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Matt Levine

IPhones, Index Funds and Sherpas

Also fired RBS traders, market structure, stock buybacks and liquidity.

Apple earnings.

Once you have sold everyone in the world an iPhone, what do you do? Sell them a bigger iPhone on which they can play solitaire? Sell them a smaller iPhone they can wear on their wrists? Sell them a smaller wrist-iPhone, but plated in gold so you can charge more? Yes, good ideas, those are all things you can do. But eventually you stop selling as many iPhones as you used to -- or rather, you keep selling more iPhones than you used to, but the growth is less than it used to be. It is a sad state of affairs, there in the second derivative.