Outside of the financial reporting of certain car companies, SPAC promoters and countless others, I haven't read fiction in ~30 years. Limited, I know. Outside of investing/business reading, I love US history, particularly the American Revolution. In the spirit of the 4th, 1/
I thought it would be fun sharing some favorites. Mostly bios and written from the "great man" perspective. To McCullough, Adams was the greatest; but to Chernow and Ellis it was Washington. Of course, when Ellis wrote on Jefferson he was the man and so forth. All were great. 2/
What's remarkable about these giants of the revolution is the risk they took in rebellion from England. Captured, the signers of the Declaration and other revolutionaries would have hung. It's amazing how young many of them were. Franklin was the elder statesman at age 70. 3/
Jefferson was 33 when writing the Declaration in 1776.
Adams was 40. Washington (not a signer) was 44. The average age of the signers was 44. A dozen were 35 or younger. The Federalist Papers, written as articles in 1787 and 1788 under the name "Publius" are essential reading. 4/
The 85 Federalist Papers argued brilliantly for a new constitution. They were written by Alexander Hamilton, James Madison and John Jay. These guys didn't spend time on Twitter, but instead were devout students of the great Greek and Roman philosophers like Aristotle and Cato. 5/
Lesson here in minimizing distraction and noise. Easier pre phones, auto/air travel & the internet for sure, though I'll take the modern quality of life. The Federalist authors, as were Jefferson, Adams and Franklin, were influenced by Hobbes, Locke, Rousseau and Montesquieu. 6/
"Conceived in Liberty" at the top of the stack is a 4-volume (actually @mises just released what was an uncompleted 5th) history of the US. Rothbard was extraordinary. I've read the first 3 so far. The set is available at the Mises Institute website. 7/ mises.org/library/books
The Cato Institute has a very inexpensive pocket Declaration and Constitution that I buy in bulk and have given as countless gifts. For nearly every 4th of July for three decades I've read these along with the USGA Rules of Golf. Random...8/
cato.org/books/cato-poc…
Missing from the stack is a wonderful series of letters between John and Abigail Adams. Beautiful and demonstrate how harsh times were. Abigail gets too little credit as a Founder. First Second Lady, Second First Lady and mother of the 6th President. 9/ amazon.com/Letters-John-A…
One additional book missing from my stack. Jim Grant (yes, interest rate Jim @GrantsPub) penned a wonderful bio of John Adams, "Party of One" that I must have loaned out (I'd love it back - you know who you are). 10/ amazon.com/John-Adams-Par…
Finally, how about the "coincidence" that John Adams and Thomas Jefferson died on the SAME day in 1826. July 4th - exactly 50 years to the day of signing of the Declaration. John Quincy called it, "a visible and palpable manifestation of Divine Favor." Happy Independence Day!🇺🇸

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More from @ChrisBloomstran

3 Jul
Happy Independence Day! 🇺🇸🎇 Doing some quarter-end portfolio/index maintenance before the pyrotechnics and some interesting observations about S&P 500 index sales and earnings. Expect some negative surprises on the horizon given an extrapolation of what appears to be a boom. 1/
Index sales per share fell 3.7% in 2020, but the share count rose 1.8%, as it does during crises when companies need money but shares are cheap. Buy high, sell low. Overall dollar sales thus declined only 2.0% from $11.72T to $11.48T. 2/
EPS (operating, so pre writeoffs) fell 22% from $157.12 to $122.37. A huge recovery in profit & sales is underway. Wall Street pegs EPS at $187.30 & $210.69 for '21 & '22. Let’s assume a full recovery in dollar revenues to a linear 2.5% nominal growth from 2019 through 2022. 3/
Read 13 tweets
19 Jun
Upon further review, looks like you crowned yourself the next Mr. Buffett and Berkshire Hathaway in your past THREE annual letters, @chamath. Two weeks ago we had some fun digging in to your selected disclosure methodologies, didn't we? But oh my does it get even more bizarre. 1/
I’ve now had the misfortune of reading all 3 and am stunned at the apparent need to bend, break really, the facts to make your performance shine. Let’s examine your comparison to $BRKA in your past three letters, digging yourself a hole in 2018 and burying yourself in 2020. 2/
Book value, skip a year, book value, stock price. That’s YOUR selected method for Berkshire as a benchmark moving target. You can’t make this stuff up. Curiouser and curiouser, to quote Alice, can be the only way to characterize the unusual presentation of your performance. 3/
Read 38 tweets
5 Jun
Bravo Tesla on "improved" disclosure. When screwing the customer, let 'em know it up front. Gas is at prices last seen in '14, so good thing for a Tesla's gas savings - except you already paid for it. What? Let’s build a car. How about a practical Model 3. Base price $35,690. 1/ Image
Recently, the customer was informed that gas savings would be $4,300 (more on other models) on the first page of the build, with the final price a surprise at the end. The upfront language is now altered, some would say transparent, some may say obfuscating. You be the judge. 2/
Let’s keep it simple and avoid upcharges by sticking with standard options - Pearl White paint, 18” wheels and All-Black interior. Let’s skip the $10,000 Full Self-Driving as well for now, since we’re now told "regulatory approval may take longer, in some jurisdictions." Sure. 3/ Image
Read 16 tweets
1 Jun
Ten years? Did you read the disclosure in YOUR letter stating YOUR returns begin on 6/1/11, or did you forget when you launched your first fund? You don’t appear to even have a ten-year track record, @chamath. Looks like 9 yrs 7 mos. The whole thing is confusing. Intentional? 1/ Image
Are you desperate to include Berkshire’s 48.7% decline and the S&P 500’s 26.4% drop in your “long-run” comparison? Actually, it appears that you do have a 10-year record. As of tomorrow...Of course a year-to-date presentation would have to include the losses on the four SPACs. 2/
Next, I’m very confused by your reply stating, “the discrepancy in your S&P returns vs ours is because we calculated it as an IRR based on when we made our investments.” What is “IT?” You label your returns as IRR, but are you saying you calculated index returns as an IRR? 3/
Read 8 tweets
30 May
I read your 2020 annual letter with interest, @chamath. Odd it was published in late May, but we’re all busy. Before commenting on this incredibly bad take of a comparison to Berkshire Hathaway, allow me to help you with some math. First, 1965 to 1974 is TEN years, not nine. 1/ Image
Berkshire did return 12.5% against 1.4% from 1965-1974 but that’s actually ten, not the nine years you reference. Simple mistake, I’m sure. Had you used nine years Berkshire had returned 22.7% annually, quite a bit higher than the 12.5% you errantly show. More on this soon. 2/
Second, for what its worth, the S&P 500 actually returned 18.4% in 2020, not the 17.88% you mentioned twice and were careful to point out included dividends. I’d rather round to the tenths, check my source and be correct than round to the hundredths and be precisely incorrect. 3/ Image
Read 23 tweets
26 May
Strange seeing a $LMND thread deleted "justifying" a 121% gross loss, 50 points from the TX freeze alone & use of AI to deny claims by detecting lying in recorded messages. Stranger still seeing yet another new entrant into the private passenger auto game. Will they not learn? 1/
Fin-tech often means even though we light cash on fire it must be worth a fortune. If you gave me $1.5 billion and said go disrupt some industry, property/casualty insurance would NOT be it. It's remarkable some of the things that get financed in the name of disruption. 2/
For a company that’s raised $1.5 billion to disrupt renter, pet health and homeowners insurance, writing a cumulative $185 million to lose a cumulative $369 million seems like a bad idea. Now Lemonade will go after Progressive, GEICO and the heavyweights in auto? Smart. 3/
Read 19 tweets

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