The Digest #199
Daily Journal reduces leverage, iPad Pro vs. MacBooks, Independent platforms, Berkshire Hathaway's annual meeting, A long run perspective, the parent-therapy trap, and more ...
Dear Readers,
I have decided to return to publishing articles exclusively on my website, The Rational Walk. I will continue to send out issues of The Digest to subscribers via email. Each issue will begin with new work I’ve published on The Rational Walk, so readers will be informed of everything that I write and can click through to articles that are of interest. There are no paywalls or ads on The Rational Walk. All articles are free.
Many of my articles in the future will not be related to business and investing, the subject that the vast majority of my 13,600 subscribers have signed up to receive. Including links to new articles in The Digest will reduce inbound email for subscribers while still allowing those who are interested to click through to read new articles.1
The Digest will continue to feature articles and podcasts that I think will be interesting for a broad audience. While there is no set schedule, I plan to send out at least a few issues per month. The Digest will continue to be free.
Thanks for reading!
Articles
Daily Journal’s 10-Q, May 14, 2024. In January, I wrote about Daily Journal’s future without Charlie Munger. I raised the question of whether the company’s $75 million margin loan funding a highly concentrated portfolio still made sense. In April, Daily Journal filed a 13-F indicating significant sales of common stocks. This was followed by the 10-Q which revealed that the margin loan was paid down to $29.4 million. The interest rate on the loan as of March 31, 2024 was 6%. (Daily Journal)
The Algorithm Behind Jim Simons's Success by Frederik Gieschen, May 15, 2024. “Unless you’re a quant, the valuable lessons are about how Simons did what he did (and why), not what he did specifically. While a book containing Renaissance’s secretive algorithms would be an instant bestseller, its value would vanish almost immediately as a horde of competitors exploit the same inefficiencies. The lessons of Simon’s life on, the other hand, are timeless.” (Alchemy of Money)
The M4 iPad Pros by John Gruber, May 14, 2024. In terms of raw specifications, the new iPad Pros rival the fastest MacBook Pro models, but iPadOS is a less capable operating system compared to MacOS. This article provides some interesting insights about Apple’s market positioning for iPads vs. MacBooks. (Daring Fireball)
This is the Best Career (Life) Advice I Ever Got by Ryan Holiday, May 15, 2024. “We talk today about ‘cancel culture’, but this is mostly a problem for people who have things that can be taken from them, who rely on ‘permission’ and ‘greenlights’ to make their work. If you have developed an independent platform, you have an insurance policy. You have security. Not just against what other people might do to you, but also against changes in the trends or the marketplace.” (RyanHoliday.com)
From the Western Canon to West Point by Matthew Hennessey, May 15, 2024. There are still schools providing a classical education in the twenty-first century. At a time when many schools are essentially unusable for citizens who wish to provide their children with a traditional education, this article describes an alternate path. (WSJ)
Rediscovering the Essence of the Berkshire Hathaway Annual Meeting by Vitaliy Katsenelson, May 16, 2024. “For three days in May, Omaha turns into a gathering of like-minded people. What do I mean by like-minded? In the past, I’d say they were value investors. But this year, I saw Omaha through the eyes of my 18-year-old daughter, Hannah, and came to a slightly different conclusion.” (The Intellectual Investor)
Focus on the Next Word, May 15, 2024. “A novel is simply one word placed after another, then another, and another. Words become sentences, sentences become paragraphs, and paragraphs become stories — it’s that simple. Every click of the keyboard is just one more step in an essay. When you acknowledge that each tiny step carries weight and significance, you turn what seems like an overwhelming burden into a manageable challenge, making uncertainty a canvas rather than a roadblock.” (Write of Passage Weekly)
Podcasts
Our Takeaways from the Berkshire Hathaway Annual Meeting, May 16, 2024. 1 hour, 8 minutes. Video. Geoff Gannon and Andrew Kuhn discuss the Berkshire Hathaway annual meeting which took place on May 4. (Focused Compounding)
Inside the Berkshire Hathaway Annual Meeting with Adam Mead, May 17, 2024. 58 minutes. The author of The Complete Financial History of Berkshire Hathaway discusses his impressions from the annual meeting. (Excess Returns)
The Long Run is Just a Collection of Short Runs, May 13, 2024. 9 minutes. “Every great idea can be taken too far. Take the notion that investors should ignore the short run. It's important to recognize that the long run is just a collection of short runs, and capturing long-term growth means managing the short run effectively enough to ensure you can stick around for a long time.” (The Morgan Housel Podcast)
Abigail Shrier: The Parent-Therapy Trap, May 14, 2024. 1 hour, 20 minutes. Video. “Over the last decade, therapy has become the default solution to solving every problem for kids. Parents getting divorced? See a therapist. Lose a loved one? See a therapist. Middle school crush dump you? Therapist. Someone said something mean? Therapist. But instead of helping kids work through difficult circumstances and solve real problems, what if it’s just making the problems worse? That’s what Abigail Shrier thinks is happening, and in this conversation, she reveals some surprising reasons why.” (The Knowledge Project)
View of Mt. Washington
Copyright, Disclosures, and Privacy Information
Nothing in this article constitutes investment advice and all content is subject to the copyright and disclaimer policy of The Rational Walk LLC. The Rational Walk is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon.com.
I also maintain a RSS feed which can be used with all RSS reader apps. I suggest using Feedly. Although fewer readers use RSS feeds than in the past, it is a good option to keep up with new articles published on a variety of websites. I will also post links to new articles on X/Twitter on the @rationalwalk account.
The Ryan Holiday article is very good. Thanks for including it.