Success in the markets comes from knowing what and whom to follow. As Professor Seyhun proved in his research on insider trading, investors would do well to follow the buys and sells of corporate insiders, especially high ranking executives. Wall Street essentially does the same. Given the intricate, interconnected web of broker/dealer relationships, client feedback, [...]
The competition for assets in brokerage and investment advisory hasn’t been lost on prime brokers. In New Kids on the Prime-Brokerage Block on the WSJ, reporter Jenny Strasburg does a good job describing how new players in prime brokerage are challenging the old guard. Strasburg specifically cites 4 newish entrants into the prime-brokerage pool: Cantor [...]
by Zack Miller on September 8, 2009
I’ve come to the conclusion that investors are insane. Given who you are, you may have one of two responses to that statement of fact: you agree you say, “huh?” If you find yourself agreeing that investors are insane, I’m preaching to the choir. If you don’t understand what I mean by that statement, be [...]
I feel that sometimes I’m overly focused on finding and explaining the best resources online for stock investing. That’s partly my bent but it’s actually very much indicative of the market. Let’s face it: for the common investor, there is almost zilch for investing in debt. There are a lot of premium services for institutional [...]
I’m a big believer in expert investing communities and have written before about how these types of communities benefit investors. The sites bring a certain liquidity of ideas into the marketplace benefiting professionals and individuals alike with their thoroughness and visibility. To that end, I recently got a chance to shmooze with Divya Narenda, founder [...]
by Zack Miller on November 24, 2008
In our last post, Piggybacking guru investors for profit, we explored what piggybacking is (following the every move of uber-investors) and why it’s important (there are a small number of great investors who beat the market over the long term). So…how does an investor follow the trades of A-list hedge fund investors like Eddie Lampert, [...]
by Zack Miller on July 21, 2008
Interesting blog post about the connection between news headlines and stock movement. Jean-Philippe Bouchaud and staff at Capital Fund Management in Paris studied over 90,000 different headlines from Reuters and the like and their impact on stock prices. They couldn’t find any correlation between the two. See the New Scientist article on the study (sub. [...]