Thursday links: taking their chances

Quote of the Day

“Bond funds’ positioning arises from necessity…They realize that they will get nowhere by mimicking the index’s safe, low-yielding Treasuries. They must differentiate their offerings. They must boost their funds’ yields by conceding liquidity, or accepting more credit risk, or increasing the portfolio’s duration. They must take their chances.”

(John Rekenthaler)

Chart of the Day

A closer look at the factors behind Berkshire Hathaway ($BRKB) performance.