Daily Bamboo Innovator Insight: Fri 21 Nov 2014 – Passion for Reality: The Extraordinary Life of the Investing Pioneer Paul Cabot

Life 

The tyranny of the long term: Let’s not get carried away in bashing short-termism: Economist

How A Top Creative Director Learned To Embrace The Chaos Of Creativity And Make Great Work: FastCo

Boxing: Pacquiao, the street kid who conquered the world: AsiaOne

SEC official: Stop spending time writing rules to protect millionaires: Reuters

Quantum biology: Nature, the physicist; How quantum theory is helping to explain the mysteries of life science: Economist

5 Books Celebrity Life Coach Tony Robbins Thinks Everyone Should Read: BusinessInsider

What It Was Like To Hear Jeff Bezos Pitch Amazon In 1994: BusinessInsider

The Secret To Creating A Huge Company, According To Peter Thiel: BusinessInsider

Warren Buffett Had An Epiphany At Age 10 That Set Him On The Path To Being America’s Second-Richest Man: BusinessInsider

Jim Parsons, ‘Big Bang Theory’ Star, to Promote Intel as Innovator: NYTimes

Love and Gravity: Christopher Nolan’s “Interstellar” illustrates how modern science has changed the way we look at love, philosophy and religion: NYTimes

The Art of Not Working at Work: Atlantic

Stop Worrying About Making the Right Decision: HBR

For Any Product to be Successful, Empathy Is Key: HBR

How to Improve Your Business Writing: HBR

What Net Present Value Can’t Tell You: HBR

The Container Store’s CEO on Finding and Keeping Front-Line Talent: HBR

Half of Employees Don’t Feel Respected by Their Bosses: HBR

Saving SeaWorld: “Performing for food is the worst option of all captive environments.. When you have an entertainment-driven business model, you cannot afford to have a whale not performing up to par. You’ll lose business.”: BW

Sotheby’s Surges As Chairman and CEO Ruprecht Steps Down Amid Board Pressure; Sotheby’s shares surged over 7% in after-hours trading on its announcement of a pending CEO change.: Forbes, WSJ

Lavish Perks Spawn New Job Category; At Tech Companies, Aim-to-Please Specialists Provide Yoga Classes, Jell-O Shots: WSJ

From bottom to top: Turning around the top team; A case study of change at Philips illustrates the importance of the “soft stuff.”: McKinsey

The Common Traits Of The Most Successful People; Do you have a routine for focus and a feeling of connectedness in your work? These great innovators had these traits in common: They are emotionally committed: FastCo

Books

Passion for Reality: The Extraordinary Life of the Investing Pioneer Paul Cabot: Amazon

400 Things Cops Know: Street-Smart Lessons from a Veteran Patrolman; ‘400 Things Cops Know’ Is the New Bible for Crime Writers: Amazon, WSJ

When Books Went to War: The Stories that Helped Us Win World War II; How Paperbacks Helped the U.S. Win World War II; Armed Services Editions created a new audience of readers back home: Amazon, WSJ

Investing Process

Tiger Global used shell company to short sell Quindell: FT, ValueWalk

Ebola becomes latest stock scam, SEC says: Reuters, CFO

Why Should an Investor Consider International Small-Caps? A conversation between David Nadel and Francis Gannon: Royce

Blowing the whistle on Sinoref: Webb

When Activist Investors Target Strong Companies: NYTimes

China

Half of Chinese provinces deserve junk ratings, S&P warns: FT

Distressed Debt in China? Ain’t Seen Nothing Yet, Buyers Say: Bloomberg

Aldi plans China move: Guardian

Rich values, poor rules dog Hong Kong-Shanghai stock volumes: Reuters

Ghosts Create Bargains in Hong Kong Housing: BW

Google Looks to Get Back Into China; Company Hopes to Unveil New Store in Country It Mostly Exited in 2010: WSJ

BMW Plays Catch-Up in China; Despite Good Reputation, Car Maker Faces Strong Competition From VW’s Audi: WSJ

Hong Kong-Shanghai Stock Connect Needs China Reforms; Simply Opening the Gates to Shanghai Doesn’t Guarantee a Flood of Investors: WSJ

Hedge Hunters Double China’s Default-Swaps as Views Split: Bloomberg

China Starts $2 Trillion Leap Forward to Slash Pollution: Bloomberg

China’s Financial System Shows Fresh Signs Of Stress; Banks Charge Sharply Higher Borrowing Costs Ahead of Share Offerings, Tax Payments: WSJ

PBOC Targets Bad Loans With Rate Cut as Property Slump Deepens: Bloomberg

India

How GIS mapping could end corruption in India: e27

Drinks groups push for inclusion in simplified India tax system: FT

Modi Presses Reform for India-But Is it Enough? WSJ

Modi Races to Give Indians Biometric IDs in Graft Fight: Bloomberg

Japan & Korea

Japan’s stimulus plan is not courageous but foolhardy; Abenomics in Peril; Japan’s No. 1 Reflationist Does a Victory Dance: FT: BW, WSJ

Deregulation at heart of Japan’s new robotics revolution: Reuters

Weed out ‘zombie firms’: Korea’s currency crisis in the late 90s was attributed partly to the government’s failure to deal with nonviable companies: KoreaTimes

AB InBev seizes full control of its Korean unit Oriental Brewery OB: KoreaTimes

Outside directors face tougher regulations in Korea; Korea adopted the system of outside directors in 2000, following the 1997-98 Asian financial crisis in order to keep management in check: KoreaTimes

Getting crafty with ideas at Maker Faire Tokyo: JapanTimes

Japan needs to begin thinking outside the box: JapanTimes

Temp workers’ strike halts school meals in Korea: AsiaOne

Japan Should Be More German: Bloomberg

Korean Unification Costs Clouded by Dearth of Data on North: Bloomberg

ASEAN

The Singaporean government has won praise for good administration but it seems to have lost the ability to sense the pulse of the people: TheStar

‘Hunger Games’ Keeps Inspiring Coup Resistance in Thailand: Bloomberg

Malaysia Scraps Fuel Subsidies as Najib Ends Decades-Old Policy: Bloomberg

Vietnam’s state firms: Excess baggage; The 400 firms the government wants to part-privatise are mostly unappealing: Economist

Jokowi Raises Hackles With Choice of Attorney General; Just a Pawn: Critics say the new attorney general will be beholden to party interests and is hardly thebest person for the job; A Clean Attorney General’s Office Is Now Just a Pipe : JakartaGlobe

‘Batman’ Jokowi Inaugurates ‘Robin’ Basuki as Jakarta Governor: JakartaGlobe

TDSR running out of steam in bringing down housing prices in Singapore?: TODAY

Electronic products from Malaysia may face restrictions in entering the United States should the country be placed on a watch list by the US authorities on Dec 1. TheStar

Tony Fernandes to play bigger role in turning AirAsia X around: TheStar

L&H eyes Bt10-billion hospitality REIT in 2015: Nation

Indonesia Rally on Fuel Masks Dim Profit Outlook: Bloomberg

Macro

Government-controlled firms: State capitalism in the dock; The performance of state-owned enterprises has been shockingly bad: Economist

FX War Reaps Collateral Damage Across Asia; South Korea, Taiwan on alert as Japan and Europe battle to weaken their currencies. Exporters set to profit.: Barron’s

Thinking outside the Bank: Powerful central banks are subject to their own biases and failings: Economist

Business-development companies: Shadowy developments; In the gap left by embattled banks, an alternative emerges: Economist

Cool watches, real jobs: How makers are reshoring American know-how: Quartz

EM corporate hard-currency debt: a bank run in the making? FT

Concern rises as cracks appear in Nordic model; Cracks are beginning to appear in the vaunted Nordic model. FT

The Stockpicker’s Last Stand; After suffering outflows of $250 billion from 2008 through 2013, Capital Group is trying to regain investor confidence.: BW

Smaller companies are not keeping up with larger rivals in adopting new internal controls framework, known as COSO 2013, as the first line of defense against fraud and financial misstatements as the Dec. 15 deadline approaches. WSJ

Pentagon Presses Contractors to Innovate; U.S. Defense Department Worries About Loss of Military Superiority: WSJ

Winner Take All in Asset Management

TMT

Mobile telecoms: The endangered SIM card; Moves to reinvent, or even abolish, the SIM card could have big consequences: Economist

Mobile payments: The cheque is in the tweet; Sending and receiving money on your smartphone is getting easier: Economist

Analytics Meets Mother Goose; Want to get your point across about data? You’d better learn to tell stories. MITSloan

Catching Up with Scantily Clad Analytics Emperors: MITSloan

Practically Every Notable Founder In Silicon Valley Just Invested In This Payroll Startup: BusinessInsider

Intel CEO: We’re ‘Not Ashamed’ Of How Far Behind We Are In Mobile: BusinessInsider

Apple is already using one-fourth of the world’s sapphire supply: Quartz

Inside Elon Musk’s $1.4 Billion Battery Plant in the Nevada Desert: Fortune

EBay retools local delivery push in renewed bet on retail: Reuters

Blockbuster military shooter video game “Call of Duty” has blasted past US$10 billion (S$13.01 billion) in lifetime sales, propelled by demand for the latest instalment in the 11-year-old franchise: AsiaOne

Will Microsoft’s ‘Productivity’ Mantra Prove Counterproductive? Microsoft’s new CEO appears to be making good on his mobile-first promise. Now he has to persuade people to care. BW

Targeted Ads? TV Can Do That Now Too; Data That Combine Viewing and Shopping Habits Help Marketers Zero In on Hispanic Bacon Lovers: WSJ

Startups Mine Market-Moving Data From Fields, Parking Lots-Even Shadows; Firms Seek Exclusive Insights on Business Outlook for Investors Seeking an Edge: WSJ

Uber’s legacy hangs in the balance: Digital robber baron or respectable innovator?: WaPo

Healthcare

Antibodies v bacteria: Making resistance futile; A new way to fight bacterial infections: Economist

Alex Abrahams and Alison Hughes, the two suburban dentists who founded Pacific Smiles in 2003, saw market value of firm climbed to $267m on debut; Pacific Smiles has preferred-provider agreements in place: TheAge

Health Care Needs Less Innovation and More Imitation: HBR

Energy & Commodities

Food supply: Uncharted waters; Consumption of farmed seafood grows amid sustainability concerns: FT

Sashimi Trend Helps Edge Pacific Bluefin Tuna Towards Extinction: JakartaGlobe

Oil Tankers: Ahoy, China! With oil prices off about 30 percent since June, China is importing record amounts of crude to build up a strategic reserve. Cheap fuel is giving tanker companies their best profits in years.: BW

Oil at $75 Means Patches of Texas Shale Turn Unprofitable: Bloomberg

Consumer & Others

Fund managers buying Middleby, heat behind the fast-casual trend: Reuters

Don’t blame a change in shopping habits, Britain’s supermarkets just got it so wrong; strategic blunders, rather than a change in shopping habits, is at the centre of their problems: Telegraph

The Big Business of Ugly Christmas Sweaters; Novelty holiday apparel is helping entrepreneurs pay college tuition and quit their jobs as lawyers and endodontists. BW

Heineken Wants to Play Santa With an At-Home Beer Tap; Heineken is rolling out an elegant $314 home beer tap in Europe. It can be used to serve nine different brews. BW

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Daily Bamboo Innovator Insight: Thurs 20 Nov 2014 – Barefoot to Billionaire: Reflections on a Life’s Work and a Promise to Cure Cancer; Why True Entrepreneurs Go Down ‘and Still Come Back Fighting’; Jon Huntsman Sr. discusses how he built a successful business

Life

The Way Warren Buffett Sold Gum As A 6-Year-Old Reveals A Trait That Made Him A Billionaire: BusinessInsider

How A Top Creative Director Learned To Embrace The Chaos Of Creativity And Make Great Work: FastCompany

Marina Mahathir: Warriors who lack vision: TheStar

How Humans Learn to Communicate With Their Eyes; Human understanding of expressions and what they mean emerges very early: WSJ

This Insight Helped Kobe Bryant Become A Better Leader; “People carry emotions with them. They have lives off the court. That helped me communicate better.”: BusinessInsider

Gregg Popovich Shares His Philosophy On Handling Failure: BusinessInsider

Invisibility lens creator to talk about his work; A Korean-American physicist made headlines in late September when he proved that Harry Potter’s invisibility cloak can exist in the real world: JoongAng

Singapore-Listed GLP Co-Founder Jeffrey Schwartz Dies at Age 55: Bloomberg

7 Successful People Share The Defining Moments That Shaped Their Careers: BusinessInsider

A Programmer Describes How He Nearly Went Insane Learning How To Code, And How To Avoid His Mistakes: BusinessInsider

The 5 Best Ways To Start A Presentation: BusinessInsider

Millionaire YouTube Star Bethany Mota Shares The Secrets To Being Successful Online: Be real and be yourself. Be consistent and upload videos as often as you can. You have to have passion, and refuse to coast. Stay connected with your audience: BusinessInsider

Avoiding the dark side of creativity: TheStandard

Simplify Your Life: FarnamStreet

Family business needs equality not hierarchy: Tim Slattery of Slattery Auctions: BRW

How Do Asia’s Rich View Succession Planning? Forbes

Finding innovative ideas in unexpected places; Looking far outside your own industry can yield surprising solutions to tough problems. Fortune

Why Japan And China Cannot Compete With America in Entrepreneurship: Forbes

A List of Goals Is Not a Strategy: HBR

A corporate balance sheet with a little added love: FT

The Post-PC CEO: No Desk, No Desktop; Starwood’s Frits van Paasschen Turns to Smartphones, Tablets as Primary Work Tools: WSJ

Former Billionaire Batista Faces Insider Trading Trial as Brazilian Middle Class Watches: Bloomberg

Voo Soo Sang, managing director of Woodlands Transport – Singapore’s largest private bus operator with annual revenue of $130m – has not forgotten his humble beginnings.: AsiaOne

The Latest Innovation: Redesigning the Business Model: K@W

Books

Best Business Books 2014: Strategy&

Barefoot to Billionaire: Reflections on a Life’s Work and a Promise to Cure Cancer; Why True Entrepreneurs Go Down ‘and Still Come Back Fighting’; Jon Huntsman Sr. discusses how he built a successful business.: Amazon. K@W

Accelerate: Building Strategic Agility for a Faster-Moving World: Amazon

The Moment You Can’t Ignore: When Big Trouble Leads to a Great Future: Amazon

Joy, Inc.: How We Built a Workplace People Love: Amazon

It’s Not the How or the What but the Who: Succeed by Surrounding Yourself with the Best: Amazon

The Moment of Clarity: Using the Human Sciences to Solve Your Toughest Business Problems: Amazon

Romancing the Brand: How Brands Create Strong, Intimate Relationships with Consumers: Amazon

Business Strategy: Managing Uncertainty, Opportunity, and Enterprise: Amazon

Fewer, Bigger, Bolder: From Mindless Expansion to Focused Growth: Amazon

Tilt: Shifting Your Strategy from Products to Customers: Amazon

The Art of Asking (Signed Edition): How I Learned to Stop Worrying and Let People Help: Amazon

Amanda Palmer on expanding her TED Talk into a book and getting a lesson in vulnerability from Brené Brown: TED

Investing Process & Research

Muddy Waters is Short Superb Summit (1228.HK); Muddy Waters Strikes Again, Says HK-Listed Superb Summit Uses M&A To Fake Books: MW, Barron’s

China’s NVC Lighting ex-CEO, bankers investigated for suspected $100 mln fraud: Reuters, SCMP, IBTimes

McLaren Group has signed an alliance with KPMG to apply the same predictive analytics and technology it does to its Formula One team to KPMG’s audit and consulting clients: FT

What is Special About Hedge Fund Activism? Evidence from 13-D Filings: SSRN

China

Distressed Debt in China? Ain’t Seen Nothing Yet, Buyers Say: Bloomberg

How China Is Disrupting The Mobile And CE Markets: TechCrunch

A conversation with a Melbourne billionaire real estate developer turned unexpectedly to his dislike of Chinese investors. What? Surely he’d welcome Asian buyers? TheAge

Demand for a new stock trading scheme linking Shanghai and Hong Kong has fallen sharply just three days after launch, prompting the head of the Hong Kong exchange to admit that the project was overhyped; Enthusiasm for China Trading Link Fades Further, Exchange Chief Says the ‘Market Is God’. FT, WSJ

What goes up must come down – even China; Regression to mean could spell trouble for Asian powerhouses: FT

Oaktree Capital to Exit Taiwan’s Fusheng Group at $1 billion; Oaktree owns a 48% stake in the conglomerate, which manufactures golfing equipment, industrial air compressors, and electronic products: WSJ

China Wages Policy Backfires as Costs Prompt Sock-City Blues: Bloomberg

Rule of law in China? Still a long way to go: AsiaOne

How China’s Economy Can Weather a ‘Long, Slow Fall’: K@W

India

Cheap Electricity for Poor Squeezing Out Solar in India: Bloomberg

Indian retailers hobble online as e-commerce firms race ahead: Reuters

India Regulator Approves New Insider-Trading Rules: WSJ

Japan & Korea

Takata’s Switch to Cheaper Airbag Propellant Is at Center of Crisis; Takata switched to ammonium nitrate, which is cheaper but is highly sensitive to temperature changes and breaks down over time: NYTimes

Big macro trade is way to profit in Japan; Stock-picking opportunities that are usual in these circumstances are hard to identify: FT

As Yen Slides, Investors Shun Other Asian Currencies: WSJ

Japan Consumers Feel Squeezed, and That’s a Problem for ‘Abenomics’; Big Challenge for Prime Minister Shinzo Abe Is Restoring Confidence and Lifting Real Wages: WSJ

S Korea chaebol growth model hits limits: FT

AmorePacific rides high on China beauty demand: FT

The list of malpractices committed by a subsidiary of state-run Korea Electric Power Corporation (Kepco) underscores how corrupt a state entity can be when it is left unsupervised: JoongAng

Korea History Points to Samsung Reviving Failed Merger: Bloomberg

ASEAN

District Thai: ‘Hunger Games’ Comes to Life in Defiant Salute to Coup Leader: Bloomberg

Growth Isn’t God in Indonesia: Bloomberg

Indonesia Rally on Fuel Masks Dim Profit Outlook: Bloomberg

S’pore tops Asia-Pac in corporate governance: study; Recent revisions to the CG Code and the SGX Listing Rules have enhanced the CG landscape here; UK pips US to lead global ranking: BT

Bursa wants feedback on ACE Market to enhance competitiveness: TheStar

AirAsia X, the long-haul, low-cost affiliate of AirAsia, facing trouble paying staff salaries: AsiaOne

Macro

Buy Emerging Market Stocks Says Value Investor Rob Arnott; As money flows to America, Research Affiliates’ iconoclast Rob Arnott recommends heading overseas. Barron’s

Robert Horrocks on the Promise of Asia Markets; Matthews Asia’s CIO sees rising wages and reform helping Asian consumers. Some areas he likes now. Barron’s

In a City Wary of Skyscrapers, a New Tower May Rise; first skyscrapper in Paris in 40 years: NYTimes

Half of British people expect another global crash in next 12 months: FT

Sweden’s central bank: Stockholm syndrome; Swedish experience puts the Riksbank at the fore on crisis-fighting measures: FT

Fresh SEC crackdown on ‘flash crashes’: FT

Some business owners are rethinking how-and on what terms-they will sell their firms to employee-stock-ownership plans in the wake of a Labor Department crackdown on inflated valuations that could jeopardize worker savings.: WSJ

Irish Bubble Deja-Vu Again Unites Bankers, Politicians: Bloomberg

TMT

India’s Micromax Seeks to Challenge Samsung With Premium Unit: Bloomberg

‘People Don’t Tune In To FM Just For Music’: Forbes

Alibaba facing its ‘most dangerous’ moment says Jack Ma: TheAge

Tourists Discover German Legal Quirk Deters Free Wi-Fi: Bloomberg

Searching For Truths In Big, Enormous, Massive Data: TechCrunch

Google to launch its app store in China: The Information: Reuters

Inside Apple’s Broken Sapphire Factory; How $1 Billion Bet on iPhone Screens Failed; The ‘Boule Graveyard’: WSJ

MailOnline Wins Readers, Will Target Profit; Aggregation Approach, Focus on Scandal and Celebrities Pay Off: WSJ

Global Forum in China Examines the Web; Chinese Regulators, Executives Assert Rise of a Carefully Filtered Internet: WSJ

Healthcare

Drug summit aims to inject urgency into innovation: FT

Lambda promises to speed cloud software development to help Parkinson’s sufferers; Imagine a software platform so smart, it can take care of all the data analysis needed to allow Parkinson’s disease researchers to find a cure: TheAge

Energy & Commodities

Oil at $75 Means Patches of Texas Shale Turn Unprofitable: Bloomberg

Cheap-Oil Era Tilts Geopolitical Power to U.S.: Bloomberg

Iron Ore’s Rout Seen Relentless by SocGen as Miners’ Stocks Fall: Bloomberg

From Iron Awe to Iron Gore; Miners hurt as iron ore hits fresh five-year low. Will someone blink first and cut supply? Barrons

Petrobras May Write Off Up to $15 Billion on Audit: Bloomberg

Commodities catastrophes could cost banks up to $15bn: FT

Asian Rubber Producers Agree to Manage Exports to Fight Oversupply: JakartaGlobe

Plump profit margins in the US chicken business may be about to fly the coop, a top food and agriculture investor warned as he hinted at listing shares in a poultry producer he controls. FT

Goldman, Morgan Stanley Commodities Heyday Gone as Units Faulted: Bloomberg

Iron ore slump halves Andrew ‘Twiggy’ Forrest’s fortune: TheAge

Consumer & Others

Exercise in a Bottle Is Next Food Frontier for Nestle: Bloomberg

Shariah Beer Thirst Shows Halal Stock Promise: JakartaGlobe

For Coke, Smaller Packages May Be Better; Soda Giant Increasingly Pushes Smaller Sizes as Consumers Fret About Calories: WSJ

Victoria’s Secret Has A Billion-Dollar Strategy For Casting Models: BusinessInsider

Cavernous Stores Wear on Forever 21; Teen Retailer Faces Challenge Filling Expansive Floor Space With Right Merchandise: WSJ

Will Tesla have to franchise? Elon Musk has said that Tesla may be easing up on its franchise policy. Here’s what it means for the company. Fortune

Where Wal-Mart Can’t Beat the Dollar Stores; Dollar General and Dollar Tree are better alternatives for exposure to the lower-income consumer. Barron’s

Daily Bamboo Innovator Insight: Wed 19 Nov 2014 – PayPal’s Peter Thiel: “Most people think originality is easy, but I think it’s actually really hard, and when you find it, it’s really valuable”

Life 

PayPal Cofounder Peter Thiel Loves This Job Interview Question; “Most people think originality is easy, but I think it’s actually really hard, and when you find it, it’s really valuable” BusinessInsider

How music education influenced Larry Page; The importance of timing in music has come to define the Google CEO’s approach to his company’s products: Fortune

How To Deal With Anxiety, Tragedy Or Heartache – 4 Steps From Research: Barking up the wrong tree

14 Quotes That Show The Ambition And Genius Of Google’s Larry Page: BusinessInsider

A founder’s epitaph: he was vitally engaged in his pursuits; The late retail designer Rodney Fitch embodied the greatest qualities of an entrepreneur: FT

Contemporary art is judged by its price tag not by aesthetics; We have lost the ability to assess art for ourselves and on its own merits: FT

The Purpose Driven Marketer: How Patagonia Uses Storytelling to Turn Consumers into Activists: FastCompany

6 reasons why everyone loves Big Hero 6: TODAY

10 Million Child Deaths Attributed to a Lack of Toilets: Bloomberg

Robert Shiller: Creativity, Corporatism, and Crowds: ProjectSyndicate

Why early-stage investing works for people and technology; The temptation to cut long-term investment in economic hard times stalks the private and public spheres: Guardian

A Successful M&A Considers the Human Element: HBR

How to avoid becoming a workaholic: Fortune

Advice from women in tech: ‘Be yourself and you’ll be legend’: Fortune

Ancient Prophecies Motivate Islamic State Militants; Battlefield Strategies Driven by 1,400-year-old Apocalyptic Ideas: WSJ

The Science of Slacking at Work: WSJ

Corporate fraud: rewards for whistleblowers make sense: TheAge

The trouble with mergers: Our advice from 1994 to lustful companies: Economist

Books

The End of Copycat China: The Rise of Creativity, Innovation, and Individualism in Asia: Amazon, FT

Emergence: The Connected Lives of Ants, Brains, Cities, and Software: Amazon

Critical Mass: How One Thing Leads to Another: Amazon

Curiosity: How Science Became Interested in Everything: Amazon

Investing Process & Research

Deal Tips From Buffett and Berkshire’s Other Managers: NYTimes

Rob Terry’s exit from Quindell has called into question the judgment of several high profile City fund managers who repeatedly defended the entrepreneur. FT

An intriguing question for investors is whether any reliable link can be made between capital expenditure and share price performance. FT

The Three Factors That Make Corporate Fraud More Likely: ValueWalk

The Folklore of Finance: How Beliefs and Behaviors Sabotage Success in the Investment Management Industry; Active Managements Fees Top $600 Billion A Year: State Street: ValueWalk, PDF

The John Malone Complex – A Study in Financial Brilliance: ValueWalk, PDF

Is Historical Cost Accounting a Panacea? Market Stress, Incentive Distortions, and Gains Trading: SSRN

Unleashing Innovation; Using a sample of venture capital (VC)-backed initial public offering (IPO) firms, we study the effect of financial intermediaries’ tight leash on entrepreneurs’ innovation productivity: SSRN

Greater China

RMB1.3tn robotics market has China teeming with competition: WantChinaTimes

Reform Hiccup Leaves Some Classrooms in Guangzhou Sitting Empty: Caixin

Head of Troubled Li-Ning Co. Hands Baton to Company’s Founder; Jin-goon Kim, of investment firm Texas Pacific Group, steps down as Li Ning himself announces a new chief executive will be named in near future: Caixin

Why Shanghai-Hong Kong Stock Connect Was One-Way Road; The start of Hu-Gang Tong saw Hongkongers much more interested in mainland stocks than the other way around. Here is why: Caixin

Shanghai Stock Link Flows Plunge as CLSA Sees Ghost Train: Bloomberg

At Factory Waste Ponds, Fumes Choke Fantasies; Northwest China factories with wastewater evaporation ponds pledged zero-emissions and then failed miserably: Caixin

In Hong Kong, One-Bedroom Apartments That Could Fit in a Bedroom: NYTimes

China’s robust economic activity is only an illusion: Forbes

Many of China’s TV shows, films are rubbish, minister says: Reuters

Jack Ma Challenges China Stigma With Alibaba Bond: Bloomberg

China’s Gift-Bearing Evokes Ancient Ritual: WSJ

Mining’s $120 Billion Ore Bet Sours as Peak Steel Looms in China: Bloomberg

HK student opens yellow umbrella at graduation, is refused diploma: AsiaOne

Chinese Dream for IC Powerhouse Is Coming True: EETimes

India

The certainty of taxes would benefit business investment in India; Selective levies have deterred overseas companies considering doing deals in India: FT

In space-starved Mumbai, docklands provide room for a view: Reuters

Japan & Korea

Japan at the Brink; Japan’s multinationals adapt even as Abenomics falters. WSJ

Could This Be the End of Reform in Japan? Prime Minister Shinzo Abe’s policies may be coming undone, and with it Japan’s last chance at saving itself from national decline. WSJ

Better Economic Policy Won’t Save Japan: Bloomberg

Japan Inc. Still Has Its Head in the Sand: Bloomberg

Why Japan’s 8% Tax Mauled Economy as Europe Tolerates 20%: Bloomberg

Is Sony Too Big to Succeed? EETimes

‘Zombie companies’ crimping employment and investment in Korea: Maeil

Mobile game companies have become one of the biggest beneficiaries of the widespread use of phablets and tablets, with soaring stock values on the Kosdaq boosting the wealth of CEOs: JoongAng

Samsung axes $2.3bn shipbuilding merger amid shareholder pressure; Cancellation could complicate power transfer by founding family: FT, Bloomberg

Is CEO’s moonlighting hurting MCM? “MCM seems to focus on developing products for Chinese customers. For example, the company increased the production of gold or red bags, two colors favored by Chinese people” KoreaTimes

Hong Kong billionaire bets on Incheon Free Economic Zone: AsiaOne

ASEAN

Thai Exchange Plans Curbs on Speculation After Small-Cap Surge: Bloomberg

Tycoon Dhanin weighs buying back Tesco’s $10 billion Thai unit: Reuters

Jokowi’s Achilles Heel Found in Bumi to Berau Debt Stress: JakartaGlobe

How a late booking jammed the brakes on Trans-Cab’s IPO: BT

Medical Tourists Flock to Thailand Spurring Post-Coup Economy: Bloomberg

Suu Kyi Faces Extra Myanmar Election Obstacle; Myanmar parliament chief throws doubt on Suu Kyi’s presidential chances: WSJ, Reuters

Widodo Subsidy Cut Seen Threatening Fuel Profits in Asia: Bloomberg

S’pore investors settle Morgan Stanley rigged financial products law suit; “I was told by the agent that Pinnacle has issued so many series already, so what’s to worry?”: AsiaOne

Macro

FASB Weighs Delaying New Revenue Rule; Accounting standard setters may push back the effective date of new revenue recognition rules, says a FASB assistant director: CFO

Brazil vs Mexico: a tale of two scandals: FT

The curse of weak global demand; Feeble economic performance has occurred despite the most aggressive monetary policies: FT

Jeremy Grantham Calls the Next Market Top; The investing legend writes that the S&P 500 could gain another 10% before “crashing at it always does.” Barron’s

An Offshore Swan: Could the next financial crisis be sparked by China being pulled into the Currency War? SoberLook

Seven big U.S. companies paid CEOs more than Uncle Sam in 2013: Reuters

Hedge fund operator and currency mavenStephen Jen has developed a loose Ratio of Words to Actions (RWA) to apply to the world’s big-three central banks. WSJ

Russian Accountant Loses Tooth in Ruble Devaluation: Bloomberg

Anti-HFT Revulsion Grows: IEX Ties For Fourth In Dark Pool Trading Thanks To World’s Largest Wealth Fund: ZeroHedge

Flash Boys Raise Volatility in Wild New Treasury Market: Bloomberg

Cayman Islands Are Now America’s Biggest Foreign Investor: ValueWalk

Blackstone chases Buffett with ‘core’ private equity: Reuters

TMT

Peter Thiel: Uber is ‘most ethically challenged company in Silicon Valley’; Uber, a Start-Up Going So Fast It Could Miss a Turn: CNNNYTimes

Nine Entertainment boss David Gyngell has put regional TV stations on notice, saying their big-city counterparts won’t be needing them within five years. TheAge

Technology groups in a war to dominate the world of work; The war between the giants of the technology industry for the attention of the world’s office workers look like it is about to take an unexpected turn. FT

Why Silicon Valley Shouldn’t Be the Model for Innovation: HBR

Who could buy Netflix? Fortune

A Bend in Amazon’s E-Commerce River; Online Retail Giant Faces Tougher Growth Hurdles: WSJ

Software-Defined Networking Will Take Off in 2015: Verizon Enterprise CIO: WSJ

Soon to Be Single, eBay Gets Back to Shopping; President of eBay.com Marketplace Says Split with PayPal Will Reap Benefits: WSJ

Apple releases WatchKit for Apple Watch: TheAge

Encrypting Web site traffic could become easier next year: WaPo

Healthcare

Cost to Develop a Drug More Than Doubles to $2.56 Billion: Bloomberg

Tragedy highlights India’s fake drug crisis: FT

Beating Ebola Means Drinking,  Last Thing Patient Wants to Do: Bloomberg

A digital prescription for pharma companies; Pharmaceutical and medical-device companies have been slow to adopt digitization. Here are five reasons they should get moving. McKinsey

This Indian start-up could disrupt health care with its powerful and affordable diagnostic machine: WaPo

Energy & Commodities

Oil price rout to curb U.S. drilling costs even with mega merger: Reuters

Oil Below $80 Yet to Upset Bond Market Seeing Arab Wealth: Bloomberg

China Home Price Slump Sends Iron Ore Plunging To 2009 Lows (-50% In 2014): ZeroHedge

What Bourbon Producers Can Teach the Oil Industry: NYTImes

Iron Ore Bear Market Deepens as China Home Prices Spur Concern; “Construction accounts for about 50 percent of China’s steel demand, reflecting the importance of China’s property market to iron oreprices” Bloomberg

Consumer & Others

Urban Outfitters CEO Reveals The Brand’s Biggest Problem: BusinessInsider

In Overhaul, Pizza Hut Tries Adventurous Menu Offerings and a Dash of Irreverence: NYTimes

Winemaker Without Vines in View as Treasury Emulates Coke: Bloomberg

Daily Bamboo Innovator Insight: Tues 18 Nov 2014 – 10 brilliant quotes from Warren Buffett

Life

10 brilliant quotes from Warren Buffett, America’s second-richest person: Fortune

Secrets of the Most Productive People: FastCompany

Here’s The Untold Story Of How Tesla Motors Got Its Name: BusinessInsider

11 Surprising Things That Affect Your Willpower And Decision Making: BusinessInsider

The beautiful bike path that was inspired by Van Gogh’s ‘Starry Night’: WaPo

Building a Fraud Resistant Organization: AccountingToday, PDF

The 7 Laws of Regenerative Enterprises: HBR

Finding the Right Metaphor for Your Presentation: HBR

The trouble with mergers: Our advice from 1994 to lustful companies: Economist

Nike’s Martin Lotti on Just Doing It; The Nike Football vice president and creative director talks about the importance of design, the future of shoes and the place where he’s happiest: WSJ

Inside Peter Thiel’s mind: The billionaire on Snowden, Twitter, and why competition is overrated: Vox

Radical change that starts with small steps at big companies; Only ‘top-down leaders’ are comfortable enough to liberate people to develop new ideas: FT

Arts and culture can go a long way to help revive Britain’s cities; The chancellor understands that our towns must have souls as well as sewers: FT

Korea’s poultry king Kim Hong-kuk, chairman of Harim Group with $4.3bn sales, buys Napoleon’s hat for $2.4m; “Chairman Kim, who in his youth raised 10 chicks that became the foundation of Harim Group, has always emphasized ‘Escaping the safety zone’ and a pioneering spirit and not to settle for the status quo.” JoongAng

Billionaire Plans Cure for Blindness as He Approaches 90: Bloomberg

Will Disney’s ‘Big Hero 6′ Be The Year’s Quietest Box Office Smash? Forbes

Top Women CEOs On How Bold Innovation Drives Business: Forbes

Ultimate Starbucks fan turns coffee cups into works of art; Cartoon lover Joshua Hara draws animals and cute pictures on his used takeaway cups: Telegraph

‘I find it very hard to price my work high’; Entrepreneur Louise Pocock, who teaches and creates her own hats, reflects on how to make a living from a traditional craft business: Guardian

End of communism not all good for Christianity: Vatican: Reuters

Elon Musk is Neo from ‘The Matrix?’ His cousin, SolarCity’s CEO, explains. WaPo

The 10 biggest R&D spenders worldwide: Fortune

Books

Rethinking Positive Thinking: Inside the New Science of Motivation: Amazon, WSJ

Everyday Bias: Identifying and Navigating Unconscious Judgments in Our Daily Lives: Amazon

Zoom: How Everything Moves: From Atoms and Galaxies to Blizzards and Bees: Amazon, NYTimes

Investing Process & Research

Chinese Firm Says Bank Workers Are Investigated; NVC Lighting Alleges Ex-CEO Improperly Withdrew Funds: WSJ

Gotham casts a long shadow over Quindell; Quindell’s share price has never recovered since the attack by the US short-seller: Telegraph

The Revolving-Door of Sell-Side Analysts: A Threat to Analysts’ Independence? SSRN

Do Indian Business Group Owned Mutual Funds Maximize Value for Their Investors? SSRN

The Faustian Contract of Deep Value Investing: Wendl

Macro

GMO Quarterly: Is This Purgatory, Or Is It Hell? GMO

Is Stock Market Living on Borrowed Time? LBO king Wilbur Ross and Prem Watsa, the “Warren Buffett of Canada,” have their concerns.: Barron’s

Bonds: anatomy of a market meltdown; Fall in Treasury bond yields has left investors asking if world’s safe haven needs shoring up: FT

Mega-Mergers Popular Again on Wall Street: NYTimes

Africa Makes Strides in Corporate Accounting, Governance; The Nigerian Stock Exchange has launched a corporate-governance rating system that subjects its 190 major companies to a rigorous assessment: WSJ

The Fund that Reshaped the Gold Market; Rise and Fall of GLD Exchange-Traded Fund Mirror’s Metal’s Appeal: WSJ

China

China faces debt crunch as property values fall; Chinese property accounts for a third of Asian high yield issuance: FT

Beijing crackdown fails to stem inflated invoicing on exports: SCMP

China’s internet TV sites in $1 billion battle for foreign shows: Reuters

China’s blitz against corruption hits some U.S. travel companies: Reuters

Competition for analysts heats up as credit risks rise in China: Reuters

Reforming China’s Commanding Heights: Michael Spence: Project Syndicate

Lopsided Link Shows Chinese Rejection of Hong Kong Stocks: Bloomberg

McDonald’s Enlists Orcs and Elves in Chinese Food Fight: Bloomberg

Hong Kong Bourse Loses 7.1% in Two Days as Link Optimism Fades: Bloomberg

Haixin Enters Bankruptcy Proceedings Amid Steel Industry Woes, making it the largest mill in the nation to enter the procedure: Bloomberg

Tingyi’s a Staple for Your Pantry – and Portfolio; Noodle giant’s shares are marked down after recent scandals, but margins and profits are ready to serve: Barron’s

India

In India, Growth Breeds Waste: NYTimes

Billionaire Ambani Makes Quiet Entry Into India’s E-Commerce Sector: Forbes

Modi Believers Lock in Wagers on India Stocks: Chart of the Day: Businessweek

Two competing innovators join hands to light up India’s dark belt; By slowly refining a distribution model, Greenlight Planet has been rapidly selling solar lamps to villagers: Forbes

Why Realty Did Not Bite Piramal; Deploying Rs 12,000 crore in a slowing real estate market is no easy task. Under the leadership of Khushru Jijina, Piramal Fund Management may have cracked the code: Forbes

Japan

Abe $1 Trillion Gift to Stock Market Shields Recession Gloom: Bloomberg

The Failure of Abenomics; Japan’s Keynesian Recession: The familiar advice to spend more and raise taxes fails again. WSJ

Disappointment Becomes Norm for Global Growth as Japan Contracts: Bloomberg

Korea

Samsung gives cold shoulder to humanities majors: JoongAng

Samsung Moving Phone Engineers a Lesson in Speed for Sony: Bloomberg

Poäng! IKEA Hits Headwinds In Korea: WSJ

Bad News for Kospi Is Good News for Korean Stock Brokers: Bloomberg

ASEAN

The SME advantage in Asian markets; SMEs can draw lessons from OSIM, Ichitan and MAS, which are no longer small firms but global players that dominate markets which MNCs will find hard to penetrate: BT

Singapore to Face Fire Sales With Home Curbs, Developer Says: Bloomberg

Return of the Myanmar Military? NYTimes

H.E. U Soe Thane: Myanmar Needs Time: NYTimes

Property developer Sawasdi Horrungruang has decided to part ways with Hemaraj, the company he founded and struggled with after the 1997 financial crisis, by selling the family’s 15-per-cent stake for Bt6.55 billion to WHA: Nation

Jokowi Proves Himself as a Man of Action: JakartaGlobe

Boom Times Over, But Telco Growth Still Unfinished In Indonesia: JakartaGlobe

Auto Sales Slump in Indonesia on Economic Slowdown: JakartaGlobe

Ahok the Bold ; Acting Jakarta governor Basuki “Ahok” Tjahaja Purnama has proven himself to be a fearless figure when it comes to defending his principles: JakartaPost

Singapore’s Trans-Cab halts IPO over rise in insurance premiums: TODAY

Australia

Angela Merkel, Narendra Modi take time to check out Australian innovation: TheAge

TMT

When wireless worlds collide: As Wi-Fi hotspots proliferate, who needs cellular wireless? Economist

Alibaba: Here’s Why Apple Needs Us In China: BusinessInsider

Microsoft Is Sick Of PowerPoint, Too: BusinessInsider

Kings of the Cloud: The leading companies in the tech industry are reworking their business models to deliver everything-as-a-service. Strategy@

Q&A: Alibaba Senior Executive On Apple, M&A and U.S. Plans: WSJ

iProperty’s Patrick Grove to sell Australian apartments online, as Tesla proves trend for ‘$100,000 clicks’: BRW

Researchers Announce Advance in Image-Recognition Software: NYTimes

Uber Vies For Users’ Hearts And Ears With Spotify PartnershipUber Vies For Users’ Hearts And Ears With Spotify Partnership: Forbes

The Alibaba-Effect: Index funds are considering rule changes that would allow them to own Alibaba. Barron’s

Warby Parker Adds Storefronts to Its Online Sales Strategy: WSJ

With funky name but big demand, BlaBlaCar eyes global push: Reuters

Intel’s upscale bracelet has Google alerts, AT&T data plan: Reuters

Amazon Moves to Extend Cloud-Computing Dominance: NYTimes

Healthcare

Study Finds Alternative to Anti-Cholesterol Drug: NYTimes

World’s top drugmaker Novartis takes aim at tech, casting their net beyond biotech into the wider pool of wearable, or even edible, technology: Reuters

Energy & Commodities

$100 Billion Deal Day Evokes 1998′s Exxon-Mobil: Bloomberg

Youngest Oil Tycoon Finds Fortune After Washout as Trader: Bloomberg

Six years ago, Bryan Sheffield had no energy industry experience. Today, he’s on track to become a billionaire before his 40th birthday. How it happened is one of the greatest Texas oil stories of all time: Forbes

Consumer & Others

There Are 2 Main Differences Between People Who Eat At Chipotle And McDonald’s; McDonald’s customers are “motherly,” “bighearted” and “loving”;  Chipotle fans are “imaginative,” “outgoing,” and “confident”: BusinessInsider

Goldman Sachs: Supermarket groups must close one in five stores: Telegraph

Bamboo Innovator Weekly Insight – Buffett’s (Non)Cash-Hitter and the Wide-Moat Asian Beauty Creator

 “Bamboo Innovators bend, not break, even in the most terrifying storm that would snap the mighty resisting oak tree. It survives, therefore it conquers.”
BAMBOO LETTER UPDATE | November 17, 2014
Bamboo Innovator Insight (Issue 59)

§  The weekly insight is a teaser into the opportunities – and pitfalls! – in the Asian capital jungles.

§  Get The Moat Report Asia – a monthly in-depth presentation report of around 30-40 pages covering the business model of the company, why it has a wide moat and why the moat may continue to widen, a special section on “Inside the Leader’s Mind” to understand their thinking process in building up the business, the context – why now (certain corporate or industry events or groundbreaking news), valuations (why it can compound 2-3x in the next 5 years), potential risks and how it is part of the systematic process in the Bamboo Innovator Index of 200+ companies out of 15,000+ in the Asia ex-Japan universe.

§  Our paid Members from North America, Europe, the Oceania and Asia include professional value investors with over $20 billion in asset under management in equities, some of the world’s biggest secretive global hedge fund giants, and savvy private individual investors who are lifelong learners in the art of value investing.

 Dear All,

Buffett’s (Non)Cash-Hitter and the Wide-Moat Asian Beauty Creator

“Instead, our problem has been that we own a truly marvellous collection of businesses, which means that trading away a portion of them for something new almost never makes sense. An example from sports will illustrate the difficulty we face: For a baseball team, acquiring a player who can be expected to bat .350 is almost always a wonderful event – except when the team must trade a .380 hitter to make the deal. Because our roster is filled with .380 hitters, we have tried to pay cash for acquisitions, and here our record has been far better.”

- Buffett in his 1997 Annual Letter to Shareholders

“I will be on the phone and out there on a regular basis to convince them that we’re still a very good investment.”

- P&G’s CEO A.G. Lafley at the analyst meeting after the Duracell divestment to Buffett’s Berkshire Hathaway who paid for the deal using P&G shares instead of cash

Is Buffett partly defeated by the “Water Sleeping Pack” and “Cushion Compact” when he signaled that P&G (PG US, MV $238bn) is possibly overvalued by using $4.7bn worth of its stock to acquire P&G’s Duracell business into Berkshire Hathaway (BRK/A, MV $358bn) despite having accumulated a cash hoard of over $62 billion?

While the billion-dollar tax savings is an important factor in the deal since BRK’s cost basis of P&G was $336m and corporate capital gains are taxed at 35%, the beauty engine behind P&G’s growth, led by the billion-dollar Japanese cosmetics brand SK-II, looks to have slowed down. P&G’s beauty business contributed 24% and 23% of sales and earnings respectively in FY2014, flat since 2011 and down from 30-31% in 2007. In Korea, one of the largest beauty markets in Asia, the import of Japanese cosmetics had plunged over 22% since 2012 and SK-II is one of the brands hit hardest. SK-II is considered a must-have item among adult career women despite the relatively high prices.

Since the Fukushima nuclear incident in Mar 2011, savvy Korean and Chinese women have increasingly stopped using Japanese cosmetics due to safety concerns. The Kanebo incident in 2013 had also shattered some confidence after its skin-whitening products left ugly blotches on the faces of over 15,000 customers. Kanebo is Japan’s second-largest cosmetics firm with more than a century old history and was acquired in Feb 2006 by Kao Corp (4452 JP, MV $20bn) after the infamous Kanebo/PwC-ChuoAoyama accounting fraud in 2004-05 that was comparable to the Enron scandal in size and social impact. Amid falling sales in Korea, Japanese cosmetics firm Orbis (4927 JP, MV $2bn) has shut its Korean office in Feb this year. Japanese brand DHC has closed over 10 outlets in Korea.

The losers are Japanese cosmetics and P&G’s SK-II. The winner can be found in visa-free Jeju Island, 60 miles off the southern coast of South Korea. 2.3 million Chinese tourists have stomped the island this year, up by nearly 50% a year ago. At the Shilla Duty Free Jeju, the island’s largest duty-free store owned by Hotel Shilla (008770 KS, MV $3.3bn), they are snapping up Korean cosmetics that include the “Water Sleeping Pack”, a gel-like nighttime facial moisturizer and one of the hottest cosmetic products under the brand Laneige that is owned by Korea’s largest cosmetics maker AmorePacific Corp (090430 KS, $11.8bn) and the holding company AmorePacific Group (002790 KS, MV $8.1bn). Another hugely popular product is the world’s first “cushion compact”, a mixture of colored foundation, sunscreen and moisturizer that users apply by touching a foam pad to a spongy, liquid-filled air cushion that blocks UV rays and covers imperfections naturally. Unlike BB cream, it can be reapplied throughout the day. Developed by AmorePacific’s research labs in 2008, women around the world have snapped up more than 30 million of them. AmorePacific reported 1H14 duty-free sales in South Korea to customers from China, Taiwan and Hong Kong surged 184% versus 1H13. Korean cosmetics are arguably the hottest category in travel retail worldwide. AmorePacific has also entered the global duty-free market since May 2010 in Singapore’s Changi Airport Terminal 3 with the Laneige shop.

AmorePacific Group (KOSPI: 002790 KS) - Stock Price Performance, 1995-2014

AmorePacific Group

Value investors in Asia cannot look purely at quant “valuation” metrics since many business models are “permanently impaired”. Once-successful “Stage 1” entrepreneurs have scaled their companies by multiple-folds to say under a billion dollar in market cap in the past decade. But as a result of them mishandling risks, or preventing them in the first place through business model design, the companies fail to make the successful transition from a billion to $10bn in market value and are stuck. Often, these successful, achievement-oriented entrepreneurs start to “stray” as they find it easier to seek “growth” by engaging in private business interests outside of the listed vehicles, particularly in property development. Thus, under KB Suh’s leadership, AmorePacific is an exemplary example of a Bamboo Innovator who has been able to stay focused and give a good fight to the resourceful MNCs.

We often wondered aloud and lament at the low valuations in Asia as compared to the West. Alfred Chandler’s 1977 Pulitzer-Prize masterpiece, The Visible Hand: The Managerial Revolution in American Business, offered timeless practical insights and fundamental lessons for diligent value investors to stay ahead of the curve in Asia, uplifting us beyond the unsustainable realm of trading in and out and manipulating share prices and volumes in syndicates. Chandler narrated the emergence in 19th century America, the age of robber barons, of firms which transform themselves by “organizational innovation” and “managerial innovation” to generate and sustain competitive advantage – to become Bamboo Innovators like AmorePacific.

Besides GE in 1890s…

<Article snipped>

Warm regards,

KB

Managing Editor

The Moat Report Asia

www.moatreport.com

SMU: http://accountancy.smu.edu.sg/faculty/profile/108141/Kee%20Koon%20Boon

 To read the exclusive article in full to find out more about the story of AmorePacific and KB Suh’s leadership, and Alfred Chandler’s business wisdom for value investors in Asia, please visit:

·        Buffett’s (Non)Cash-Hitter and the Wide-Moat Asian Beauty Creator, Nov 17, 2014 (Moat Report Asia, BeyondProxy)

 A new monthly issue of The Moat Report Asia is now available!

Access the in-depth idea presentation:

http://www.moatreport.com/members/

Daily Bamboo Innovator Insight: Mon 17 Nov 2014 – ‘Death bond’ investors face heavy losses up to 70 per cent of their original investment and cannot access their money for at least three years

Life

‘Death bond’ investors face heavy losses up to 70 per cent of their original investment and cannot access their money for at least three years: FT

Buffett’s family business tests the ties that bind; Lawrence Cunningham’s ‘Berkshire Beyond Buffett’ outlines an orphanage for the corporate homeless: FT

7 steps to becoming the next Leonardo da Vinci: Try and obsess over something: Today

The Future of Writing In the Age of Information: FarnamStreet

How to Make a Bestselling Book: Atlantic

Ben Horowitz Lecture 15: How to Manage (Anotated Transcript): StartupClass

Is Entrepreneurship Addictive? Forbes

‘Don’t think, just play’: MIT engineers football success: Reuters

The Knowledge, London’s Legendary Taxi-Driver Test, Puts Up a Fight in the Age of GPS: NYTimes

If active managers’ fees were a country, it would have the GDP of Switzerland: TheReformedBroker

Marcus Aurelius: Debts and Lessons: FarnamStreet

How This 25-Year-Old Made $66,000 In A Month By Teaching An Online Course: BusinessInsider

“I don’t know” and the need for humility in an unprecedented era. InstitutionalInvestor

Follow These 10 Steps To Achieve Transformational Change: Forbes

The Great Escape Business; In troubled times, corporate evacuation planners are thriving. Fortune

Small businessman’s Chinese Dream; public thought he was crazy to give up an engineering job to start a small grilled pig trotter business in Shanghai and now he earns over 8x than before; two-thirds of sales were ordered online: AsiaOne

Spared in war, Italy’s ‘greatest picture’ saved again by benefactor: Reuters

Renowned Buddhist leader Sik Kok Kwong, co-founder of Hong Kong’s largest Buddhist organization, has died at the age of 95. TheStandard

Books

How Great Leaders Think: The Art of Reframing: Amazon

Learn or Die: Using Science to Build a Leading-Edge Learning Organization: Amazon

Investing Process

Norway Wealth Fund Outsmarts Flash Boys as Algorithms Abandoned: Bloomberg

Asia’s Top Investment Managers Focus on Fundamental Value: InstitutionalInvestor

Greater China

Now absolutely everyone can invest in China’s risky, fraud-ridden stock market: Quartz

Shanghai Stocks Out of Step With World Is Key to Allure: Bloomberg

Exploring China’s stock market: Even non-investors can glean insights from the financial statements of the A-Share “small-caps”. Time to brush up on your Chinese and separate the wheat from the chaff: BT

It’s not art thieves but tax evaders the Chinese gov must worry about: WantChinaTimes

Rinehart’s Formula For Success: Feed the Babies; Got Milk? Australian billionaire’s deal to supply China with baby formula shows milk is vital to every portfolio. Barron’s

With 2 New Jets, Chinese Manufacturer May Become Global Contender: NYTimes

China’s New Old Financial Capital; A stock-exchange deal shows Hong Kong’s advantage over Shanghai. WSJ

China’s Shadow Banking Grinds To A Halt As Bad Debt Surges Most In A Decade: ZeroHedge

Chinese policymakers eye e-commerce as linchpin of growth: Reuters

Ting Hsin taking heat over NT$3 billion promised Food Safety Fund (食安基金) to take responsibility for their actions in the food contamination scandal. ChinaPost

Pepsico’s Chinese partner Tingyi hit by downturn: FT

How Taiwan Will Make Its People Think Harder To Stoke The Economy: Forbes

India

Modi Moves Like Jagger as Indian Diaspora Flocks to Sydney: Bloomberg

Indian government: The full lotus; Smaller government? That’s a stretch: Economist

India’s Narendra Modi faces awkward fiscal challenge: FT

India Seeks to Cash In on Global Demand for Ancient Remedies: JakartaGlobe

ASEAN

Tiger Economy Loses Its Roar as Thailand’s Exports Slump: Bloomberg

No one home as Singapore executive condominiums wait for occupants: AsiaOne

Japanese entertainment firms flock to Thailand: Nation

Anies’s Education Reform Quiets Critics; Stressful Exams: Teachers and students are eager to change national exams, which don’t reflect student achievements: JakartaGlobe

Nathaniel Rothschild, the British financier and scion of a centuries-old banking dynasty, has proposed debt-stricken Asia Resource Minerals raise funds in a share sale next year that he’s prepared to underwrite. JakartaGlobe

Smartphones Will Mediate the Future Business Models in Indonesia: JakartaGlobe

Indonesia’s ‘Energy Mafia’ in the Crosshairs: JakartaGlobe

Jokowi Goes All-In on Fuel Subsidies; It’s time to allocate the money spent on the subsidy to more productive uses: JakartaGlobe

Dicey times ahead for gaming sector; The gaming story for the Genting group is far from over, although the jackpot remains a tad elusive for now. TheStar

In lean times, Singapore shopping malls face the problem of plenty: AsiaOne

Japan

Corporate Japan keeps production abroad; Aggressive monetary easing is undermining the yen, but that is not stopping Japanese companies from producing more of their goods overseas. FT

Weak yen fuels Japan Inc: FT

Japan’s Abe should seek more than a mandate if he calls election; It may take a tough tax on accumulated earnings to force businesses to act: FT

Abe is a man on a mission – destination unknown: FT

Korea

Victims in Korea’s pyramid scheme team up to track down con artist: JoongAng

Samsung in internet of things push as phone profits fade: TheAge

IKEA pricing under fire in Korea; IKEA seems to be mimicking Korean conglomerates that “regard local consumers as pushovers.” KoreaTimes

Yen weakness painful for S. Korean companies: Maeil

The Korean government pledged to grow a regional cluster of food businesses, called Foodpolis, into a hub of Northeast Asian food markets. KoreaTimes

Fortress Korea car market cracks under German luxury barrage: Reuters

Australia

Ultranet’s costly failure an education in politics and procurement; Good intentions and vision undermined by cost-cutting and flawed bidding process. TheAge

Australian stocks shine as global dividends get set to hit record $1.4 trillion next year: TheAge

Macro

BoE to come up with anti-orthodox research as a “bulwark against hubris, overconfidence and group-think”. FT

Stringent rules for hedge funds make the financial system fragile; Charging 2 per cent to hold assets when returns are low is wrong: FT

A Call for Stricter Rules for Bankers in Britain: DealBook

Rising dollar America’s currency, everybody’s problem: Reuters

We Need Stock Prices to Fall 25%; At Current Prices, Investors Should Have Mixed Feelings: WSJ

TMT

Virtual Reality Fails Its Way to Success; For decades, V.R. was a complete flop. But now with the nausea-free Oculus Rift, it may be a total win: NYTimes

Little-known Taiwanese chip designer spawns low-priced smartphone boom: Reuters

mAirbus patents flying doughnuts; Experimental design could redefine widebody aircraft: FT

Fuel-cell cars will be commercially viable by 2025: Bosch executive: Reuters

UPS Sees Wider Margins as E-Tailing Nears Business Shipping: Bloomberg

Can Lenovo replicate PC success in smartphone sector? WantChinaTimes

BYD considers joining Ramos to enter tablet computer market; BYD seems to have missed the golden period for entering the consumer electronics market and has put its investment at risk for entering the mature mobile phone market: WantChinaTimes

The Kingmaker Strategy: Pioneered By The Chinese Internet Giants, Coming To America? TechCrunch

Many teachers say the ClassDojo app helps them automate the task of recording classroom conduct, but some critics say such apps are being adopted without sufficiently considering the ramifications for data privacy and fairness. NYTimes

The Web Is Dying; Apps Are Killing It: WSJ

Evernote Chief Executive Phil Libin is focused on making people more productive during a time of rapid technological change. WSJ

Healthcare

Ebola Vaccine Challenge: Motorbikes and Kerosene Fridges: Bloomberg

Alzheimer’s Test Detects Disease Decade Ahead of Onset: Bloomberg

Electrical Scalp Device Can Slow Progression of Deadly Brain Tumors: NYTimes

Anticlotting Push Urged for Heart Patients With Stents: WSJ

Corruption tars drug industry drive to improve access for poor: Reuters

Energy & Commodities

José Manuel Entrecanales, Acciona CEO: establishment eco-warrior; Spanish conglomerate boss does not regret costly bet on renewables: FT

World’s first oil well still bubbling up black gold in Poland: AsiaOne

Falling Oil Prices Test OPEC Unity: WSJ

Shale Boom Helps North Dakota Bank Earn Returns Goldman Would Envy: WSJ

Risk of sour grapes as wine prices continue to disappoint: FT

Diners could soon be paying more for their plate of sushi as the price of fishmeal, the crucial feed for shrimp, prawns and salmon leaps to an all-time high. FT

Standard Chartered Is Stung by Mining Loans; Bank’s Push Into Lending to Commodity Firms Has Contributed to a Jump in Its Soured Loans: WSJ

Consumer & Others

Estee Lauder Cos., seeking to capitalize on Kendall Jenner’s 30 million social-media followers, hired the model to represent its flagship cosmetics brand worldwide. Bloomberg

Law gets fashionable as labels learn to love litigation: France24

Daily Bamboo Innovator Insight: Sun 16 Nov 2014 – The New China? Surging exports are making Vietnam, Cambodia, Laos, and Myanmar dynamic economic rivals to their much larger neighbor

Life

Welcome to the Failure Age! In this economy, losers will be the biggest winners. NYTimes

Three years ago, Matt Haag was flipping burgers at McDonald’s. Today he makes his living playing video games and has 1.5 million YouTube subscribers and a million-dollar income: NYTimes

How successful people stay productive: Quartz

3 Reasons You Can’t Just Ask Customers What They Want: TechCrunch

One way to lose money even when you’ve made 5000% on your home: FP

Why You Don’t Want to Give Financial Information to All of Your Investors + How founders get screwed on convertible notes: Both Sides of the Table

Lessons from rainbow: Even in the midst of an impending storm, something beautiful and colourful can emerge. TheStar

Amanda Palmer on the Art of Asking and What Thoreau Teaches Us about Accepting Love; “You’re an artist when you say you are. And you’re a good artist when you make somebody else experience or feel something deep or unexpected.” BrainPickings

Rewriting the Book of Belonging: Anne Lamott on the True Gift of Friendship and the Uncomfortable Art of Letting Yourself Be Seen; “Trappings and charm wear off. Let people see you.” BrainPickings

The Language of Lying: Animated Primer on How to Detect Deception: BrainPickings

Diane Ackerman on What Working at a Suicide Prevention Hotline Taught Her about the Human Spirit: BrainPickings

Adrienne Rich on Lying, What “Truth” Really Means, and the Alchemy of Human Possibility: BrainPickings

The Fluid Dynamics of “The Starry Night”: How Vincent Van Gogh’s Masterpiece Explains the Scientific Mysteries of Movement and Light; “In a period of intense suffering, Van Gogh was somehow able to perceive and represent one of the most supremely difficult concepts nature has ever brought before mankind.” BrainPickings

The Day Dostoyevsky Discovered the Meaning of Life in a Dream: BrainPickings

Showroom vs. Sanctuary: Rebecca Solnit on What Our Dream Homes Reveal about Our Inner Lives: BrainPickings

The Day Dostoyevsky Discovered the Meaning of Life in a Dream: BrainPickings

Pico Iyer on What Leonard Cohen Teaches Us about Presence and the Art of Stillness; “Faith is the ability to honor stillness at some moments, and at others to ride the passion and exuberance.” BrainPickings

Failure Has Never Been More Successful; With Fuck-Up Nights and Other Storytelling Venues, People Are Sharing Stories of Business Disasters Like Never Before: Fast Company

Books

The Innovation Paradox: Why Good Businesses Kill Breakthroughs and How They Can Change: Amazon, CFA

China

Swat the “flies” dead; In China many “flies”, political jargon for corrupt low-ranking officials, have grown bigger than the tigers by feeding on money. Xinhua

Beijing denies blocking G20 graft initiative on shell companies and hidden assets: SCMP

Loss prevention safeguards key to SOE reform in China: WantChinaTimes

Economic integration: The flying factory; Asia has built a web of economic interdependence which China would be ill-advised to unravel: Economist

India

Change Of Guard At Havells – India’s Leading Electrical Goods Company: Forbes

Japan

‘Godfather’ of Abenomics: Japan’s sales tax hike must be delayed; Koichi Hamada, one of the key architects of Abenomics, says Japan’s “Ponzi game situation” will be made worse if policymakers go ahead with second hike: Telergraph

ASEAN

The New China: Surging exports are making Vietnam, Cambodia, Laos, and Myanmar dynamic economic rivals to their much larger neighbor. Barron’s

Australia

Aussie fat cats rake in super-sized fees; Brycki’s study of 496 of Australia’s largest managed funds found that no less than 45 per cent of returns were frittered away in fees in five years: TheAge

Aussie Budget cuts spark fears of muzzled watchdogs: TheAge

Macro

Banking is changing, slowly, but its culture is still corrupt: Guardian

Height of ambition, or of folly? London’s rising skyline knows no limit: Guardian

Keeping Active: The $2 trillion exchange-traded fund industry offers specificity and flexibility, but these experts haven’t ruled out active management. Barron’s

Pandora’s Box Or Panacea? Lessons From The U.K.’s Liberalization Of Law-Firm Ownership: Forbes

Oil-Producing Countries’ Currencies Are Getting Crushed; oil exporters are now pulling liquidity out of financial markets rather than putting money in: Zerohedge

TMT

Henry Blodget: Now I Know Why Investors Are Going Hog Wild About Uber; How Uber Is Changing the U.S. Economy Like No One Ever Imagined: BusinessInsider, TheStreet

Apple Pay Gives Glimpse of Mainstream Appeal for Mobile Payments: NYTimes

Energy & Commodities

In Oil’s Slide, Echoes of a Fall; Adapted From the Paperback Edition of ‘The Frackers: The Outrageous Inside Story of the New Billionaire Wildcatters: WSJ

Oil and water: North America’s energy revolution will have a ripple effect around the Pacific: Economic Times

Consumer & Others

Supermarkets could start to close, warns Waitrose boss; The ‘Big Four’ grocers may be forced to close existing stores as the industry struggles to cope with falling sales and profits: Telegraph

Mike Ashley looks to add Kitbag to sportswear empire; Sports Direct is circling Findel’s Kitbag, which sells replica football strips for major teams including Manchester United: Telegraph

Savile Row tailor fears overseas threat to rich tapestry of tradition; Shirtmaker believes buyouts detract from street’s fashion cachet, with only two family-owned tailoring houses left on Savile Row: Guardian

Carolyn McCall’s easyJet success could catch the eye of a retailer: Telegraph

Caesars warns of potential casino bankruptcy: Fortune

Brunswick, the maker of Boston Whaler boats and Mercury engines has restructured, which is beginning to pay off. Barron’s

Cummins: Plenty of Gas in the Tank: Barron’s

Vail Resorts’ CEO: Transforming the Business of Skiing:  Barron’s

McDonald’s Won’t Buy Simplot’s GMO Potato: WSJ

Investing Process

A Dozen Things I’ve Learned From Henry Singleton About Value Investing & Venture Capital: 25iq

Top Lessons Learned From Great Angel Investors: RobGo

Building a Better Beta: Combining Fundamentals Weighting, Low Volatility, and Momentum Strategies: Research Affiliates

The Lesson of Forex Trading: Learn From Your Losses: WSJ

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