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Consuelo Mack's WealthTrack - Investing in Gold & Miners in Uncertain Times - Jean-Marie Eveillard
70% equities...selective multi-national companies that have a global footprint...wide moat...selling at a discount...providing consumer staples (products/services) to the growing markets of the world.
Here are the top 25 holdings of the First Eagle Global Fund:SGENX
15% Gold and Gold Miners...in case of fire...global meltdown...A combination of (TGLDX & CEF) might work well here...deflation will hit both of these investments negatively...Maybe a little EDV as a barbell
15% Cash...in case of fire sales...Japan is a place where he feels company valuations are good...The dollar might actually do well if deflation continues
He didn't make any long term calls regarding a world that is showing signs of deflation/de-leverage/contraction...except short/medium term consumer staples...maybe utilities and healthcare as well
My two cents:
I feel the companies that provide inexpensive luxuries will do well in this environment. Consumers prefer a steak but will settle for a steak burger. We are better at modifying our habits than changing or eliminating them all together.
I think the miners are due for an increase due to a valuation rebalancing in relation to the price of gold. Rono has spoken of this at times. My holdings for mining companies right now:
Fidelity Select Gold (FSAGX) USAA Precious Metals and Minerals (USAGX)
Reply to @redwing: One would really have to research the details of it, but Kansas City Southern rail has a preferred share which yields about 4.5%-ish.
Comments
I like JME's weightings...
70% equities...selective multi-national companies that have a global footprint...wide moat...selling at a discount...providing consumer staples (products/services) to the growing markets of the world.
Here are the top 25 holdings of the First Eagle Global Fund:SGENX
http://portfolios.morningstar.com/fund/holdings?t=SGENX®ion=USA&culture=en-us
15% Gold and Gold Miners...in case of fire...global meltdown...A combination of (TGLDX & CEF) might work well here...deflation will hit both of these investments negatively...Maybe a little EDV as a barbell
15% Cash...in case of fire sales...Japan is a place where he feels company valuations are good...The dollar might actually do well if deflation continues
He didn't make any long term calls regarding a world that is showing signs of deflation/de-leverage/contraction...except short/medium term consumer staples...maybe utilities and healthcare as well
My two cents:
I feel the companies that provide inexpensive luxuries will do well in this environment. Consumers prefer a steak but will settle for a steak burger. We are better at modifying our habits than changing or eliminating them all together.
Thanks again for the link,
bee
Hi Bee,
I think the miners are due for an increase due to a valuation rebalancing in relation to the price of gold. Rono has spoken of this at times. My holdings for mining companies right now:
Fidelity Select Gold (FSAGX)
USAA Precious Metals and Minerals (USAGX)
I also like the railroads in this environment:
CSX and NSC
rw