Blog: Recognition for Dr. Harry Markowitz - the Founder of Quantitative Finance.
Harry Markowitz was not just the father of Modern Portfolio Theory.
Topic
Financial Instability
A collection of 49 issues
Blog: Yet another "new normal" for inflation and interest rates?
The stock and bond markets have spoken. We are now in a persistent environment of 4% to 5% inflation and corresponding interest rates. While the phrase “new normal” has roots back to World War I and has been used by people as disparate as market guru, Mohammed El-Erian and science
Flash Report: Market Uncertainty State Indicator moves to Transition
Newsletter: Fuzzy Sets and AI - Measuring Market Uncertainty
As complexity rises, precise statements lose meaning and meaningful statements lose precision. - The Law of Incompatibility, Lofti Zadeh
In this month’s newsletter, I’m discussing the use of fuzzy set principals embedded in the Market Climatology model. Fuzzy sets are a sub-set of artificial intelligence (AI) that mimics
Blog: This year's Debt Limit Crisis is different, to markets.
Will this debt limit crisis lead to a bout of "creative destruction" in the Austrian economics sense?
Blog: An El Nino level regime change for the markets?
In the Market Climatology section of the Hypertext Book, I use the El Nino Southern Oscillator (ENSO) as an example of a climate level regime change. It appears that ENSO is undergoing such a regime change, from La Nina, which just ended, to El Nino, which will probably start in
Newsletter: Murphy's Law Meets Hyman Minsky
As Gilda Radner said, "It's always something."
Blog: The Debt Limit-The end of trust and the “risk-free” rate?
Trust is what's at stake with the debt limit.
Blog: Markets are Fragile, again – Credit and Debt Ceiling risks mount up
When markets are Fragile and leverage is high, a downside shock can cause calls for collateral as asset values decline leading to more selling. Minsky Moment risks are rising.
Newsletter: Liquidity and the MOVE Index - An Early Warning Signal of Financial Crisis
Liquidity has been in the media a lot lately. It’s one of those things we take for granted, until it’s dried up. In Fractal Market Analysis (1994) I made the point that markets don’t exist to give you a fair price (an assumption of the Efficient Market