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Yep - I'm holding too. A bit higher than normal on cash. No changes planned. Sell in May didn't appear very productive this year. Good to see you posting again Ted.
I wouldn't discredit the sell in May idea quiet yet. We still have a long hot summer to go and Mr. Market is down over the last month - some sectors down worst the others. As of yesterday, my REIT fund, CSRSX, is down over 1 month about 11%. My EM fund, ODVYX, down about 7%, which is actually not bad compared to most EM funds. Heck, even my bond funds are down in the 2-4% range.
I bought a toe hold position in RGHVX last week. This is a hedge-type mutual fund that David profiled a little while back. It's holding up fairly well in this volatile market. I may take a little more of my bond money and add to RGHVX if I like what I see.
Reply to @MikeM: Good point Mike. I tried to be circumspect in my remark: "didn't appear (to be) very productive." But, of course, anything can happen. Down the road a bit, Sell-in-May might prove to have been the right call. Not seeing many hiding places at the moment. Gold broke below $1300 this morning. Liked Charles's comment in another thread - as many of us are wondering how equities will perform should we have continuing increases in interest rates. ... I do suspect a couple Fed governors are polishing their scripts this morning and will be out there today or tomorrow trying to reassure the markets. At least that would fit in with past practice. We shall see. Take care.
Reply to @hank: There was some debate about Bullard's dissent yesterday. Bullard was actually wanting more inflation. I tend to believe that, as per usual, Bullard will be the one trotted out to calm markets. ("Hey, I want more easy money - there's no inflation *cough* at least in the things we look at *cough*)
Reply to @hank: Hi Hank. I followed Skeeter's lead in April-May and cut equities back from about 52% down to just under 40%. Cut my PIMIX from 10% to 5% too. I suspect an equity pull back in the 10% range, maybe more. If it doesn't happen I'll still sleep better erring on the cautious side.
I noticed gold dropping like an anchor. Asia and Europe are getting killed too. I don't care how low gold and miners go. I won't touch it. That volatility is just out of my league. But more power to those who can make money at that sector.
Reply to @MikeM: Clearly the market was ahead of itself while not questioning the consequences of the tapering. One can only hope that end okay but I am not holding my breath. Since spring I raised my cash position close to 20% by reducing mainly bonds (emerging market and investment grade) and some equity. When thing settles back a bit, I will DCA back in again.
Comments
I bought a toe hold position in RGHVX last week. This is a hedge-type mutual fund that David profiled a little while back. It's holding up fairly well in this volatile market. I may take a little more of my bond money and add to RGHVX if I like what I see.
I noticed gold dropping like an anchor. Asia and Europe are getting killed too. I don't care how low gold and miners go. I won't touch it. That volatility is just out of my league. But more power to those who can make money at that sector.
Good luck to you...
Welcome back! Did you hang on to PFF?