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The capital of Minnesota is on fire, and it's all your fault, Mairs and Power.
OK, M&P is a good fund family, but Hussman has to be right sometime. Is this really the time to pile into anything with more than a few shekels (besides a good balanced fund with a large cash stash)? But I'm usually wrong, and it is an election year; but election years end; the ECB has no clothes; and I suspect the current bulls are better timers than I have ever been. Maybe a year hence it deserves attention (unless you plan to get in and shortly out).
Reply to @STB65: Hussman theoretically will be right sometime and possibly sooner vs later, but I think the issue I continue to have is that the fund isn't going to be positioned for some sort of home run if he's right. I also think the options hedging strategy seems overly complicated and potentially more problematic (and definitely more opaque) than being short futures or using short ETFs.
Personally, I'd rather hold Marketfield (MFLDX), which is going to not do well in a downturn, but has the ability to dial up and down risk over time better than Hussman.
Or something like Forrester. I wouldn't be getting into the M & P fund at this point.
The flip side is if the Fed continues to do QE and ZIRP4EVER, which continues to somehow not be part of Hussman's analysis - I believe he said the other week that he didn't believe the Fed could continually put off problems, but that doesn't mean they aren't going to try, and the effect of that should have/should be considered.
Comments
Personally, I'd rather hold Marketfield (MFLDX), which is going to not do well in a downturn, but has the ability to dial up and down risk over time better than Hussman.
Or something like Forrester. I wouldn't be getting into the M & P fund at this point.
The flip side is if the Fed continues to do QE and ZIRP4EVER, which continues to somehow not be part of Hussman's analysis - I believe he said the other week that he didn't believe the Fed could continually put off problems, but that doesn't mean they aren't going to try, and the effect of that should have/should be considered.