Circle Of Competence Issue #10
More news on Eddie Lampert and Sears. It is painful watching someone who has made a costly mistake continue to defend his or her position until the bloody end. And this could very well end bloody.
Ever thought of buying a wind farm? Look no further.
The only people who benefit from an exodus of bank capital here are the banks that stick it out and are able to reduce competition. Not great for consumers who need capital, access to deposits, and lending.
Interesting twist home equity loans (or rather, simply taking an equity position in a person's home) discussed here. Point Digital Finance invests for a minority equity position in a person's homes with plans to simply recoup their portion of equity upon sale of the property. The idea seems neat, but two things stick out to me that I don't like about the idea. 1) The entry into some markets (California, Colorado, etc.) seems a bit late in the game for equity returns and 2) I am not sure from the article, but it seems that this is more of an equity product than a loan/debt product and therefore the returns do not include cash flow over time. The model seems innovative, but