Updates

  1. Person pages list letters, writing, profiles and links as sortable tables with filters, and show each person's companies as links; Fund letters show each letter's description in its own column.
  2. Experts show a checked job title and a short description of each person; 30 more people have photographs.
  3. Every company, fund, university and publication the experts work for has a page listing the people there.
  4. Fund letters show each letter's thesis and filter by it; 225 person pages list the essays, columns and newsletter issues the person wrote.
  5. Person pages list every essay and newsletter issue a person wrote, and their own books as a table in List view.
  6. Recommends shows the five largest kinds of book and the rest under More; browse pictures load sooner.
  7. Podcasts and talks link the original episode, filter by Audio and video or Press, and list each publisher once.
  8. Pages are wider, Recommends has List and Grid, and a filter clicked again turns off.
  9. Book cards sit in a ruled grid with Open Library and Goodreads links and each book's one-line note.
  10. Funds is now Investors; each investor's styles are buttons that filter the table.
  11. Podcasts and talks on a person's page filter by year and publisher and show as a list or a grid of pictures.
  12. Quotes show only people's own words: 472 summaries written by list sites are gone.
  13. Country pages open from Browse again, and every link on the shelf lands on a page.
  14. Subject and person pages show their sections as tabs, and each book appears once on a person's page.
  15. Book cards show the quote, who said it and the source; grids show five cards to a row.
  16. On a phone, a menu holds the sections, search, Updates, Feedback and dark mode.
  17. Feedback takes a screenshot of the page with no browser prompt, opens a screenshot full size when you click it, and clears itself once sent.
  18. Book cards are centred, search names the topic each book sits in, and any text cut short shows whole on hover.
  19. Search groups its results by kind: people, companies, geographies, subjects, topics, books, funds, fund letters and papers.
  20. The Books table lists who recommended each book by name, and the browser tab names the section you are in.
  21. Feedback can take a screenshot of the page, or one you paste or choose, and opens in the corner beside Updates.
  22. Each rail button reopens its section where you left it, and Browse, Table and People show on every book and subject page.
  23. Filters grey out choices that hold nothing instead of hiding them, and Books › People filters by authors or recommenders.
  24. Feedback takes a subject line and up to three screenshots.
  25. Biographies are grouped by the person they are about: 41 new pages, from Abraham Lincoln to Lee Kuan Yew.
  26. Sport splits into 23 sports, and Religion into one topic per faith.
  27. Book lists show as cards: the cover, one recommendation quote and every recommender by name.
  28. Seventeen subjects that had two or three pages under different names now have one page each.
  29. Every page lists its Experts as authors and recommenders, with a link to them on the Experts tab.
  30. Economics, Financial history, Financial panics and Accounting are subjects of their own, with one page per financial crisis.
  31. Book, person and subject pages open inside the app, so the tabs stay in view.
  32. 996 more book covers, and photographs or logos for 227 more people and companies.
  33. Books › Browse shows every subject as cards, and the rail holds Fund letters, Papers, Experts, Books and Funds.
  34. Every topic over 150 books splits into narrower topics, each with a page of its own.

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The Efficient Market Hypothesis

Mental models

The claim that prices absorb available information fast enough that trading on it yields nothing after costs - a model with documented cracks in momentum, the value premium and crashes far too violent for its statistics. Use it as the null hypothesis: assume the price is right until you can name the structural reason it is not. It is why cheap index funds beat most managers, and why an edge you cannot articulate is not an edge.

Books 30Experts 9Recommenders 11Resources 4

Start here

  1. A Random Walk Down Wall StreetBurton G. Malkiel, 1973
  2. The Myth of the Rational MarketJustin Fox, 2009
  3. Adaptive MarketsAndrew W. Lo, 2017
A Random Walk Down Wall StreetA Random Walk Down Wall Street
T1 A Random Walk Down Wall Street
Burton G. Malkiel · 1973
Open LibraryGoodreads

Stock prices follow a random walk, so a low-cost index fund beats stock picking.

Recommended by: Nat Eliason, Mohnish Pabrai

The Little Book of Common Sense InvestingThe Little Book of Common Sense Investing
T1 The Little Book of Common Sense Investing
John C. Bogle · 2007
Open LibraryGoodreads

After costs, most investors trail the market, so hold a low-cost index fund.

Recommended by: Mohnish Pabrai, The Barefoot Investor and 4 others

Capital IdeasCapital Ideas
T2 Capital Ideas
Peter L. Bernstein · 1992
Open LibraryGoodreads

How Markowitz, Sharpe, Fama, Black and Scholes built the theory of modern finance.

Inefficient MarketsInefficient Markets
T2 Inefficient Markets
Andrei Shleifer · 2000
Open LibraryGoodreads

“In his excellent book, Inefficient Markets, Andrei Shleifer describes the three arguments that comprise the theoretical foundation for market efficiency.” — Michael Mauboussin

Source: Capital Ideas Revisited (Legg Mason Capital Management)

Recommended by: Michael Mauboussin

The Myth of the Rational MarketThe Myth of the Rational Market
T2 The Myth of the Rational Market
Justin Fox · 2009
Open LibraryGoodreads

Recommended by: Mohnish Pabrai

Efficiently Inefficient
T2 Efficiently Inefficient
Lasse Heje Pedersen · 2015
Open LibraryGoodreads

Markets pay skilled active managers; a survey of the strategies they run.

Adaptive MarketsAdaptive Markets
T2 Adaptive Markets
Andrew W. Lo · 2017
Open LibraryGoodreads
More Heat Than LightMore Heat Than Light
T3 More Heat Than Light
Philip Mirowski · 1989
Open LibraryGoodreads

How economics copied the maths of 19th-century physics, and what that cost it.

“there's a wonderful book called More Heat Than Light by a professor named Phil Mirowski, which documents how economists mapped over equations from Newtonian physics” — Michael Mauboussin

Source: The Tim Ferriss Show #659 — official transcript

Recommended by: Michael Mauboussin, Eric Weinstein

Empirical Asset PricingEmpirical Asset Pricing
T3 Empirical Asset Pricing
Turan G. Bali, Robert F. Engle, Scott Murray · 2016
Open LibraryGoodreads

The cross-sectional testing methods behind every factor claim.

The Theory of FinanceThe Theory of Finance
T4 The Theory of Finance
Merton H. Miller · 1972
Open LibraryGoodreads
Foundations of FinanceFoundations of Finance
T4 Foundations of Finance
Eugene F. Fama · 1976
Open LibraryGoodreads
Market VolatilityMarket Volatility
T4 Market Volatility
Robert J. Shiller · 1989
Open LibraryGoodreads
Macro MarketsMacro Markets
T4 Macro Markets
Robert J. Shiller · 1993
Open LibraryGoodreads
The Econometrics of Financial Markets
T4 The Econometrics of Financial Markets
John Y. Campbell, A. Craig MacKinlay · 1997
Open LibraryGoodreads

The statistical tools of empirical finance and the questions they test.

The Inefficient Stock MarketThe Inefficient Stock Market
T4 The Inefficient Stock Market
Robert A. Haugen · 1998
Open LibraryGoodreads

Recommended by: Mohnish Pabrai

A Non-Random Walk Down Wall StreetA Non-Random Walk Down Wall Street
T4 A Non-Random Walk Down Wall Street
A. Craig MacKinlay · 1999
Open LibraryGoodreads
Beast on Wall StreetBeast on Wall Street
T4 Beast on Wall Street
Robert A.Haugen · 1999
Open LibraryGoodreads

Recommended by: Mohnish Pabrai

The New Financial OrderThe New Financial Order
T4 The New Financial Order
Robert J. Shiller · 2003
Open LibraryGoodreads

Recommended by: Nassim Nicholas Taleb

Fischer Black and the Revolutionary Idea of Fischer Black and the Revolutionary Idea of Finance
T4 Fischer Black and the Revolutionary Idea of Finance
Perry Mehrling · 2005
Open LibraryGoodreads

Fischer Black's life and ideas, from option pricing on, that shaped modern finance.

Recommended by: Mohnish Pabrai

An Engine, Not a CameraAn Engine, Not a Camera
T4 An Engine, Not a Camera
Donald MacKenzie · 2006
Open LibraryGoodreads

“his book An Engine Not a Camera (which I would highly recommend if you are interested in these topics)” — Michael Mauboussin

Source: The Wisdom and Whims of the Collective (Legg Mason Capital Management)

Recommended by: Michael Mauboussin

Capital Ideas EvolvingCapital Ideas Evolving
T4 Capital Ideas Evolving
Peter L. Bernstein · 2007
Open LibraryGoodreads
The New Paradigm for Financial Markets: The The New Paradigm for Financial Markets: The Credit Crisis of 2008 and What It Means
T4 The New Paradigm for Financial Markets: The Credit Crisis of 2008 and What It Means
George Soros · 2008
Open LibraryGoodreads

Recommended by: Mohnish Pabrai

The Blank Swan
T4 The Blank Swan
Elie Ayache · 2010
Open LibraryGoodreads

Philosophical treatment of contingency and the practice of option trading

Recommended by: Nassim Nicholas Taleb

The Soros Lectures at the Central European UThe Soros Lectures at the Central European University
T4 The Soros Lectures at the Central European University
George Soros · 2010
Open LibraryGoodreads
Models.Behaving.Badly.Models.Behaving.Badly.
T4 Models.Behaving.Badly.
Emanuel Derman · 2011
Open LibraryGoodreads

A quant on confusing models with reality, in finance and life

Recommended by: Nassim Nicholas Taleb

The Physics of Wall StreetThe Physics of Wall Street
T4 The Physics of Wall Street
James Owen Weatherall · 2013
Open LibraryGoodreads

How physicists and mathematicians came to run money; useful context for Simons.

Recommended by: Eric Weinstein

Odds On
T4 Odds On
Matt Hall · 2016
Open LibraryGoodreads

Hall makes the evidence-based case for passive over active.

The Adaptive Markets Hypothesis: An Evolutio
T4 The Adaptive Markets Hypothesis: An Evolutionary Approach to Understanding Financial System Dynamics
Ruixun Zhang · 2024
Open LibraryGoodreads

A formal model of markets whose efficiency shifts as participants adapt.

Physics from FinancePhysics from Finance
T4 Physics from Finance
Jakob Schwichtenberg
Goodreads

Recommended by: Balaji S. Srinivasan

The New FinanceThe New Finance
T4 The New Finance
Robert A. Haugen
Goodreads

Recommended by: Mohnish Pabrai

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