Porter Wagoner, RIP

The old gospel songs seem right on occasions like this; here is Wagoner with the Willis Brothers doing I’ll Fly Away.

After eighty years, fifty of them on the Grand Ole Opry, Porter Wagoner has died. Tom Spaulding eulogizes: “He lived the life, sang about the life, and he went down swinging.” That life was full of hits; this year’s album, Wagonmaster is reviewed here. CMT notes that: “Porter Wagoner, the Thin Man from the West Plains, is a case of an artist often ahead of his time who has always appeared hopelessly behind the times.” And here’s Wagoner’s “Green, Green Grass of Home.”

For this (and so much else) I’m indebted to the husband I found in the days of Dripping Springs. He introduced me to the music of those tough old singers who perform – writing, singing, playing – until they die because they want to – and because they have to. Impelled by whatever lies in that hard stubborn core within, they have to be who they are – in Nudie suits, maybe, but always, really, themselves: authentic sounds and authentic words clothed in sequins and huge belt buckles.

Everybody Get On

Most people who have flown are familiar with the Southwest Airlines “cattle call”. For those who don’t know what it is, I will give a quick explanation.

Southwest doesn’t give assigned seats for their flights, rather they issue a letter to you, A B or C. When you get to the gate, they simply say “group A get on” and that is what happens. Those who check in earlier receive the preferential section and therefore the best shot at getting those invaluable exit row seats. The problem with this was that people would begin lining up hours in advance of the flight. They had separate lines for the A, B and C sections. If you were in the rear of the section A people, there is no shot at the more valuable seats, but at least you could still get an aisle or window.

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Investing Here and Abroad

Recently I was reviewing the performance of the (small) trusts that I manage for my nieces and nephews. The site www.trustfundsforkids.com contains the performance and stock selections for each of the three portfolios if you are interested (not plugging it for cash… no advertisements there).

A friend of mine said that I had beaten the relative benchmarks in my fund performance and I was feeling pretty good about myself. However, I realized that the benchmarks that we are commonly using, the NASDAQ and NYSE, didn’t really apply because so many of the stocks that I selected were foreign companies – thus the relative benchmarks would be the high-flying international indexes where my performance would be comparatively… retarded, to use a politically-incorrect term.

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“Eating Your Own Dog Food”… or not

There is a common business phrase called “Eating your own dog food” which basically says that you are using the same systems, products or processes as your customers. In this sense you are in the same situation as your customer, taking the same risks, and suffering the same negative outcomes (should they occur). This behavior generally aligns the interests of the company with that of its customers.

Recently collateralized debt obligations have been in the news. These products were created by Wall Street firms and then pitched to their customers as low-risk ways to get a higher return than traditional “vanilla” bonds, CD’s and T bills. A number of asset based mortgages, for example, were grouped into a single security and sold in “tranches”, with each tranche having different risk characteristics and corresponding returns.

Unless you don’t have access to media of any type you’ve probably heard about the great credit crunch that is occurring right now. Many CDO’s are stuck in the pipeline of the various companies or off-balance sheet entities that were selling them because demand dried up overnight; those that are already sold are being re-rated by the debt rating agencies at much lower credit levels (one recently fell all the way from “AAA” to “junk” in a single swoop) causing many customers and many Wall Street firms to swallow big losses.

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Chicagoboyz Forum

There have been signs of life in our discussion forum, which had been dormant for a while. Please note that the forum is very much still functioning and that anyone who wants to start or add to a discussion there is encouraged to do so.

Commenter Jose Angel has just posted some typically thoughtful comments about a journal article, that might serve as the nucleus of a new discussion.