Industry Terms You Can't Stand

Your kid’s ivy league education.

Duh.

“Natural Attrition”

translation: “Hey you! Get your coat, love. You know who you are!”

My boss referred to a company today as “a shitty company.” Apparently a lot of analysts refer to it in that manner. I actually like this term quite a bit.

I keep hearing this one a lot — “table stakes.” This may be in the top 10 list of top douchiest phrases of all time.

use case

Base case scenario

stepping over dimes to get to the nickles

“Lets take this offline” - Means i dont want to talk about it and if you ever schedule follow up meeting i wont show up

Race to the bottom

Especially from people who cannot spell nick el s correctly.

Ballpark numbers

Risk on, risk off

The FAANG stocks

Winning by not losing

We like good management teams with good balance sheets

Unloved companies

Deep value

Growthy and value-y

Value proposition

Where is this in the pipeline?

It’s in a holding pattern for now, radio silence from counsel. You and I should discuss offline and decide who to touch base with so we can make a go/no-go decision.

Cash on the sidelines.

https://www.theepochtimes.com/the-cash-on-the-sidelines-myth_2384227.html

And the language used in the argument implies that if people were smart enough to use that cash to buy stocks, then cash balances would fall and stock prices would go up higher.

There is only one problem with this argument: The cash doesn’t go away.

Indestructible

People have indeed been using the “cash on the sidelines” to buy stocks and plenty of them, but buying stocks doesn’t extinguish cash assets. The money just goes from the buyer to the seller and then sits on the sidelines in his account.

So instead of looking at the absolute amount of money that’s held in cash, one needs to look at the relative amounts. Because it is true that the frequent changing of hands of that cash and the buying of stocks does bid up the price of the stock market. People value owning stocks more than owning that cash. So the stock buyer has to make a better offer to the seller who may say, “What do I want with all this idle cash? Give me more of it to part with my dear stocks.”

The adjustment or the valuation of “cash on the sidelines” works through stock prices. As prices move up and cash prices stay the same—it is cash, after all—it naturally becomes a smaller part of the asset allocation mix of households and companies.

Research firm Gerring Capital Partners calculated thismixbased on Federal Reserve data and found that stocks make up 35 percent of the nonfinancial private sector’s wealth, close to the all-time high in 1999 of 40 percent. Cash only makes up 17 percent of the total aggregate portfolio allocation, a far cry from the high seen in the beginning of the 1980s of 35 percent and pretty close to the all-time low of 15 percent from 2000.

Another way to look at this relative dynamic is to calculate the total market value of the S&P 500 and compare it to the total value of money-market funds. According to the website SentimenTrader, this ratio stood at 4.62 in June, an all-time high.

So investors have been devaluing their cash holdings by bidding up stocks. But because the cash just changes hands, there will always be cash on the sidelines, unless we were to experience another 2008 with an outright debt deflation. The equity-to-money-market ratio bottomed at 1 in late 2009.

“Thinking outside the box” and “deep diving” and “it’s a team effort” just grinds my gears.

Also, department wide quarterly meetings where the Top Honcho tries to fit in the company’s slogan in every sentence piss me right off.

Laser focused

800 pound gorilla

get our ducks in a row

deep in the weeds

move the needle

singles and doubles

best-in-class

email signatures - any variation of regards (with regards, best regards, kind regards, fond regards)

We are in the 7th inning/extra innings/any baseball reference tied to market cycle

It is what it is

Canary in the coal mine

Comparing apples to oranges