Probably the most-read blogs printed on Enterprising Investor between April 1 and June 30 captured a occupation in movement, grappling with disruption, uncertainty, and legacy. Whereas the matters various, a number of themes emerged:
- AI and the analyst’s edge: Funding professionals are considering critically about work with, moderately than get replaced by, AI. Q2’s prime reads explored bias, prompting, mannequin efficiency, and what it means to remain aggressive in an AI-driven world.
- Rethinking portfolio building: From stretched market focus to small-cap rotation and Bayesian frameworks, readers dug into smarter methods to diversify and place portfolios amid regime shifts.
- Studying from the lengthy view: Historical past, macro forces, and world politics loomed giant in Q2 content material. Readers seemed to the previous, not for nostalgia, however for data-driven perception into future dangers and returns.
1. Vices, Virtues, and a Little Humor: 30 Quotes from Monetary Historical past
Mark J. Higgins, CFA, CFP, and Rachel Kloepfer ship a pointy, unsentimental reminder that monetary folly is nothing new. These quotes from centuries previous expose the recurring misjudgments, overconfidence, and occasional brilliance that proceed to form markets right now.
2. Market Focus and Misplaced Many years
With the highest 10 US shares now representing greater than a 3rd of market cap, Invoice Pauley, CFA, Kevin Bales, CFA, and Adam Schreiber, CFA, CAIA, discover what historical past tells us about such extremes. Elevated focus and stretched valuations have typically preceded lengthy intervals of underperformance, underscoring the necessity for a extra intentional strategy to diversification.
3. Small Caps vs. Massive Caps: The Cycle That’s About to Flip
Daniel Fang, CFA, CAIA, attracts on market cycle historical past, rate-driven migration dynamics, and relative valuations to make the case for a small-cap comeback after greater than a decade of underperformance.
4. How Tariffs and Geopolitics Are Shaping the 2025 International Financial Outlook
Kanan Mammadov examines how inflation, financial divergence, and a surge in protectionist coverage are reshaping world markets in 2025. With commerce tensions escalating and market volatility rising, he argues that buyers should modify forecasts and methods to account for cross-border dangers and coverage shocks.
5. Two Enduring Legacies, One Oracle’s Exit, and “Buffett’s Alpha”
This put up displays on Warren Buffett’s retirement and the way the award-winning Monetary Analysts Journal article “Buffett’s Alpha” helps clarify his long-term success. I weave collectively the legacy of a legendary investor with the 80-year historical past of the Journal, reminding readers that outperformance could also be uncommon, nevertheless it’s not essentially mysterious.
6. AI Bias by Design: What the Claude Immediate Leak Reveals for Funding Professionals
This forensic have a look at a leaked Claude system immediate reveals how embedded directions can distort monetary evaluation by reinforcing bias, overstating fluency, and simulating reasoning. Dan Philps, PhD, CFA, and Ram Gopal argue that with out specific safeguards, funding professionals threat mistaking AI-generated coherence for perception and inheriting flawed assumptions at scale.
7. Tariffs and Returns: Classes from 150 Years of Market Historical past
Drawing on one of the complete long-term datasets accessible, Guido Baltussen, PhD, Joshua Dekker, Michael Hunstad, PhD, Bart van Vliet, CFA, and Milan Vidojevic, PhD, discover how tariffs have traditionally influenced progress, volatility, and asset class efficiency. Their evaluation reveals that whereas protectionism typically raises macro dangers, fairness fashion components, particularly low volatility, have constantly supplied resilience throughout high-tariff regimes.
8. Outperformed by AI: Time to Substitute Your Analyst?
In a head-to-head take a look at, prime AI fashions outperformed human analysts in producing detailed SWOT analyses — particularly when guided by superior prompting. Michael Schopf, CFA, argues that the way forward for funding analysis belongs to those that can mix mannequin choice, immediate engineering, and human judgment right into a aggressive edge.
9. AI in Funding Administration: 5 Classes From the Entrance Traces
Markus Schuller, Michelle Sisto, PhD, Wojtek Wojaczek, PhD, Franz Mohr, Patrick J. Wierckx, CFA, and Jurgen Janssens define 5 key classes on how AI is reshaping funding workflows. From boosting early-career productiveness to elevating moral and regulatory considerations, this put up emphasizes the necessity for essential considering, explainability, and intentional integration to unlock AI’s worth responsibly.
10. Bayesian Edge Investing: A Framework for Smarter Portfolio Allocation
Sandeep Srinivas, CFA, introduces a dynamic, evidence-updating framework that helps buyers calibrate conviction, detect mispricing, and allocate capital extra deliberately.
Rooted in Bayesian reasoning, the strategy reframes rationality as adaptive judgment — the place readability, not certainty, offers buyers an enduring edge.
Wanting Forward
These have been the most-read blogs printed on Enterprising Investor between April 1 and June 30, 1 / 4 that mirrored a occupation balancing innovation with perception. Whether or not wrestling with the implications of AI or revisiting the teachings of economic historical past, our readers present deep curiosity and a continued starvation for rigor.
