Content Matters

Ten Best Financial Blogs: The Top Ten List

It’s an understatement to say that these have been an interesting few weeks in the markets. The fallout from the credit crunch has become the topic du jour for all news outlets along with the political campaigns. But while the volume of coverage has gone up, it’s just added to the noise and has not provided much in the way of clarity.

I’ve relied upon the blogs on this list to provide the context for the news of the past week, just as I do on a regular basis.  Here’s the final list, as unveiled the past two weeks:

The Ten Best Financial Blogs:
10. 24/7 Wall Street
9. The Big Picture
8. Dealbreaker
7. Footnoted.org
6. Nouriel Roubini’s Global EconoMonitor
5. TraderFeed
4. Wallstrip
3. Paul Kedrosky's Infectious Greed
2. Portfolio.com Market Movers
1. Silicon Alley Insider & ClusterStock

In any top ten list there will be those that miss the cut, either because they've been edged out or because they were very similar to others in the top ten list. Here are a handful of other resources that I follow regularly, some of which came up in the comments or emails I’ve received.

• Calculated Risk
• Trader Mike
• Information Arbitrage
• EconBrowser
• Research Recap
• 10Q Detective
• FT Alphaville
• NYT Dealbook

In addition to the blogs, another interesting source of financial information for Twitter users is StockTwits. StockTwits, founded by Soren MacBeth and funded by Howard Lindzon, aggregates tweets that mention individual stocks. To post to StockTwits, simply follow StockTwits then post as usual, just inserting a $ before the ticker symbol (for example, to tweet on Goldman Sachs, you’d enter $GS). Is StockTwits just a stream of noise or can it convey useful information in 140-character snippets? You be the judge.

Which blogs did I miss? Add them in the comments.

Ten Best Financial Blogs: Silicon Alley Insider

After two-plus weeks of counting down, it’s time to unveil my number one choice for the best financial blog. My #1 financial blog meets the three criteria that I set out in the first post in this series:

1.    It makes me think about things I’d otherwise not have considered
2.    It’s entertaining, witty and a bit snarky
3.    It consistently points me to information I would have otherwise missed

For a few years, following Eliot Spitzer’s investigation of equity research and the ensuing settlement, the name Henry Blodget was largely a punchline.  Fast forward a few years and Eliot Spitzer has become the punchline and Blodget has co-founded a financial blog platform that is consistently intelligent, well-written and compelling.

Silicon Alley Insider is a great example of the new model of publishing. A multi-author blog with a consistent voice and theme, Silicon Alley Insider largely covers the business side of the digital media space. 

Recently, Alley Insider launched its second blog property, ClusterStock.  ClusterStock, which uses the tagline Research and Analysis Live, focuses on a more diverse set of financial topics. ClusterStock spotlights interesting financial news and investment research, providing their own take. 

It’s not surprising that Henry Blodget is an effective financial writer. Blodget began his career as a freelance journalist before moving to Wall Street. He has a deep understanding of the Street and an analytic mind. Early in its existence, Silicon Alley Insider gained quite a bit of attention for a post where Blodget questioned the math Morgan Stanley analyst Mary Meeker had used to forecast the revenue contribution to come from the YouTube acquisition. Henry quickly noticed that Meeker had forgotten to divide her numbers by 1,000 when computing CPM rates, so $4.8 million became $4.8 billion.  The post was quickly picked up by the blogosphere and gave Silicon Alley Insider instant credibility.

This spring, Alley Insider hired Julie Hansen, formerly with CBS College Sports, as Publisher and COO, joining Henry and former DoubleClick CEO Kevin Ryan, who serves as Chairman. Together, they’re taking a fantastic blog and turning it into a solid media business. Earlier today news broke that Alley Insider has hired Dealbreaker editor-in-chief John Carney as editor of ClusterStock. Based upon his history at Dealbreaker, we can expect to see more scoops and perhaps a touch more snark.

Silicon Alley Insider and ClusterStock have become must reads for those following the digital media and financial markets. And, together, they’re at the top of my list of the ten best financial blogs.

The Ten Best Financial Blogs:
10. 24/7 Wall Street
9. The Big Picture
8. Dealbreaker
7. Footnoted.org
6. Nouriel Roubini’s Global EconoMonitor
5. TraderFeed
4. Wallstrip
3. Paul Kedrosky's Infectious Greed
2. Portfolio.com Market Movers
1.Silicon Alley Insider & ClusterStock

Ten Best Financial Blogs: Portfolio.com Market Movers

While practitioners can offer real-world experiences, there’s a lot to be said for traditional financial journalism.  Felix Salmon, author of the Market Movers blog on Conde Nast’s Portfolio.com, exemplifies the best in financial writing.  Felix reads everything with a skeptics eye and his posts often question the things that others accept at face value.

During the past week, I’ve probably turned to Market Movers as much as any other blog as a means of gaining insights to the rapidly changing market. Yesterday morning, a colleague asked me why I thought the markets were not responding more favorably to the AIG bailout and the positive earnings reports from Goldman and Morgan Stanley. I forwarded Felix’s post Morgan Stanley in the Crosshairs, which proposed the idea that since bondholders have emerged largely unscathed, while equity holders have been punished, that those wishing to take a position in financials are foregoing stocks for debt. Was that the main driver for the drop? I couldn’t tell you, but it certainly is a more well thought out supposition than many others I’d heard.

Perhaps it’s because of his experience working for Nouriel Roubini, but Felix shines when the markets are imploding. Instinctually, he questions the axioms of others, identifying flaws in their platitudes.

But Market Movers commands my attention even when the markets are calm. Felix often writes about blogonomics and was early to recognize the fact that blogs can be viable publishing platforms and targets for M&A events.  Of course, the most enjoyable segment for me is his (somwhat) weekly Ben Stein Watch, where he takes on the actor/author/attorney/commentator who currently pens a weekly economics column for the New York Times. As Felix is quick to point out, while Stein may have portrayed an economics teacher in Ferris Bueller, his columns suggest that he did not pay much attention to economics during his own academic years.

Felix Salmon’s Market Movers blog is thoughtful and has a clear and consistent voice with occasional dry wit. He combines strong fundamental journalism skills with a deep understanding of the financial markets. The result is a compelling read that helps users navigate the complex environment we currently face.

The Ten Best Financial Blogs:
10. 24/7 Wall Street
9. The Big Picture
8. Dealbreaker
7. Footnoted.org
6. Nouriel Roubini’s Global EconoMonitor
5. TraderFeed
4. Wallstrip
3. Paul Kedrosky's Infectious Greed
2. Portfolio.com Market Movers
1.

Ten Best Financial Blogs: Paul Kedrosky's Infectious Greed

In my prologue to this series, I wrote that the best blogs make me think about things I would not have otherwise thought about and point me to items I would have otherwise missed. One blog that executes well on both of those scores is Paul Kedrosky’s Infectious Greed.

Many of the best financial blogs are written by practitioners. Paul is a technology entrepreneur, strategist for quant firm Ten Asset Management and academic. He serves as senior fellow for the Kauffman Foundation and is a frequent guest on CNBC. 

Paul’s pithy posts frequently point the reader to great information they might have missed. This morning, he linked to a series of papers on the credit crisis in one post, while providing the video of former AIG CEO Hank Greenberg on Charlie Rose in another. But Paul also provides thought-provoking posts questioning the prevailing wisdom, as exemplified by another post this morning, this one arguing that the concept of moral hazard is overblown.  His intellectual curiosity goes way beyond traditional finance and he often posts on weather-related issues, sports science and other esoteric issues.  Paul also is a data visualization fan and frequently shares interesting visual maps.

If the definition of a successful financial blog is one which makes you think in ways you otherwise wouldn’t have, Paul Kedrosky’s Infectious Greed is surely a 10.

The Ten Best Financial Blogs:
10. 24/7 Wall Street
9. The Big Picture
8. Dealbreaker
7. Footnoted.org
6. Nouriel Roubini’s Global EconoMonitor
5. TraderFeed
4. Wallstrip
3. Paul Kedrosky's Infectious Greed
2.
1.

Ten Best Financial Blogs: Wallstrip

Even Especially in a down market like this, we need a little humor with our financial research. That’s why I get my daily dose of Wallstrip each day.  Wallstrip, the only vlog (video blog) on my list was a pioneer in the use of video. While others, including broker-dealers, had previously tried to convey research on video, Wallstrip realized that in order to get users to consume their product they’d need to make it entertaining and brief. 

A typical Wallstrip episode is around 2-3 minutes long, just enough to briefly tell the story of a particular company without getting tied up in too many details. They wrap the facts in humor and a healthy dose of sarcasm, creating a tasty, snack-size portion of investment research.

Conceived by Howard Lindzon in the summer of 2006, Wallstrip was acquired by CBS in May, 2007 (it’s not often a startup goes from back of napkin to acquisition in less than a year).  While I miss the wit and on-screen personality of original host Lindsay Campbell, replacement Julie Alexandria does a more than admirable job of filling her Manolo Blahniks.

When Wallstrip first launched, the biggest challenge for me was when and where to view it. We have an open office space so audio and video can be disruptive at work. But the Wallstrip team quickly began making the episodes available via iTunes so now I watch the latest episode on my iPhone during my morning commute.  It’s perfect.

While Wallstrip has had many creative episodes, my favorite remains their take on Salesforce.com (NASD:CRM), spoofing one of my all-time favorite movies, Glengarry Glen Ross.  Watch it here if you haven’t already seen it and remember - "coffee's for closers". 

In my introductory post on the ten best financial blogs, entertainment value was one of the key criteria for making the list. Wallstrip is hands down the most entertaining financial blog that I follow.

The Ten Best Financial Blogs:
10. 24/7 Wall Street
9. The Big Picture
8. Dealbreaker
7. Footnoted.org
6. Nouriel Roubini’s Global EconoMonitor
5. TraderFeed
4. Wallstrip
3.
2.
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Ten Best Financial Blogs – TraderFeed

I’m not an active trader nor am I a technical analyst but something makes me read Brett Steenbarger’s TraderFeed blog regardless.  Brett’s background is a bit unusual for the financial markets. He is a clinical associate professor of psychiatry and behavioral sciences at SUNY Upstate Medical University and has authored a few books on the psychology of trading.  His “day job” is focused on coaching institutional traders to perform better. 

The TraderFeed blog uses technical analysis to guide trading strategy. Since I’m not a chartist, it’s hard for me to assess the quality of his analysis, but it certainly seems thorough and seems comparable to paid services. Mixed in with the charting posts are “how-to” posts on technical analysis strategies along with Brett’s thoughts on the market as a whole.

Perhaps what I like most about TraderFeed is not the blog, but rather his Twitter posts.  Each morning, Brett’s tweets begin early, providing details on the Asian markets and continue throughout the day. I’m amazed at the amount of information he can convey in 140 characters.  Here’s an example from yesterday:

On Friday we had 360 new 20-day highs against 1274 lows; Demand was 67, Supply 41; 36% of SPX stks above 50 day MA.

TraderFeed is probably the most comprehensive free blog for technical analysis. But it’s much more than that and appeals to investors of all types.  Today he has a very useful post on the current market conditions and his feeling that "while the market is probably oversold, he's not ready to go back into the market until he sees positive money flows into stocks".  Add TraderFeed to your RSS reader, or better yet, follow Brett on Twitter.

The Ten Best Financial Blogs:
10. 24/7 Wall Street
9. The Big Picture
8. Dealbreaker
7. Footnoted.org
6. Nouriel Roubini’s Global EconoMonitor
5. TraderFeed
4.
3.
2.
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Ten Best Financial Blogs: RGE Global EconoMonitor

 With Lehman (NYSE:LEH) facing bankruptcy, Merrill Lynch (NYSE:MER) looking to be acquired by Bank of America (NYSE:BAC) and new rumours of AIG (NYSE:AIG) looking for a bailout, there’s no better time than now to share the next blog in my Ten Best Financial Blogs list.

Economist Nouriel Roubini has frequently been called Dr. Doom for his bearish prognostications. There are many bears today, but Nouriel earned that moniker by correctly calling the housing bubble back in 2006, long before words like subprime or Alt-A entered most of our vocabularies. His speech to the IMF at the time was largely derided by his peers but has since proved prescient.

Roubini, who currently teaches at NYU, held various roles at the US Treasury and served on the President’s Council of Economic Advisors during the Clinton administration.  RGE Monitor, Roubini’s economic research firm, provides a series of blogs, led by Nouriel Roubini’s Global EconoMonitor. 

Nouriel doesn’t pull punches. The current headline on the Global EconoMonitor blog is “If Lehman collapses expect a run on all the other broker dealers and the collapse of the shadow banking system”.  He often comes across as over the top; then again, the collapse of Bear, Stearns and a federal takeover of Fannie and Freddie would have seemed over the top less than a year ago. 

Nouriel Roubini is not always correct.  I’m hopeful that his current view never becomes reality. But, in a fragile market, where today’s rumors and loss of confidence lead to tomorrow’s failures, I’d be a fool not to read him. And so would you.

Note: While much of RGE is available only on a subscription basis, the Global EconoMonitor and other RGE blogs are available free to registered users.

The Ten Best Financial Blogs: (we've reached the halfway point)
10. 24/7 Wall Street
9. The Big Picture
8. Dealbreaker
7. Footnoted.org
6. Nouriel Roubini’s Global EconoMonitor
5.
4.
3.
2.
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Ten Best Financial Blogs: Footnoted.org

Fundamental investing has always been about research. While research can be helpful for uncovering investment opportunities, its value is often greater for avoiding horrible mistakes. When I was in the text analytics space, a Tier I investment bank looked to engage us to read through 10K and 10Q filings to identify potential litigation risks such as asbestos litigation. It turned out that their analysts never bothered to read the filings and they’d been burned with two 7-figure losses in their fixed income group as a result.

It’s not a lot of fun reading the Ks and Qs and that’s why I’m thankful that Michelle Leder and the team at Footnoted.org does some of that work for the rest of us. Each day, Footnoted.org identifies some of the unique and interesting elements that companies look to bury in the fine print of the footnotes in their filings.  Some of what they find is shocking and egregious, some ironic and some is simply laugh-out-loud funny.

Recent posts have uncovered the $10 million “go away” fee that InfoGroup (IUSA) is paying former CEO Vin Gupta, which more than offsets his $9 million settlement, netting $1 million for his bad behavior; as well as the $2 million annual fee Martha Stewart Omnimedia (MSO) is paying its namesake founder each year for use of her various homes for filming (hey, I wonder how much the McCains could get for use of their 8+ properties..).

Regular readers of Footnoted.org have followed the trail of the Countrywide Financial Internet sex party house, which recently sold for less than half the $1.1 million mortgage that Countrywide gave to the Florida swingers who financed it.

At year-end, Footnoted.org allowed its readers to vote on the dumbest footnote of the year. The winner, with nearly 60% of the vote, was Qwest allowing the daughter of its CEO to use the corporate jet to commute to high school.

In many ways we have more transparency in the financial markets than we ever did. But all that disclosure is useless if no one is reading the filings. Thankfully, we have the Footnoted.org team to read them on our behalf and highlight the bizarre ones for our pleasure.

The Ten Best Financial Blogs:
10. 24/7 Wall Street
9. The Big Picture
8. Dealbreaker
7. Footnoted.org
6.
5.
4.
3.
2.
1.

Ten Best Financial Blogs: Dealbreaker

How do you stay interested in the market when every day brings more bad news? Well, sometimes, particularly in down markets, I want my news snarky and mixed with a little gossip.

In the vein of a New York Post or Valleywag, Dealbreaker.com brings a tabloid sensibility to financial blogs. And like any good tabloid, once Dealbreaker gets hold of a hot story, they pound it and pound it, often uncovering details that others miss.  This afternoon, in a span of about 2 hours, they offered five posts on Lehman. The posts ranged from deep, informative stories to tasty tidbits  – one indicated that the latest deal on the table for Lehman was to sell half of its Neuberger Berman asset management division, while another aimed to dispel rumors that Goldman had refused to serve as counterparty to Lehman trades and a third contemplated what could be behind the firm's silence all day.

Topics covered gleefully by Dealbreaker include banking culture, business school follies, M&A and layoffs. But don’t let Dealbreaker’s snarky voice lead you to believe that there’s no meat inside. Just as the New York Post often breaks compelling business news, Dealbreaker is well-connected and often gets the scoop on key events.

Dealbreaker serves up meaty financial news with a side of snarkiness.  Dealbreaker’s gossip may provide a guilty pleasure, but no need to hide your screen from your peers – there’s plenty of useful information inside.

The Ten Best Financial Blogs:
10. 24/7 Wall Street
9. The Big Picture
8. Dealbreaker
7.
6.
5.
4.
3.
2.
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Ten Best Financial Blogs: Barry Ritholtz' The Big Picture

In markets like the present one, it’s good to start out with a macroeconomic view of the world.  And there are few better places to do so than Barry Ritholtz’ aptly named blog, The Big Picture.

Macroeconomics can be dry, but Barry Ritholtz makes the topic exciting and accessible. He has the eye of a skeptic and blends quantitative analysis with an understanding of economic and market fundamentals. The Big Picture makes good use of graphics – charts, tables and the occasional comic strip, to make even complex issues understandable. Pop culture references make it an enjoyable read.  After all, how many economists count Amy Winehouse, Lily Allen, Vince Guaraldi and Clap Your Hands Say Yeah among their musical favorites?

But the Big Picture provides serious information. The blog voiced early warnings about the subprime credit crisis and often questions prevailing market opinions. In addition to its coverage of economics and the markets, the Big Picture provides a focus on the energy sector and digital media.

Ritholtz comes from the practitioner side of the business. He presently runs an online quant research firm, FusionIQ and publishes research through his Ritholtz Research & Analytics business. He previously was chief market strategist for the investment bank Maxim Group.

There’s no shortage of economic blogs on the web (several dozen are listed on the Big Picture blogroll) but few if any make macroeconomics as accessible and relevant as the Big Picture.

The Ten Best Financial Blogs:
10. 24/7 Wall Street
9. The Big Picture
8.
7.
6.
5.
4.
3.
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