Scarcity

[rapidacid]

Excellent post by Josh on scarcity. I was nodding my head throughout.

http://thereformedbroker.com/2015/02/25/scarcity/

[EricL]

I thought it was really good as well. Thanks for sharing.

[Kerim]

Yeah -- really thought-provoking. I hadn't heard of that guy before, but I like how he writes.

Thanks!

[EricL]

(02-26-2015, 03:59 PM)Kerim Wrote: Yeah -- really thought-provoking. I hadn't heard of that guy before, but I like how he writes.

Thanks!

He is on CNBC Fast Money from time to time. Seems to be a pretty sharp guy.

[earthtodan]

Interesting read. About a year ago Bloomberg Radio interviewed someone who runs the TTFS (Trim Tabs Float Shrink) ETF, which focuses purely on buybacks and has outperformed the SPY. He said stock performance "has nothing to do with earnings. The only thing that matters is supply and demand." The thesis behind TTFS is to own stocks where the demand/supply ratio shrinks.

[rapidacid]

I didn't know about TTFS but for the last couple of months I've incorporated the "Buyback Yield" metric into my evaluation quant at a 5% weight.

[rayray]

Good article, thanks for posting. I did hear about this guy but forgot about him.


He's absolutely right, every day over 10 000 people will turn 65 for the next 15 years. That's over 3.6 million people per year for 15 years. Wonder what it is worldwide in developed countries? After that, theoretically it will drop if all things stay equal, in the United States. Know wonder why my Vanguard Healthcare fund has done so well--I'm going long in healthcare and healthcare facilities (REITS) and financials. I did trim my Healthcare fund to about 15 percent of my total ROTH portfolio--I was over 25 percent and did not feel 100 percent comfortable with that number.


This article also reminded me of my own cancer battle at age 36--you never know.