Weekend Reading for 3/3/2017
Invisible Alpha Blog
Kudos to the Robos
Perhaps the biggest and most important difference between the DIY legal and automated investment services is how professionals can leverage the platforms to add value to their businesses and clients. To the best of my knowledge, Legal Zoom’s services aren’t very helpful for attorneys who draft contracts. Automated investment platforms, on the other hand, can be extremely valuable to financial advisors.
Chart of the Week
“Snap’s IPO valuation of $24 billion is quite a tall order for a company that has never turned a profit and warned investors that it never might. The company is now valued at 59 times its total revenue for 2016. Even for a fast-growing tech company that is a lot. Facebook in comparison has a price-to-sales ratio of around 14.”
3 Good Reads
Asset Markets as Banks (Philosophical Economics)
“If we want to get in front of things that are going to break a market’s network of confidence and undermine people’s beliefs that they’ll be able to sell near or above where they’ve been buying, we shouldn’t be focusing on valuation. We should be focusing instead on factors and forces that actually do cause panics, that actually do break the networks of confidence that hold markets together.”
You Will Never Have Enough Money (Daniel Crosby)
“Compare your stated values with the way you actually spend your time. Any surprises? If you’re like most people you probably noticed some startling discrepancies between the person you’d like to be and the person you are. After all, you vote with your time and behavior is a much better predictor of who you’re becoming than are your values. So why are we so hypocritical with ourselves?”
Smartphone – Ruler of the Morning (Amanda Katz)
“It’s almost stunning how much this single invention has transformed the domestic experience of morning. (72 percent of Americans owned smartphones as of last year, and growing; the rate is much higher, 92 percent, among 18-to-34-year-olds.) In the past, we swam up into consciousness of our own mood and daily cares, and of our bed partner or whimpering baby or the cat standing impatiently on our chest, perhaps with a gradual news assist from the radio. With smartphones, we are immediately conscious of everything.”
Enjoy your weekend!