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TRAMX has a shorter history than most TRP funds. I included TRAMX in a longer term chart with PRWCX and TROW (T Rowe Price stock)...it's amazing to compare the performance of TROW long term against one of TRP's best run funds,PRWCX. For the stock of a company that owes all its success to those who invest in TRP funds I'm surprised more TRP investors aren't buying TROW.
Reply to @MaxBialystock: Thanks for noting the date Max. Piece never caught my eye before for whatever reason - and I'm at their site a lot. Decent writing I thought. Area we don't hear much about. Twenty years ago I'd probably have taken the bait and sent $$. Not now.
BTW - You might enjoy "Out of Africa" with Robert Redford and Meryle Streep. A few lines from film (Coleridge)
Farewell, farewell! but this I tell To thee, thou Wedding-Guest! He prayeth well, who loveth well Both man and bird and beast.
He prayeth best, who loveth best All things both great and small; For the dear God who loveth us, He made and loveth all.'
The Mariner, whose eye is bright, Whose beard with age is hoar, Is gone: and now the Wedding-Guest Turn'd from the bridegroom's door.
He went like one that hath been stunn'd, And is of sense forlorn: A sadder and a wiser man He rose the morrow morn.
Haven't we heard this nonsense before, ad nauseum? Hasn't Africa been "on the rise" for the past 30 years? Maybe it's just me, but the appeal of investing in a continent engulfed in never-ending tribal warfare, radical Islamic movements, corrupt rulers who are looting their countries and filling their Swiss bank accounts with their ill-gotten gains, and a woefully undereducated populace doesn't float my boat. This is akin to listening to a Mark Mobius (Templeton emerging markets guru) interview as he breathlessly talks about the "unlimited" opportunities in emerging market investing, the reasonable to low valuations for the "anticipated" growth, yadda, yadda, yadda.
Not.
If you think that investing in Africa, the Middle East, the poorest and most remote parts of Eastern Europe and any and all of the -"Stan" nations from the former Soviet Union is a diversifier or the road to riches, well, I have some condominiums in Florida I would like to sell to you as an "investment'. Bet on this --- when the next bear market hits and the S&P 500 index sheds 40% of its value, these frontier emerging market funds will plunge 50% to 65%.
Reply to @DlphcOracl: Sad to say, but I tend to agree with you. Investing in so called "frontier" countries is more of a gamble then an investment - to me. You are not only betting on a specific corporation or business or even a countries economic cycle to be successful but on the added risk of government corruption and stability.
Once again, it's a measure of return versus risk. It just doesn't balance out for me. Makes more sense to invest in the more 'developed EM' countries that are supplying those 'frontier markets' with goods.
One concept that is not emphasized often enough is that GDP growth does not necessarily translate into attractive stock market returns.
Also, if you think that your portfolio is so finely tuned that all you need to make it absolutely perfect is a frontier market fund, then you are likely delusional. I would spend more time on optimizing the rest of the portfolio.
I'm not sure which would be better, invest in a single country you know that might have a chance to grow or investing in a continent that mixes both good and bad. With the growing influence of groups like the Muslim Brotherhood and other factions of Islam, Africa just doesn't feel right. A good post was made about the past 30 years. It seems that as soon as a country economy starts to boom, graft and corruption or war bring it back to a sad reality.
There are plenty of other emerging and frontier markets that seem to be safer geopolitically.
Bailed on TRAMX after several years. Probably best to find large companies opening and selling stock in an African subsidiary, but I just don't have the time.
Comments
BTW - You might enjoy "Out of Africa" with Robert Redford and Meryle Streep.
A few lines from film (Coleridge)
Farewell, farewell! but this I tell
To thee, thou Wedding-Guest!
He prayeth well, who loveth well
Both man and bird and beast.
He prayeth best, who loveth best
All things both great and small;
For the dear God who loveth us,
He made and loveth all.'
The Mariner, whose eye is bright,
Whose beard with age is hoar,
Is gone: and now the Wedding-Guest
Turn'd from the bridegroom's door.
He went like one that hath been stunn'd,
And is of sense forlorn:
A sadder and a wiser man
He rose the morrow morn.
http://investing.money.msn.com/investments/institutional-ownership?symbol=TROW
Not.
If you think that investing in Africa, the Middle East, the poorest and most remote parts of Eastern Europe and any and all of the -"Stan" nations from the former Soviet Union is a diversifier or the road to riches, well, I have some condominiums in Florida I would like to sell to you as an "investment'. Bet on this --- when the next bear market hits and the S&P 500 index sheds 40% of its value, these frontier emerging market funds will plunge 50% to 65%.
Diversifier indeed.
http://www.usfunds.com/media/files/pdfs/investor-alert/_2013/2013-06-14/Investor-Alert-06-14-2013.pdf?utm_source=SubscriberMail&utm_medium=email&utm_campaign=IA-06142013&utm_term=Download PDF Version&utm_content=c35a4e567cd7466eaaf4f1a8d1df0917
Once again, it's a measure of return versus risk. It just doesn't balance out for me. Makes more sense to invest in the more 'developed EM' countries that are supplying those 'frontier markets' with goods.
Amen to all that !
One concept that is not emphasized often enough is that GDP growth does not necessarily translate into attractive stock market returns.
Also, if you think that your portfolio is so finely tuned that all you need to make it absolutely perfect is a frontier market fund, then you are likely delusional. I would spend more time on optimizing the rest of the portfolio.
Kevin
There are plenty of other emerging and frontier markets that seem to be safer geopolitically.