Pragmatic Capitalism

Practical Views on Money & Finance

‘Most Recent Stories’

When Hedge Funds Don’t Hedge

Here’s a tragic story about a hedge fund manager who lost $100MM in client assets: “Li said in the letter that he made a series of “aggressive transactions” over the last three weeks to make up for poor returns in December. He said he bet on stock price options, predicated on the broader market rising.… Read More

Global Income Inequality is Falling

Wealth and income inequality has become the big issue of the day. And with Thomas Piketty’s new book it’s become THE hottest topic in economics. But I fear that much of this discussion looks like one gigantic fallacy of composition. Last year when I wrote my review of Piketty’s book I criticized him for not… Read More

Maybe You Shouldn’t Do That

Every week it seems like there’s a new story that captures everyone’s attention in the world of finance (the same thing happens with the regular news). People focus all of their attention on that one story or market and then quickly forget about it the next week when something new catches their eye.