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“I have something to admit,” said Jackson, our 13yr old, as I walked into his room. He’d had a day to digest the news of our move to Greenwich. “What’s up my man?” I asked. “Leaving Santa Barbara stinks,” he said. I nodded, in some ways it does. “But can I show you something?” he asked, excited, and played a Greenwich lacrosse highlight video. “Wow Jackson, they’re awesome.” He nodded, eyes glued to the screen. “You

“I trace the boomerang to 1993,” said the CIO, a top performer, year after year. “It circles the globe, taking out one after another,” he explained. “China’s massive currency devaluation, coupled with its economic opening, produced a massive deflationary impulse that precipitated the 1998 Asian crisis.” Emerging market leaders then concluded they want cheap currencies and huge reserves as insurance against future cri

Sent a note this week to one of my portfolio managers. He’d proposed a bullish Brazil theme following Dilma’s October re-election, which would’ve been a big loser. Here’s the email: We all get things wrong. The question is why? Improve on the margin, and long-term performance rises dramatically. So reflect back on your excitement after Brazil’s election. It’s a good example of a few things: (1) Politicians: Betting o

“Can’t count the times I’ve thought, oh my god, maybe that guy’s just better than me,” grunted Bulldog. “In the end, they’re not,” he snorted, scratching a torn ear. “They’ve just never been rocked to their core.” The top performer in any given year is supremely confident. He’s operated within the no-fear zone, fully committed in the markets, because he doesn’t yet know how badly it can hurt. “The guys you want manag

I handed our three youngest kiddies gigantic Toblerone bars. They cheered, hooted. Jackson’s eyes remained closed, waiting. Into his hands I placed a book, on top of which was the photograph of a 13yr old girl, with a beautiful smile, sparkling eyes. “Who is she?” he asked. “Anne Frank,” I replied, “She wrote that when she was your age, it was her diary.” In Amsterdam I’d toured the attic where she spent two years wi

“My first six months were agony,” he said. “Nothing worked, no matter how hard I tried.” We sat in London, relaxed, reflecting, in a magnificent meeting room, dressed in fine art, disguising the true nature of this wonderfully horrible business. Because trading-floor walls are filthy, stained from risk-takers throwing crap, hoping something sticks. “Worried I’d get sacked,” continued the portfolio manager, now amongs

“Ready to start your day right?” asked Mara, a sly smile. I was making coffee, Saturday, back from wandering the world, wondering what was in store. She flipped pancakes, “Breakfast time!” Teddy came in hot, sliding in his socks to a stop. “Let it fly for your father,” said Mara. “You sure?” he asked, eyes sparkling. She nodded. “F… IT ALL, I’M GOING TO HAVE A GREAT DAY!” screamed Teddy, neck veins bulging. I stood t

“Emerging markets obviously need to restructure,” said the CIO, top performer, years running. “The reason lower commodity prices drive the dollar is reflexivity.” As prices fall, emerging market balance sheets get worse, investors flee to the dollar, tightening global liquidity, and driving commodity prices lower still. “No one trusts the balance sheets of anyone other than the US.” Europe has yet to properly recapit

“The rich and powerful always win; that’s the starting point,” said the clear-eyed cynic, more interested in making mountains from molehills, than tilting at windmills. “When upstarts periodically challenge their dominance, buying leveraged assets at wide credit spreads, central bankers throw the economy into recession, bankrupting new money, consolidating and preserving the existing power structure,” he continued. “

“Can we talk Dad?” asked Jackson, serious, solemn. I sat on the couch, curious, prepared for anything. “Can I try out for West Coast Stars again?” he asked, voice strained. He tried out for All-Star lacrosse last January. The rejection letter arrived, he went quiet, retreated to his room. So I sat on his bed, explained how I moved from NYC at twelve, where I’d never played sports. And years behind, suffered the humil