Yield Volatility Quotes

Washington’s anger was a slow but certain force once ignited. He rebuked both men: for allowing “internal dissensions” that harrow and tear our vitals. Privately, he told Jefferson that he must show “more charity for the opinions and acts of another.” He warned Hamilton about his volatile temper as well as his penchant for rushing into print with “irritating charges.” He urged each to make “allowances, mutual forbearances and temporizing, yielding on all sides.” Plainly, the father of his country knew best, but his intransigent sons ignored him.

So shall we come to look at the world with new eyes. It shall answer the endless inquiry of the intellect,—What is truth? and of the affections,—What is good? by yielding itself passive to the educated Will. Then shall come to pass what my poet said; 'Nature is not fixed but fluid. Spirit alters, moulds, makes it. The immobility or bruteness of nature, is the absence of spirit; to pure spirit, it is fluid, it is volatile, it is obedient. Every spirit builds itself a house; and beyond its house a world; and beyond its world, a heaven. Know then, that the world exists for you. For you is the phenomenon perfect

Just before Thanksgiving, I met with Bunker Hunt, then the richest man in the world, at the Petroleum Club in Dallas. Bud Dillard, a Texan friend and client of mine who was big in the oil and cattle businesses, had introduced us a couple of years before, and we regularly talked about the economy and markets, especially inflation. Just a few weeks before our meeting, Iranian militants had stormed the U.S. embassy in Tehran, taking fifty-two Americans hostage. There were long lines to buy gas and extreme market volatility. There was clearly a sense of crisis: The nation was confused, frustrated, and angry. Bunker saw the debt crisis and inflation risks pretty much as I saw them. He’d been wanting to get his wealth out of paper money for the past few years, so he’d been buying commodities, especially silver, which he had started purchasing for about $ 1.29 per ounce, as a hedge against inflation. He kept buying and buying as inflation and the price of silver went up, until he had essentially cornered the silver market. At that point, silver was trading at around $ 10. I told him I thought it might be a good time to get out because the Fed was becoming tight enough to raise short-term interest rates above long-term rates (which was called “inverting the yield curve”). Every time that happened, inflation-hedged assets and the economy went down. But Bunker was in the oil business, and the Middle East oil producers he talked to were still worried about the depreciation of the dollar. They had told him they were also going to buy silver as a hedge against inflation so he held on to it in the expectation that its price would continue to rise. I got out.

In these uncertain days, bond funds are an especially important option for investors. Unlike stock funds, they have high predictability in at least these five ways: (1) The current yields (on longer-term issues) are an excellent—if imperfect—predictor of future returns. (2) The range of gross returns earned by bond managers clusters in an inevitably narrow range that is established by the current level of interest rates in each sector of the market. (3) The choices are wide. As the maturity date lengthens, volatility of principal increases, but volatility of income declines. (4) Whether taxable or municipal, bond fund returns are highly correlated with one another. Municipal bond funds are fine choices for investors in high tax brackets, and inflation-protected bond funds are a sound option for those who believe that much higher living costs will result from the huge federal government deficits of this era. (5) The greatest constant of all is that—given equivalent portfolio quality and maturity—lower costs mean higher returns. (Don’t forget that index bond funds—or their equivalent—carry the lowest costs of all.)

The highest-risk investments include: Futures Commodities Limited partnerships Collectibles Rental real estate Penny stocks (stocks that cost less than $5 per share) Speculative stocks (such as stock in new companies) Foreign stocks from volatile nations “Junk” (or high-yield corporate) bonds Moderate-risk investments include: Growth stocks (companies that reinvest most of their profits to grow the business) Corporate bonds with lower (but still investment-grade) ratings Mutual funds or exchange-traded funds (ETFs) Real estate investment trusts (REITs) Blue chip stocks Limited-risk investments include: Top-rated investment-grade corporate and municipal bonds The lowest-risk investments include: Treasury bills and bonds FDIC-insured bank CDs (certificates of deposit) Money market funds Practicing

just seven years later Henry Ford began to sell his Model T, the first mass-produced affordable and durable passenger car, and in 1911 Charles Kettering, who later played a key role in developing leaded gasoline, designed the first practical electric starter, which obviated dangerous hand cranking (fig. 2.2). And although hard-topped roads were still in short supply even in the eastern part of the US, their construction began to accelerate, with the country’s paved highway length more than doubling between 1905 and 1920. No less important, decades of crude oil discoveries accompanied by advances in refining provided the liquid fuels needed for the expansion of the new transportation, and in 1913 Standard Oil of Indiana introduced William Burton’s thermal cracking of crude oil, the process that increased gasoline yield while reducing the share of volatile compounds that make up the bulk of natural gasolines.

We are not your enemies, Feyre,' Lucien pleaded. 'Things got bad, Ianthe got out of hand, but it doesn't mean you give up-' 'You gave up,' I breathed. I felt even Rhys go still. 'You gave up on me,' I said a bit more loudly. 'You were my friend. And you picked him- picked obeying him, even when you saw what his orders and his rules did to me. Even when you saw me wasting away day by day.' 'You have no idea how volatile those first few months were,' Lucien snapped. 'We needed to present a unified, obedient front, and I was supposed to be the example to which all others in our court were held.' 'You saw what was happening to me. But you were too afraid of him to truly do anything about it.' It was fear. Lucien had pushed Tamlin, but to a point. He'd always yielded at the end. 'I begged you,' I said, the words sharp and breathless. 'I begged you so many times to help me, to get me out of the house, even for an hour. And you left me alone, or shoved me into a room with Ianthe, or told me to stick it out.' Lucien said too quietly, 'And I suppose the Night Court is so much better?' I remembered- remembered what I was supposed to know, to have experienced. What Lucien and the others could never know, not even if it meant forfeiting my own life. And I would. To keep Velaris safe, to keep Mor and Amren and Cassian and Azriel and... Rhys safe. I said to Lucien, low and quiet and as vicious as the talons that formed at the tips of my fingers, as vicious as the wondrous weight between my shoulder blades, 'When you spend so long trapped in darkness, Lucien, you find that the darkness begins to stare back.' A pulse of surprise, of wicked delight against my mental shields, at the dark membranous wings I knew were now poking over my shoulders. Every icy kiss of rain sent jolt of cold through me. Sensitive- so sensitive, those Illyrian wings. Lucien backed up a step. 'What did you do to yourself?' I gave him a little smile. 'The human girl you knew died Under the Mountain. I have no interest in spending immortality as a High Lord's pet.' Lucien started shaking his head. 'Feyre-' 'Tell Tamlin,' I said, choking on his name, on the thought of what he'd done to Rhys, to his family, 'if he sends anyone else into these lands, I will hunt each and every one of you down. And I will demonstrate exactly what the darkness taught me. There was something like genuine pain on his face. I didn't care. I just watched him, unyielding and cold and dark. The creature I might one day have become if I had stayed at the Spring Court, if I had remained broken for decades, for centuries... until I learned to quietly direct those shards of pain outward, learned to savour the pain of others. Lucien nodded to his sentinels. Bron and Hart, wide-eyed and shaking, vanished with the other two. Lucien lingered for a moment, nothing but air and rain between us. He said softly to Rhysand, 'You're dead. You, and your entire cursed court.' Then he was gone.

IS 2% OTM THE SWEET SPOT? In 2006, Goldman Sachs completed a study of the covered call strategy. Their study found that the strategy of writing covered calls on the S&P 500, when compared to simply buying and holding the S&P 500, increased returns and lowered portfolio volatility. The results of the study are shown below: Goldman compared the return of the S&P500 with that of BXM (CBOE S&P 500 Buy Write Index) as well as three of their own Buy Write strategies. You can see that a strategy of selling 2% out-of-the-money calls yielded the highest return and the volatility (as measured by standard deviation) was lower for all covered call strategies.

I think I'm different. I've got alpha, baby...I think I can find the profits of surprise, the yield of real knowledge. Everyone says that, of course, but most investors are all beta--just volatility, just the random motion of the surf...they get killed. To generate alpha, I need help, direction, signposts, analysts, and sometimes even brandy-toting salesmen.