tede02

That is a great irony in these cases.

This is a lesson I've had to learn the hard way. Fortunately I haven't been wiped out, but the results have been very sub-par.

Here's a few good articles on Donald Bren: http://articles.latimes.com/2011/feb/13/business/la-fi-bren-20110213 https://www.bisnow.com/national/news/commercial-real-estate/how-americas-wealthiest-real-estate-mogul-got-so-rich-43849

Not sure how much is out there on him but I believe Donald Bren is one of, if not the wealthiest real estate mogul in the United States: https://en.wikipedia.org/wiki/Donald_Bren His brother, Peter, has also done well and is one of the partners of KBS, a real estate advisor that manages real estate portfolios for institutional clients and non-traded REITs on the retail side.

That is a priceless comment! ;D

huh???? The purpose of leverage is to increase your balance sheet so you can make more income. But borrowing from your 401k is moving it from one place in your balance sheet to another? And of course there is the double taxation issue. The only advantage to borrowing from 401k is to invest in things you cannot invest in your 401k. But there is just such a high cost. This is not accurate. When you borrow from a 401k, you are not withdrawing money from your account. The 401k plan is issuing you a loan and in-effect, your 401k holdings are the collateral. Also of note, some plans do not allow for loans. It's up to the business owner when they establish the plan. I need to make a correction here. After reading more on this topic, a 401k loan does not provide financial leverage as I previously implied. Randomep was correct in that it is in fact moving assets from one spot on the balance sheet to another. However, a loan from a 401k plan does allow you tax free access to up to $50k of your 401k account balance. The "interest" you pay on the loan is paid back to your own account. Some have noted that you're repaying your loan with after-tax dollars. This is true, but the loan is received free of taxes to begin with so its a wash. The "interest" you pay yourself would be paid back with after-tax dollars however. My apologies for the mistatement. A 401k loan can be a cheap way to get cash, but it does not provide financial leverage as such.

Carney is Treasury's unofficial spokesman.

Any suggested sources for historical data back to 1965? Closing day prices is what I'm really after. Thanks.

Have Buffett or Munger commented on the Fannie/Freddie situation (the current litigation and future of the firms)? I would like to get their opinion, particular Munger's because of his legal background.

LOL! ;D So we wait I guess. Best, Ted

Maybe I missed this but is there a time line for their decisions No deadline. The supplemental briefing is due 7 days from now. Merkhet & others, I understand there is no deadline after the supplemental briefing for a ruling. However, what is your gut instinct? Weeks? Months? By year end?

JP Morgan maintains a data set that is updated quarterly. It includes the graph you were looking for on slide 14. There is a ton of data in the guide: https://am.jpmorgan.com/us/en/asset-management/gim/adv/insights/guide-to-the-markets https://am.jpmorgan.com/blob-gim/1383280028969/83456/jp-littlebook.pdf

I love reading the comment section on Carney articles.

Let's reopen this poll. :D

I bought two pairs last year. Very comfortable.

huh???? The purpose of leverage is to increase your balance sheet so you can make more income. But borrowing from your 401k is moving it from one place in your balance sheet to another? And of course there is the double taxation issue. The only advantage to borrowing from 401k is to invest in things you cannot invest in your 401k. But there is just such a high cost. This is not accurate. When you borrow from a 401k, you are not withdrawing money from your account. The 401k plan is issuing you a loan and in-effect, your 401k holdings are the collateral. Also of note, some plans do not allow for loans. It's up to the business owner when they establish the plan.

The circumstances around the net worth sweep amendment are so rotten. It just seems so under-handed. I can't wait to see the decision makers exposed.

Eric brings up a good point. Make sure you understand the rules and plan accordingly.

An overlooked source of leverage for most individuals is a 401k loan. The amount you can borrow is usually limited but you pay yourself back the interest. Haven't done it myself, but I keep it in the back of my mind for the rare opportunity when (or if) I find an extremely high probably investment.

I really enjoyed this interview. They discuss a lot of topics from Marks' book, The Most Important Thing. https://www.youtube.com/watch?v=99n3fyxTl2o

I'm pretty late to this thread, but I saw the movie over the weekend and really enjoyed it. I have not read the book, only the Vanity Fair piece which mainly profiled Burry. The movie makes me want to read the book now more than ever to get the more detailed story. Movie get's a thumbs up for me.

Oddball, very good comments. I agree with much of what you said. One of my biggest mistakes (like others) have come from following the BigWigs without doing enough of my own due diligence. I've learned you have to form your own opinion because I've had the big guy I followed sell, then I'm sitting there holding the bag wondering what to do (buy more or sell). I've also found that I have a tendency to get caught up in the "story" of a business or investment thesis. Once that happens, its so easy to forget the entire margin of safety/margin for error (whatever you want to call it) concept. I've also learned that if one of your objectives is simply to not lose any money, you think about things differently. Otherwise the gambling mindset is basically there is some fashion. Building a position gradually is also something I've learned to do. My mindset going into anything is that its virtually certain that it will decline in price after I take a position (that's just the way it goes). It's helped to keep dry powder. Those are just a few thoughts. Interesting thread. Kind of funny to see how many people make the same types of mistakes. Demonstrates the blind spots in the brain.

http://cdn.meme.am/instances/500x/66321863.jpg I got a kick out of this one... ;D

I find this so interesting. Thought others may as well. http://video.cnbc.com/gallery/?video=3000497604 http://www.nytimes.com/2014/02/11/your-money/john-maynard-keyness-own-portfolio-not-too-dismal.html?_r=0 I love Buffett's final remark, "They [economists] don't make a lot of money buying and selling stocks but people who buy and sell stocks still listen to them."

A number of people ripped the WSJ's Carney in the comment section. Somewhat entertaining.