Hi guys,
Some observations in my port that have me thinking. ADEVX went down. Am surprised.....it's my first overseas bond fund. It did worse than PONAX, which I thought would be down. Surprised.....must think about this.
Mid CAPS hit hard....worse than large, which stands to reason. Glad I have no small caps. The worst will get cut on the rebound. It's time. What stood out this week was EM. It did better than most U.S. stuff. Real estate also did well. Added to it this week. The very bad......defense.....FSDAX. They shot it. Then MLPs also went south. I may have to look at this space.....it's cheap. Healthcare also did poorly. I think it's Bernie maybe. Bonds and VWINX did well. It's why they're in the port. It was their time to shine, and they did it well. What I thought would get pounded the worst would be tech. While it got hit, it was not the worst or as bad as I thought. We'll see on the rebound what happens. This is an area I really believe in, so we'll see. This showed me where I need to cut and add, so it was good. I only hope it ends soon because I've had enough for now. Also I would like to know what surprised you that week.....good or bad......in your port.
God bless
the Pudd
Comments
We kept adding / bought more fidelity2015 and FBND
For our broketage portfolio-added VPPCX VGSTX VHT BRK.B, VDE recently after div collected march first. Our 401k/tsp still 80s20s distributions, most of/bulk of new monies get placed in lifecycle2040 funds
Also stated new positions in BAC.PRM
Regards
Started position in VDIGX in taxable today.
Added $1000 more from my miniscule cash pile to RWMGX in my 403(b). My last out-of-cycle addition was 3 weeks ago when the fund was 15% higher.
Not really, no. VIG is an ETF (I rarely use them) and is indexed (which I don't like); VDIGX is actively managed and only holds like 40 positions ... VIG has like 150.
Some of things I'm really looking at to either add, or add to...MSFT (surprise!), ABBV, BME, UTF, UTG, HQH, AOFAX, PRGTX, WPC.
I'll wait a bit though...we have some pain yet to come, IMHO.
Added to BTI, CSCO in my long-long term account, plus added BIP.
Bought BIP in my 'active' account, plus regained a position in CHSCM preferred which I sold a while back and has now come back to par. Orders sitting for MPW (rebuying), DMLP, and perhaps adding to other positions as opportunity presents.
Nearly everything I own is bought w/an eye on holding for the long-term.
Bought vde and vti today small amounts
Been thinking a lot about that “barometer” of yours. Has the glass shattered yet? Did any springs pop out this week?
Regards.
I rolledover my 401K to an IRA in 2018 Nov/Dec period and kept the funds in money market fund thinking market was high and that I would wait for a correction. It was a painful wait as market continue to go up and I was repenting. I invested a bit here and there but not much.
Started investing in the last two almost on all days when market was going down like how Chang does
In the last two weeks:
Bought my first stock BRK.B since 2006 (stopped investing directly in stocks from then)
Increased my stake in VDIGX making it the largest fund that I own pushing VMVFX to second position
Invested more in VMVFX
Starrted new positons in VWIGX, VWUSX, PRNEX, USAGX
Reallocated 401k funds from Trowprice 2035 fund to that fund, American balanced fund in equal portions in addition to starting small positions in VWILX and TRBCX
Sold ARTKX after holding since 2006
Sold HJPSX after holding it for an year+ and consolidated
Initiated a small position in TREMX (a wish I had to keep emeriging markets focussing on 3 regions - Asia, Latin America and Emerging Europe, and use rebalncing between them. Doubt, it will work as they all have high correlation these days, but giving it a try. Since most diversifified EM funds are Asia bent, so I am treating ARTYX as that, and hold PRLAX and TREMX)
In the last few months:
Initiated startING positions in WAINX and MCSMX
Sold SFGIX and increased stake in ARTYX
Increated VDIGX stake in small amounts
As for my asset allocation of 20% cash, 40% income and 40% equity seems right for me and is now being put to test in this turbulent market environment. Thus far, it is working as I thought it would. No sleepless nights for me. Below is how it works.
My all weather asset allocation of 20% cash, 40% income and 40% equity affords me everything necessary to meet my needs now being in the distribution phase of investing. The benefit of this asset allocation is that it provides sufficient income, maximizes diversification, minimizes volatility, and provides long-term returns.
The 20% held in cash area provides me ample cash should I need a cash draw over and above what my portfolio generates plus it can provide the capital necessary to fund a special investment position (spiff) should I choose to open one during a stock market pullback. In addition, cash helps stabilizes a portfolio during stock market volatility. Example of investments held in this area are cash, money market mutual funds and CD's.
The 40% held in the income area provides me ample income generation to meet my income needs in retirement. It is a well diversified area that incorporates a good number of income generating type funds. Some examples of investments held in this area are ISFAX, PONAX & PMAIX.
The 40% held in the equity area provides me some dividend income along with some growth, that equities generally provide, that offsets the effects of inflation. Some examples of investments held in this area are NEWFX, SVAAX & SPECX.
Generally, for my income distributions, I take no more than a sum equal to what one half of my five year average total return has been. In this way principal grows over time.
As I stated earlier, just tacking on an additional 10 years to your life expectancy is one option.
Regards
BTW - You live in a beautiful part of the country. Driving the 4-5 hours between Charlotte and HHI with a car that had a gaping blind spot on the left side / (terrible SVM) was terrifying. Roads bumper to bumper with 18 wheelers and changing lanes involved lot of a praying. Guess they didn’t name that one the “Billy Graham Parkway” for nothing!
At this time will keep enough dry powder to cover RMD's for next 5 years & a new vehicle.
I'm finding it hard to keep injecting the dry powder , but with falling interest rates low again, only way to make a buck.
mrc70 are you still shopping or adding to new purchases ?
Different strokes 4 different folks, Derf
Dows +9.3%
Bought BAC and CM, also added more vanguard-div etf
Will wait for bonds Divs come in over weekend...may add more spy or vti next wk
Hope DOWS won't go [-9%] monday
I still have good amount of Cash in MM.
Hopefully, I will still get good opporutinites to move rest of the funds from MM to good funds.
- Mrc
So you think you can tell heaven from hell...
Can you see a top from a fall? Who are you?
The one who yet can stand and know the what from the where......the who from the why....from the I to the U.
Can you tell where yet we will go? Do not be afraid! He who yet stands before me .... who stood at the reservoir.....still believes in US, bros.
We will walk on.....for a time.
We go higher.
God bless
the Pudd
CHSCN below par. Had it years ago, sold it, and have been looking to pounce on CHS preferreds if/when they ever came back under. I picked up CHSCM the other day, too. Bought both in larger quantities and will likely add to them if they drop in any meaningful way over time. (Both yielding over 7%)
MPW (REIT). Bought it back for $2 less than I bought it last year when I rode it up and sold @ the peak earlier this year.
Orders out for OFC (a cyber-REIT I know well) and WRK (packaging).
Presently stalking BME, BST, TXN, CAT, and either TPL or BWEL as spec land plays.
All dividends are reinvesting. If prices continue to drop, fine. I'm using time as my ally here since I'm still in accumulation stage.
Also getting close on my QQQ @ $160 lowball.
Thought about OPGSX - but it appears the miners are up today despite big declines in gold and silver.
Yikes - DJI down 3,000. Just slipped a bit into PRWCX as well (2 minutes before close).
(I don’t believe the world is about to end.)
Just checked. On last day of trading in 2016 the Dow finished at 19,762.
Today, it closed at 20,188.