn’t have a predictable system. He mixes up his game […]

I’m getting to the age where I can hear about a bizarre event happening and yet remain unfazed. But last week when Pandora announced that its listener hours went up slightly and bulls inferred that iTunes Radio wasn’t the threat everyone thought it was (bidding the stock up 6%), I LOLed. This market is screwy, […]

Stanley Druckenmiller recently did an interview with Bloomberg TV in which he called hedge fund investors idiots for paying 2 and 20, and for excusing poor performance by considering it risk-adjusted. He also said, nostalgically, that he and his peers were expected to make 20% a year (even in down markets). Druckenmiller is right. There […]

When we submitted this to the Value Investing Congress last year we knew it was by far the best idea to come from any contestant. After increasing by five times in one year, maybe some more people will realize how great it really was. Another takeaway is that the ideal holding period is forever. Yesterday […]

For no fee at all I am prepared to offer to any wealthy person an investment program which will last a lifetime and will not only preserve the estate but greatly increase it. Like other great ideas, this one is simple: When there is a stock-market boom, and everyone is scrambling for common stocks, take […]

From Reminiscences of a Stock Operator: Studying my winning plays in Fullerton’s office I discovered that although I often was 100 percent right on the market–I was not making as much money as my market “rightness” entitled me to. Why wasn’t I? First of all, I had been bullish from the very start of a […]

Excerpt from The Money Masters: An easy way to evaluate a life insurance company is to look at its intrinsic worth ten years ago, for instance, and then today: in almost all cases the rate of compounding is unexciting. I commented on the life insurance companies’ advantage in being able to use depreciated dollars to […]

“There is nothing more difficult to plan, more doubtful of success, nor more dangerous to manage than a new system. For the initiator has the enmity of all who would profit by the preservation of the old institution and merely lukewarm defenders in those who gain by the new ones.” -Niccolo Machiavelli That’s got to […]

Traders disappointed? They want liquidity? I’ll give them liquidity.