All Epsilon Theory Content

All Epsilon Theory Content

 

Everything we have published at Epsilon Theory since 2013, an archive of more than 1,000 evergreen notes.

Children of a Lesser Narrative

By Rusty Guinn | July 29, 2019 | 3 Comments

Perhaps there is an emerging and cohesive narrative around the zombiefication effects of structurally low interest rates. As much as we’d like this to be the case, we think it has yet to really register.

We’re All MMT’ers Now

By Ben Hunt | July 25, 2019 | 10 Comments

If Trump is reelected in 2020, I think he pushes forward a $2 TRILLION bond issuance that is fully or partially monetized by the Fed. They’ll be called Infrastructure Bonds.

If a Democrat is elected in 2020, I think she or he pushes forward a $2 TRILLION bond issuance that is fully or partially monetized by the Fed. They’ll be called Green Bonds.

We’re all MMT’ers now.

The Patsy, Revisited

By Rusty Guinn | July 24, 2019 | 10 Comments

We all know we’re supposed to figure out who the patsy at the table is, but somehow everyone we see ends up being a straw man. Maybe fine in normal markets, but in periods of stress? If you don’t know who owns it, you don’t know anything.

So I got that goin’ for me

By Rusty Guinn | July 23, 2019 | 22 Comments

Everyone is right about buybacks. They’re good. They’re fine. They’re ethical. Oh, and they’ll be gone, too, if the industry doesn’t realize that it’s playing a metagame and not a parliamentary debate.

I’m Not a Raccoon! I’m the Lone Ranger!

By Ben Hunt | July 22, 2019 | 11 Comments

Price drives the transaction volumes of non-cash-flowing, non-productive things. Not the other way around.

There are prominent people at the intersection of Wall Street and crypto who know this to be true – who know that the “Yay, network effects!” narrative is BS when it comes to Bitcoin – but who promote the narrative anyway.

Why? Because they know that it’s narrative – even false narrative – that DOES drive the price.

The Only Winning Move

By Rusty Guinn | July 19, 2019 | 11 Comments

It’s privacy and big tech again in today’s Zeitgeist, which is all about mutually assured surveillance. And for Epsilon Theory, it hits home. I think it will hit home for you, too.

The Problem with Brussels Sprouts

By Rusty Guinn | July 17, 2019 | 17 Comments

Some things are only palatable when they have been transformed into a cartoonish version of themselves. For financial professionals that raises a moral question: how much emphasis on the Cartoon of expertise about us is too much?

Mailbag: A Modern Vocational Curriculum

By Rusty Guinn | July 16, 2019 | 2 Comments

We get a lot of email and responses, but we REALLY got a lot about our comments on a curriculum that could replace the signaling-minded post-secondary degree industry. We publish them here.

We’re Gonna Need a Bigger Boat

By Ben Hunt | July 15, 2019 | 0 Comments

Financialization is not a mean-reverting phenomenon. It’s too good of a gravy train for Wall Street, corporate management and the White House to stop now. So they won’t. Like any self-respecting Great White shark, the Nudging State and the Nudging Oligarchy never stop swimming. They never stop eating.

Want to survive these financialized waters if you’re potential shark food? You’re gonna need a bigger boat.

When Did You Stop Beating Your Wife?

By Ben Hunt | July 12, 2019 | 1 Comment

“De Blasio’s ‘pay parity’ hypocrisy” is a feature article in today’s NY Post, and a central article in today’s media Zeitgeist.

Dig a little deeper into the “scandal”, and you learn that the “evidence” is complete horseshit.

It’s an article specifically designed to manipulate someone like me … someone who is VERY predisposed to believe the worst about Bill de Blasio because I dislike his politics SO MUCH.

It’s a rage engagement, one of two primary forms of Fiat News used to win the Game of You.

Every Shot Must Have a Purpose

By Demonetized | July 10, 2019 | 12 Comments

Golf, as the saying goes, is a good walk spoiled. But ET contributor Demonetized finds meaning in golf’s pathology of failure.

Swing mechanics and gimmicky shortcuts? Please. In golf and in investing, you’ve got one simple rule to improve your game.

Commit to the shot.

The Upside Down

By Ben Hunt | July 9, 2019 | 1 Comment

Everything is topsy-turvy in the Upside Down of Stranger Things. That’s the Big Baddie in the picture above, known as the Mind Flayer.

Financial media is a Mind Flayer, too, especially when it comes to coverage of crypto and tech companies.

Office Hours – 7.9.2019

By Rusty Guinn | July 9, 2019 | Comments Off on Office Hours – 7.9.2019

It’s the July 9th Office Hours, where we dive into all things Libra, Facebook and get an update on market narratives.

Raking it in

By Rusty Guinn | July 8, 2019 | 0 Comments

A few months ago, we noted how important it had become for public figures and corporations to control their own cartoon, lest someone control it for them. Well, now that advice has itself become the narrative. Don’t say you weren’t warned.

The Spanish Prisoner

By Ben Hunt | July 7, 2019 | 26 Comments

Mark Zuckerberg is not The Spanish Prisoner. He’s the guy running the con.

Libra, the cryptocoin promoted by Facebook, is a classic Spanish Prisoner con. This is how the State and the Oligarchy co-opt crypto. Not with the heel of a jackboot. But with the glamour of convenience and narrative.

ET Pack Gathering #1 – Northeast US

By Rusty Guinn | July 3, 2019 | 1 Comment

It’s the Pack Gathering, a small conclave of like-minded people interested in talking ideas and enjoying good, genuine company.

The first event will take place in our headquarters town of Fairfield, Connecticut. New England and Mid-Atlantic, this is your event.

Here We Go Again

By Ben Hunt | July 2, 2019 | 1 Comment

“You just recently hours ago met with the Chinese president, Xi Jinping,” Carlson said. “Are you closer, do you think after that meeting, to a trade deal?”

“I think so,” Trump replied. “We had a very good meeting. He wants to make a deal. I want to make a deal. Very big deal, probably, I guess you’d say the largest deal ever made of any kind, not only trade.”

He just can’t help himself. And neither can we.

Life in the Gyre

By Rusty Guinn | July 2, 2019 | 12 Comments

I was mad, and I was going to write an article about what had made me mad.

Except I was wrong. And the truth about what is happening in media should be much more concerning. It is seductive in ways that will make it difficult to resist for anyone who hasn’t decided to pay attention to those who would tell us what the crowd thinks the crowd thinks.

The Solution To The Fintech IPO Shortage

By Rusty Guinn | July 1, 2019 | 0 Comments

There’s a narrative that exists in Fintech that isn’t really present in most other early stage technology businesses. It defines why they’re different, who succeeds and who fails at getting to a liquidity event and a long-term growth trajectory.

Narrative Means Never Having to Say You’re Sorry

By Rusty Guinn | June 27, 2019 | 1 Comment

Missionary activity isn’t always intended to mislead. But when it is, it is almost always aided by another sociopathic tendency – the complete unwillingness to admit error. What’s worse – we are practically designed to empower it.