Monthly Archives: May 2016

Financials are information dependent. Markets move on signals from elite authority, like the Fed. There are other benchmarks, but most of the attention is focused on when the Fed will hike rates, especially now. Still suffering from slow growth–the deflationary … Continue reading →

Before the financial crash in 2009, there existed measurable patterns that indicated the level of credit risk. Again, the interpretation is a work of art. The movie, “The Big Short,” for example, suggests that the Wall Street establishment did not … Continue reading →

The beauty of the binome is its unambiguous simplicity and repetition of design that naturally yields to the complex symmetry (the de-termination) of immeasurable diversity. However, beauty and the binome can be the creative force of no resistance (the coded … Continue reading →

Pattern recognition will occupy your space. Look at Trump’s recognition of exploiting the housing crisis, for example. Having an Ivy-League business degree, Mr. Trump knows very well that the business cycle (boom and bust) is the opportunity to make money. … Continue reading →

President Obama gave a telling speech at Hiroshima. Notice he mentioned the coded existence–determinism. Determinism is a philosophical construction (an interpretation) that technically affects objective reality. Predictable patterns emerge to trend the object of reality and, like the president said, … Continue reading →

If you are looking for financial yield–for retirement, for example–then you are interested in equity valuation. The rate of interest is fully charged (whole) but the capacity to determine it is limited. Determination is reduced to a probability, and in … Continue reading →

As the Age of Reason has matured (having to decide how to properly utilize what we know, existing on demand), science has realized there is a divergent interpretation of objective reality (the truth) transacting in large and small dimensions. Being … Continue reading →

With the Age of Reason emerged natural philosophy. Truth is a measurable thing, verified with predictive utility. (Again, remember, utility is by the numbers. When something happens every time, it is legitimate truth by the numbers and we say it … Continue reading →

For example, the secret code for transferring funds between big financial institutions was compromised. This is the coded existence of broker-dealers of every type, essentially consolidated–networked–a la the CFTMA and the ISDA. The code (SWIFT) is a well-defined pattern of … Continue reading →

If you recall, the financial crisis that precipitated the Great Recession was all about securitizing the debt, and still is. Securitizing the debt by consolidating the function of commercial banking, investment banking, and insurance, which Glass-Steagall prohibited following the Great … Continue reading →