tpeng

9 ms·

31.
by tpeng 12y ago
The most glaring error in this article is that the author is talking about the hedge fund industry as a whole, but he uses the S&P 500 as a benchmark. Hedge funds that don't invest in equities are not, and should not be, benchmarke
32.
by tpeng 12y ago
It's true that the concept of moderation doesn't prescribe specific targets. It only excludes extreme targets. The two rules that you really can bank on are that calorie intake is directly linked to weight loss/gain, and you
33.
by tpeng 12y ago
Popular and consensus opinions in nutrition (including those ostensibly backed by science) are overturned all the time. Just look at historical views on saturated fat, GI, cholesterol, etc. etc. That's why the seemingly anti-intellectu
34.
by tpeng 12y ago
If I understand correctly, YC will sometimes ask applicants to return soon afterwards for a second, extended interview. So they don't always make a "yes" decision in 10 minutes, but they can make a "no" decision in
35.
by tpeng 12y ago
Random thought: Companies like optimizely have key data on its customers (conversion rates) and it may be valuable to a VC to have a board seat / access for the data alone. Not alleging any malfeasance here, just think it is an interes
36.
by tpeng 12y ago
I agree that the concept of limited liability is critical to modern capitalism and entrepreneurship, but I think you may be mistaken about the history of companies. The concept of corporations is based on a legal identity that is separate f
37.
by tpeng 12y ago
Commercial banks prior to the 1930s commonly issued assessable stock to their directors and officers -- a form of stock that allowed the corporation to levy the stockholder for additional funds. The liability of the shareholder was therefor
38.
by tpeng 12y ago
It's not the administrative cost of reporting, it's the cost of having to run your business differently based on being measured quarterly.
39.
by tpeng 12y ago
Keep in mind that this generation of startups is delaying IPO as long as possible. The main reason appears to be a desire to delay public company reporting requirements, not a lack of capital needs. Since the IPO market remains strong, a se
40.
by tpeng 12y ago
Well, to be clear, an asset purchase transaction (ex the Fed) does not change the number of "dollars outstanding" (the money supply). To be more precise in my language, investors prefer holding assets to cash at a specific asset p
41.
by tpeng 12y ago
I generally agree with fred that monetary policy is driving valuations. However, I think it's not quite as simple as he describes (although he may be intentionally simplifying for his audience). It's true that financial assets com
42.
by tpeng 12y ago
To qualify as a tax-free spinoff, the parent company must own a controlling stake in the company to be spun. Yahoo does not own a controlling stake in either Y! Japan or Alibaba. However, there is a tax maneuver being considered, called a &
43.
by tpeng 12y ago
Would you say that oil companies do not impose environmental externalities, but that the guilt solely falls on drivers who consume gasoline? No, the company bears some responsibility. As to your second question, this is a public policy issu
44.
by tpeng 12y ago
I live in a downtown residential building one block away from a hotel, so that's not always the case. Of course, some communities may choose to prohibit AirBNB altogether. I think the bigger issue is if the externalities imposed by nor
45.
by tpeng 12y ago
The issue is not between AirBNB and its customers; its customers can evaluate the risks of renting on AirBNB, and factor that into their rental price, as well as insure for adverse outcomes. The real issue is that AirBNB also imposes these
46.
by tpeng 12y ago
While your description certainly can conjure some bad memories, risk pooling per se is a utility-creating activity, and only breaks down when correlations are not estimated correctly. Unregulated markets also aren't necessarily a bad t
47.
by tpeng 12y ago
Interesting name for the fund. Maiden Lane LLC was the bailout vehicle created by the Federal Reserve during the credit crisis, named after the street address of the NY Fed.
48.
by tpeng 12y ago
Most dating businesses are inherently conflicted because a successful outcome (relationship) is a lost customer. Tinder, in the "short term" relationship space, has a unique ability to have happy, repeat customers. 5B still seems
49.
by tpeng 12y ago
If the market were efficient, it would already price in the dilution from newly minted coins, as it does for share dilution in the stock market (which is actually quite common due to employee stock options). However, every indication is tha
50.
by tpeng 13y ago
I was simply pointing out that fairness is a matter of perspective, and in a sense, arbitrary. If I were an HFT I would no doubt think that IEX would be unfair to me. I will claim that the proposed solution (IEX) creates a fairer market for
51.
by tpeng 13y ago
People located in non-US jurisdictions (particularly those countries which have a high level of corruption or can otherwise subvert international judicial processes) have less to fear in the way of legal consequences and therefore the likel
52.
by tpeng 13y ago
I've seen this argument advanced several times now, but it doesn't make sense to me. Looking at the investors of IEX -- David Einhorn, Dan Loeb, Bill Ackman, Capital Group -- these are some very, very smart people. They're no
53.
by tpeng 13y ago
The buy side doesn't route orders. Brokers route orders, and they aren't required to tell their clients where they route the orders. (Some good brokers do allow traders to direct routing, but I believe it's not common). Also,
54.
by tpeng 13y ago
Only by implication. Calling someone a shill could be considered "only" an attack on credibility, but it's also an implied argument that the speaker lacks the right to speak on that subject.
55.
by tpeng 13y ago
While it's true that retail flow has no information, it's also true that a broker will obtain better executions if it does not sell order flow to HFTs. http://www.elitetrader.com/vb/showthread.php?t=245029 h
56.
by tpeng 13y ago
Why is this downvoted? There are multiple comments in the article based on racial stereotypes which are not only completely unnecessary but reflect negatively upon the author's judgment and credibility. Very ironic considering the arti
57.
by tpeng 13y ago
I'm not an expert but I believe you are incorrect. What you are suggesting is that the broker could perform a "trade-through", which was allowed under the old ITS rules. Under the Order Protection rule, trade-throughs of even
58.
by tpeng 13y ago
Vanguard is in the business of selling index funds. It's Vanguard's incentive for mutual funds and hedge funds to face unnecessary taxes on their trades. This lowers the returns of active investing versus passive investing. What&#
59.
by tpeng 13y ago
I will refer you to page 96 of the book. The specific example is 100 shares of MSFT asking $30.00 and 10,000 shares asking $30.01. Because of Reg NMS, your broker is required to take down the 100 shares first ("NBBO"), allowing th
60.
by tpeng 13y ago
The argument from IEX is that the exchanges intentionally price trades using slower data than what they (the exchanges) have access to. We can call it whatever we want, but natural traders would prefer an exchange that doesn't price ma

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