I bet Modigliani and Miller

Couldn’t get dates to their school dances

very true, I bet they played some serious Dungeons and Dragons with Ibottson and Chen.

theres no taxes to buy tickets for school dances so it is irrelevant whether they had dates or not

Yeah, but I heard Pastor Stambaugh came down from the rectory because someone spiked the liquidity premium.

I heard Fama’s size premium was a hit with the ladies.

^ Treynor and Black recommended a more handson approach

Black, Scholes and Merton carried Europeans because Americans did not meet their standards

Modigliani and Miller would have found dates had they not assumed there would be no transaction costs for an escort service

best one yet

During the exam, Cobb Douglas was asked by a proctor to meet for a private exchange in the bathroom. She proceeded to show him her box spread and Cobb’s semi-strong form went to an upward slopping forward curve. After going long-short on his enhanced index for a short duration the momentum effect caused Cobb’s control bias to expire deep in the money. Needless to say, Cobb was embarrased by his human capital volatility but even worse, the proctor showed regret aversion as she could have been fully integrated with the L2 candidates



yo Timothy, the one dude stole ripped your one completely

one of my favorite threads ever created on this forum…

mhmm…dang son, you just got hustled lol.

*clarkth4 (not clarkh4). And it’s Thomas - not Timothy, 1BigStudMuffin.

Well latest rumour has it that Cox Ingersoll and Ross actually got into a three-stage after meeting at Club Convergence and expressing their individual preferences for consuming their productive processes in non-mutually-exclusive form. After all, they all exhibited long run rates and were all arbitrage-free homoskedastic processes with unrestricted capital flows.

They lit up a joint venture, gobbled a poison pill, and proceeded to cointegrate using long, short and interlinked board strategies. However, once they realized they could not rise indefinitely because they had liquidated their LIFO reserves, they mean-reverted to their reduced-form steady states. The level, steepness and curvatures of their slopes was clearly unsustainable and another rationale was that Cox’s ARY floating legs violated reasonable care standards. So they flipped their bird-in-the-hand and notified each other in writing that they would exercise their abandonment options.

Yep, life has a way of testing a person’s goodwill…

Just missed adding this before the forum went into the quiet period…

Meanwhile, across town, the Collinear twins were wreaking havoc. Switching the street signs and changing the speed limits, they made it impossible for you to tell where you were going. Their mother said, “when they’re separated, they’re fine. They’re quite helpful and can contribute quite a bit-- it’s easy for me to tell who does what. But, once they’re together, I can’t figure out who caused what!” A frustrated neighbor, Mr. Builder-- Model Builder, conspired to “drop” one of the Collinear twins, but he was soon arrested for hiring a hitman.

Down at the station, Model Builder heard the chief of police talking about the new big case-- the serial correlator was on the loose. “He’s at it again,” said the Chief. Continuing, he added, “This serial correlator runs around, messing with our model, stead-fast citizens! He’s certainly turned them biased, and sometimes, they become inconsistent as well! Throughout time, though, we’ve noticed a pattern to his crimes-- never perfect, his errors are revealing his identity. I suppose we call on the specialists, James Durbin and Geoffrey Watson to clean this up and to see if we’re really on to something…”

Probably too serious for this thread, but I got to meet Modigliani about 20 years ago at a conference my advisor was putting together. He asked me to chat with him for about 10 minutes, since he had some conference matters to attend to. So we ended up getting an espresso. He was (even in his 80s) sharp as hell.

My advisor invited a mutual friend of ours (she was a finance prof in her mid-late 30s and a real hot ticket with looks and personality) if she’d be willing to join them as Modigliani’s dinner companion (no hanky-panky - just dinner), since his wife was ill and couldn’t travel. He spent the entire dinner flirting with her like crazy, and doing it well. And she would know, since she was one of the better-looking women I knew.

Not surprising - after all, he was Italian and of the old school. If that was the extent of his game in his 80s, I get the sense that he got more than his share in his younger years.