Howdy,
Again, a thank you to all who post the links and also start and participate in the many fine commentaries woven into the message threads.
For those who don't know; I ramble away about this and that, at least once each week.
NOTE: For those who visit MFO, this portfolio is designed for retirement, capital preservation and to stay ahead of inflation creep; if and when it returns. This is not a buy and hold portfolio, and is subject to change on any given day; based upon perceptions of market directions. All assets in this portfolio are in tax-sheltered accounts; and any fund distributions are reinvested in the fund. Gains or losses are computed from actual account values.
While looking around.....PREFACE: OTC drug alert ! It appears that, as our physical bodies are dynamic, ever changing organisms; that mine is attempting to find whether it is becoming sensitive to pollen and other near springtime cooties. I started some of this write last weekend and have since been using OTC meds and a few concoctions from the wizards cabinet to eliminate a most crappy physical feeling. Today, Tuesday; i feel a bit better. I will now attempt to assemble a few words, that in the very least; are less goofy than normal.
"Farewell....." One should suspect that the word farewell and its meaning, is tempered as to the final meaning and feeling by each user of the word. There are farewells that may be permanent, those that may be transistions and those that are much less serious in nature, and may indicate a most fleeing circumstance of a short time goodbye. Here we are at MFO and have bid farewell to FA; but the farewell is a transistion, not a real goodbye; at least for me.
We also say farewell to funds from time to time; but this does not rule a permanent goodbye, perhaps a "see you later or again".
With fund investing, farewells usually indicate a need for a change for any number of reasons; of which, a few areas may be risk vs reward; or just the plain appearance of little forward direction/trend.
My personal farewells many times involve a need to down-size activities in order to regain control of the limited amount of time that our earthly clock affords each of us. I have farewelled an investment club where the others chose not to participate fully, a monthly email newsletter attempting to express governmental/poliical interconnects with investments; including basic topics of having a budget and not being one's own worse enemy with hard earned money and to giving over of some personal tasks of homeowner and auto "Mr. Fixit". I have learned much from all of these endeavors; but there are the times when one must decide to let go of certain things and focus into other areas. My most recent farewell was to our elected federal senators and representative. I have been a writer to these folks for many years and have grown tired of the "plastic" replies and find very little real thinking taking place. I noted a farewell and that a lobby of one (me) can not compete with the "K" street crowd and finally that I hoped they, their children and grandchildren all have a most qualified investment advisor; as they all need one going forward. Yes, I still will follow political events; but focus more on our local conditions.
So, FAREWELL to FA; as I transistion to MFO.
Such are the numerous battles with investments attempting to capture a decent return and minimize the risk.
We live and invest in interesting times, eh?
Hey, I probably forgot something; and hopefully the words make some sense.
Comments and questions always welcomed.
Good fortune to you, yours and the investments.
Take care,
catch
SELLs THIS PAST WEEK:
CASH, for purchase of below FRIFX
BUYs THIS PAST WEEK:
Fidelity Real Estate Income, FRIFX
Portfolio Thoughts:
Our holdings had a
+.37% move this past week. I am sure, for whomever reads this; that you are surprised to find our mish-mash of funds have any forward movement at all. And yes, we are satisfied with our risk adjusted returns YTD. If the portfolio can pull a +10 to12% for the year; you will not hear any whining from this house. The Fidelity Real Estate Income fund added may provide another avenue of some growth and even if the fund NAV goes sideways, we may gather a 4% yield. Hey, who knows; this may be a decent return for 2011.
All of us have more than enough charts, graphs and numbers to view and ponder; to hopefully aid us in being better investors. I will note a few comments here about Bob's Mutual Fund page (link just below) and at this first page you should investigate the "definitions" link, if you are not familiar with data pages to view. Clicking upon the "fund leadership" link brings up a list of 1,000 funds. A big chunk of fund names in the bright red (not good) color or the dark green (good) color are easy to look through. One quick and dirty look I take is to find how many funds on the "leader board list" have a
MO of "200" or more. I won't provide a year's worth of numbers, but a few snips: April 1, 2010 = 48, May 1, 2010 = 104, June 4, 2010 = 4, July 15, 2010 = 1, Oct 1, 2010 = 26, Oct 15, 2010 = 112, Nov 15, 2010 = 155, Jan 3, 2011 = 189 and downhill from here since......Mar 14, 2011 = 8 and through April 11 the number has been between 1 and 3. No big science here; but the
MO numbers can be roughly matched to broad market reference points, too; as with VTI, SP500, etc. BIG NOTE: The funds list is a real mix of fund types, and one finds a fair number in the past month in the dark green area; which is an okay indicators. HOWEVER, in spite of a fund name; one will also find that many of the funds in "dark green/happy", regardless of name, have had more focused investments in energy and commodity sectors........and this is of no surprise to us, eh???
http://customer.wcta.net/roberty/Anyway, take a peek; as your time permits. Perhaps you will discover an algo formula that is of the visual type, with looking !!!
OK, time for my nap.
The old Funds Boat may make 5% or 25% this year. I expect some rough waters, changing winds and opposing currents; causing the most serious attention being given to a firm hand upon the rudder control.
How our boat's cargo is doing:
Week: = +.37%
YTD = +3.11%
Reference points, week / YTD:
SP-500 "SDY" = -6% / +4.1% (SP-500,dividend inclusive etf)
Nasdaq = -.3% / +4.8%
(per Google Finance)And the cargo is:
CASH = 15%
Mixed bond funds = 78.4%
Equity funds = 6.6%
-Investment grade bond funds 12.2%
-Diversified bond funds 18.5%
-HY/HI bond funds 28.8%
-Total bond funds 14.6%
-Foreign EM/debt bond funds 4.3%
-U.S./Int'l equity/speciality funds 6.6%
This is our current list: (NOTE: I have added a speciality grouping below for a few of fund types)
---High Yield/High Income Bond funds
FAGIX Fid Capital & Income
SPHIX Fid High Income
FHIIX Fed High Income
DIHYX TransAmerica HY
DHOAX Delaware HY
---Total Bond funds
FTBFX Fid Total
PTTRX Pimco Total
---Investment Grade Bonds
DGCIX Delaware Corp. Bd
FBNDX Fid Invest grade
OPBYX Oppenheimer Core Bond
---Global/Diversified Bonds
FSICX Fid Strategic Income
FNMIX Fid New Markets
DPFFX Delaware Diversified
TEGBX Templeton Global
LSBDX Loomis Sayles
---Speciality Funds (sectors or mixed allocation)
FCVSX Fidelity Convertible Securities (bond/equity mix)
FRIRX Fidelity Real Estate Income (bond/equity mix)
FSAVX Fidelity Select Auto
FFGCX Fidelity Global Commodity
FDLSX Fidelity Select Leisure
FSAGX Fidelity Select Precious Metals
---Equity-Domestic/Foreign
CAMAX Cambiar Aggressive Value
FDVLX Fidelity Value
FSLVX Fidelity Lg. Cap Value
FLPSX Fidelity Low Price Stock
Comments
I think by summer when the govt money dries up, from priming the pump, their could
be strong headwinds, if not before. Certaintly, corporate earnings season will have a lot to do with where the market goes in the intermediate term.
As you say ... "Keep a strong hand on the rudder."
Good Investing,
Skeeter