Year End Gleanings...Raymond James

bee

A few quotes from the article:

"we believe stocks are going to trade substantially higher over the next few years. Will there be pullbacks? You bet there will be, but in our view pullbacks are for buying."

"the price of real assets, relative to financial assets, is at historic lows."

"investors’ mindsets should be focused towards higher inflation, higher interest rates, and reduced disinflation."

"of the major asset classes, emerging markets remain the cheapest and we recommend tilting portfolios accordingly. And we favor active management over passive management at this stage of the market cycle."

Link:
raymondjames.bluematrix

MikeM

Good stuff bee. Thanks for breaking down the important info.

Sven

"of the major asset classes, emerging markets remain the cheapest and we recommend tilting portfolios accordingly. And we favor active management over passive management at this stage of the market cycle."

In another word let us manage your money.

rforno

@Sven: LOL, probably, yeah.

I believe JP Morgan's (the guy, not the firm) market advice from the 1920s is still valid: "Markets will fluctuate."

Sven said:

"of the major asset classes, emerging markets remain the cheapest and we recommend tilting portfolios accordingly. And we favor active management over passive management at this stage of the market cycle."

In another word let us manage your money.

hank

I love reduced disinflation. Gonna sleep on that one.

Old_Skeet

I most always find the commentary of Jeffrey Saut interesting reading and felt that this piece was indeed worth the read.

For me, during the coming year, I plan to start the rebuilding process of my CD ladder, as interest rates rise, moving some cash (about 10%) from my demand cash sleeve to my investment cash sleeve ... and, also keeping some cash on the side (about 5%) to play stock market pullback(s) and their resulting swing. This will leave about 5% cash for other demand purposes. Other, than that I don't plan to make major asset allocation changes or any major repositioning of assets. Currently, according to Xray, I am about 20% cash, 25% bonds, 30% domestic stocks, 15% foreign stocks and 5% other. I did notice, from a twelve month Xray analysis review, within stocks there was some good movement from growth to value. Within bonds, they remain positioned towards low quality and limited term, about 65% for each, and about 35% each for medium quality and intermediate term.

Wishing all ... "Good Investng" this coming year.

Old_Skeet

bee

hank said:

I love reduced disinflation. Gonna sleep on that one.

While buying "Jumbo Shrimp" yesterday I witness first hand how this term works. I guess consumers will now have to unlearn maximum procrastination.

hank

Old_Skeet said:

Currently, according to Xray, I am about 20% cash, 25% bonds, 30% domestic stocks, 15% foreign stocks and 5% other. ... Within bonds, they remain positioned towards low quality and limited term, about 65% for each, and about 35% each for medium quality and intermediate term.

Thanks Old Skeet,

I just XRayed as well. I do this only about twice a year. The M* site no longer seemed to work, but was able to access it at T. Rowe. I came in at 30% domestic equities, 9.5% foreign equities and 4.5% other. Wasn't sure what symbol is required for cash, so just lumped the cash in with my ultra-short fund (@$5 per share). For all intents and purposes, ultra short constitutes cash (to my thinking). Nor do I attempt to break down the bond holdings - but by and large they consist of short-intermediate term maturities and are primarily (70-80%) investment grade.

This proved a useful experience. I invest a lot in balanced and hybrid funds, My "dead reckoning" had assumed about 30-35% equities at this point, so was surprised to be nearer 40%.

Old_Skeet

Hi @hank,

cash in Xray = CASH$ as ticker symbol in caps.

Currently, Moringstar Xray, at times, is having issues with funds loading into the Xray report. The fix, enter all ticker symbols and amounts then click Xray and if the report does not load then click edit and Xray again and the report should load.

Skeet