Weekend Reads - Mar 29, 2025

The Long-Term War Premium in Stock Markets; The Enduring Appeal of Gain Deferral; Markets between Love and Fear; The Squid Game Stock Market; and more...

• The Long-Term War Premium in Stock Markets (Klement on Investing)

• The Enduring Appeal of Gain Deferral (AQR)

• Markets between Love and Fear (Amundi)

• Heliocentrism (JPM)

• The Squid Game Stock Market (Acadian)

• Cooking up Sharpe: A Recipe for Portfolio Construction (Man)

• Has Private Credit Broken the High-Yield Spread Signal? (Verdad)

• The Past is an Incomplete Guide (Anticipating the Unintended)

• The Impact of the Inflation on the Performance of the US Dollar (Quantpedia)

• The Volatility Risk Premium in a Tumultuous Market (Robot Wealth)

• The Bubble is Bursting (📺 The Compound)

• Investing Politics: Making Sense of Trump, Tariffs and Tesla! (📺 Aswath Damodaran)

• Capturing Volatility Risk Premium Using Butterfly Option Strategies (Relative Value Arbitrage)

• Variance for Intuition, CVaR for Optimization (Quantamental Investing)

• Volatility Forecasting: HExp Model (Portfolio Optimizer)

• Finding the Nearest Valid Correlation Matrix with Higham’s Algorithm (Sitmo ML)

• The Natural Language of Finance by Hoberg and Manela (SSRN)

• How Costly are Trading Heuristics? by Han et al. (SSRN)