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That Sinking Feeling: Real Estate in the Age of Climate Change
March 11, 2019

Most people think of the arctic as remote – a wasteland inhabited by polar bears (true) and penguins (untrue) – with little relevance to their daily lives. Most people are wrong. While the arctic may be distant for us geograph...

Capitalism vs Climate Change: The Case of GlassPoint Solar
March 7, 2019

If you ask most people how we will get to a zero-carbon world, they’re likely to talk about electric cars and wind farms. However, climate cognoscenti know that the two largest contributors to climate change are industrial proce...

GMOs and the Danger of Politicizing Science
February 28, 2019

Author and podcaster, Sam Harris, points out that people’s political positions tend to cluster: if you meet a gun control advocate, you can safely bet they also favor legal access to abortion services, for instance. The problem ...

Invest in Reality
February 22, 2019

Ray Dalio, the founder of the enormously influential hedge fund, Bridgewater Associates, takes as the first of his Life Principles: Embrace Reality and Deal with It. There is simply no way to invest well over the long-term if you ...

The Real Reason GMOs are Bad… And Why They May Save Humanity
February 20, 2019

Genetic modification of plants is humanity’s oldest and best trick. Eurasians had it easy when it came to cultivating wheat — its original form was pretty close to its present cultivated one. Mesoamericans, on the other ...

Finding Silver Linings in the PG&E Bankruptcy
February 1, 2019

When Pacific Gas and Electric PCG declared bankruptcy – a topic I discussed in my article PG&E: The First S&P 500 Climate Change Casualty – I was in the midst of being introduced to the infamous traffic jams of Los Angeles. Si...

Winning at Climate Change Investing
January 30, 2019

As strange as it might seem considering the increasingly frightening data and scientific studies being published nearly data (Greenland's Melting Ice Nears a ‘Tipping Point,' Scientists Say – NY Times, Oceans warming f...

Carbon Tax: The Ultimate Free-Market Solution to Climate Change
January 25, 2019

Thanks to a particularly odious little troll of a man and to a writer whose two major works the late, great Christopher Hitchens describes as “transcendently awful”, the word “tax” has a nearly obscene connotation. Nonethe...

PG&E: The First S&P 500 Climate Change Casualty
January 18, 2019

Nevil Chamberlain’s claim in September 1938 that his agreement with “Herr Hitler” had achieved “peace for our time” is one of the dramatic historical interludes that modern people look back upon with wonder. How could so...

Capitalism versus Climate Change: The Case of Carbon Engineering
January 11, 2019

Imagine vacuuming CO2 out of the thin air and transforming the carbon into jet fuel or gasoline. While it might seem like a sci-fi fantasy, it is actually the bread-and-butter business of an innovative firm I mentioned in an earli...

Climate Change Investing: The Greatest Opportunity in History
January 4, 2019

Over the Christmas and New Year’s break, I’ve been catching up on the stack of reading materials piled up on my nightstand. Included in my stack is a copy of Jared Diamond’s book Collapse, several academic papers by the winn...

Here’s The Potential Upside to Well-Run Chipmaker Microchip
December 13, 2018

Two months ago, I published an article entitled More Positives Than Negatives For This Unsexy Chipmaker about microcontroller and analog chipmaker, Microchip Technologies MCHP. Since then I have been updating Framework members wit...

Science Doesn’t Care What Trading Desks are Saying
December 6, 2018

It is 7:30 in the morning and you are on the freeway heading to work. Traffic is moving along smoothly, and your mind turns to matters other than commuting – the jerk at the head office, your dry cleaning that will be ready in t...

Be Skeptical in Investing and in Assessing Climate Change
November 30, 2018

Last week, I had the honor to be asked to speak to a group of graduate students of accounting at Ohio State University about a career in investing. One student asked, “What single piece of advice do you have for someone just...

Agriculture is Broken; AgTech Can Fix It
November 28, 2018

Imagine that you need to break a $10 bill. You hand the cashier the $10 note and, rather than a $5 bill and five $1 bills, he hands back a single $1 bill. Certainly, you would be upset. And if you couldn’t extract another $9 fro...

An Investor’s Take on the National Climate Assessment
November 26, 2018

Friday’s stealth release of the National Climate Assessment report underscores the message I have been delivering in this column regarding the need to prepare investment portfolios for climate change. The Assessment’s Summary ...

Reader Q&A: Representing Short Puts on Financial Statements
November 19, 2018

A Framework member posted a question to me on the popular bulletin board site Quora over the weekend. His question was “How do you properly account for a sold put option on financial statements?” This is a bit of a spe...

Investments that Ignore Climate Change Just Burn Money
November 12, 2018

Like many of you, I have been shocked reading the stories about the Camp fire in Northern California and the Hill and Woolsey fires, just west of Los Angeles. Fires have long been a feature of Californian life, but the concept of ...

When Investments Don’t Go as Planned: IBM Case Study
October 23, 2018

Since April of this year, we have been running a real-time case study related to incorporating option positions into the holdings of an investment portfolio of a positional, value-based investor. As a subject for our case, we used...

Two Tales of One City: The St. Joe Company
October 16, 2018

It would be the best of times, it would be the worst of times… This line – paraphrased from Dicken’s classic tale of the French Revolution – summed up the opinions of two investing giants early in 2011 regarding the real e...

The Biggest Financial Story of Our Lifetimes
October 12, 2018

The biggest financial story of our lifetimes was published this week. Wall Street paid it no heed. True, markets have declined modestly for a few days, driven by – pundits say – general worries about increasing long-term Treas...

More Positives than Negatives for this Unsexy Chipmaker
October 11, 2018

Even before U.S. equity markets performed a subtle imitation of Wile E. Coyote on Wednesday, I had been looking at a chip company I covered as the head of Morningstar’s semiconductor research team – Microchip MCHP. Microchip...

A Small-Cap Set to Ride the Cord-Cutting Wave
September 28, 2018

TV is dead. Long live TV. Three national network channels, PBS, and a few grainy, local UHF stations is what a lot of Gen-Xers like me grew up with. In those days of what is known now as “linear TV”, providers of content aucti...

A Bull in an Underwear Shop
September 21, 2018

One of the best things about working on Framework Investing is the people I meet. A few years ago, when I conducted my first Option Investing “Boot Camp”, one of the attendees was an analyst at a prestigious Midwestern hedge f...

Howard Marks on Business Cycles and the Option Value of Cash
September 14, 2018

As I mentioned in my last article, I recently had the pleasure of attending MOI Global’s Latticework 2018 Conference, at which legendary investor Howard Marks was one of the featured speakers. Marks is co-chairman and co-founder...

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