Author Archives: FIC

Objective Decision Making – more

By | October 1, 2018

Imagine that you face the following pair of concurrent decisions. First examine both decisions, then make your choices.
Decision (i): Choose between
A) Sure gain of $240
B) 25% chance to gain $1,000 and 75% chance to gain nothing
Decision (ii): Choose between
C) sure loss of $750
D) 75% chance to lose $1,000 and 25% chance to lose nothing
What’s your decision?

FIC Core Portfolio Performance – As of Q3 2018

By | September 30, 2018

Quarterly Commentary: S&P and Dow Jones Industrial had a strong quarter in Q3 2018, despite noises from trade frictions to Supreme Court Justice confirmations, from NAFTA negotiations to Turkey currency movements, from Robert Muller investigation to Fed rates hiking We still believe that the equities in major indices are richly priced, however that’s not to… Read More »

(Reuters) Walmart warns Trump’s tariffs may force it to hike prices

By | September 24, 2018

And that’s OK. This is exactly what the tariff should result to (at least part of the intention). The tariff episode is really a mean to an end to get to the final objective when countries will lower or eliminate the tariff all together. However, given the disparity of development in different nations, the “grand”… Read More »

Reminiscing the financial crisis is dangerous

By | September 17, 2018

In the past week, almost all major news outlets are publishing their “10 year” series: 10 years since the collapse of Lehman Brothers, 10 years since the past financial crisis etc. It was probably nice to write those events into history textbooks and read about them once in a while. However, I have to remind… Read More »

Less is More – one common conjunction fallacy

By | September 10, 2018

Recently I read about an interesting experiment from the book “Thinking, Fast and Slow”.  It is about the way our brain works and how to utilize more of your System 2 and constantly checking against the usual intuitions and stereotypes created by System 1. (System 1 is the part of the brain that is giving… Read More »