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LewisBraham
Hi Hank,
Your satire came across very well. Don't worry about the user name.
Best,
Lewis
There are two ways to eliminate the deficit. One is to cut government spending and the other is to raise taxes to pay down the debt. Amidst all the constant hand-wringing from deficit hawks, rarely is the latter solution evoked. It should be:
It is also known that adding bonds will increase both ratios, and optimization on either of those ratios will produce strange results for a mix of stock, bond, blend funds. But their utility remains in assessing similar funds.
Again context matter…
I think standard deviation matters a great deal, in particular recent standard deviation, as recent volatility levels may persist. But looking at the numbers without further analysis is a mistake. Why did the volatility or lack-of-volatility occur, …
There have been a number of studies showing that manager investment does matter, although how much it matters varies by fund category for I suspect the reasons Yogi described regarding, say, bond fund managers. Here’s one I found just now: https://p…
Agreed, the manager investment should be more specific as for experienced managers $1 million isn’t much, but I think many investors would be surprised to learn how many managers don’t even invest that much. Moreover, whenever any regulator suggest…
Mutual funds have prospectus mandates. If your fund says it invests in equities in its prospectus, you as a manager are going to invest in equities, regardless whether you think the market is overvalued or not. There are some legal issues regarding …
One needs to ask one simple question with every market indicator--why? Why does this work? If you can't explain why it works, I would recommend ignoring it. There may in fact be no reason the indicator worked in the past and its success could be pur…
@Mark I'd rather bet that the vast majority of Ukranians aren't investors at all. Only 56% of Americans are investors and we're the wealthiest country in the world: https://news.gallup.com/poll/266807/percentage-americans-owns-stock.aspx In a countr…
It's been pretty good for investors: https://morningstar.com/stocks/xnys/noc/trailing-returns
That includes some well-loved funds which many investors own: https://morningstar.com/stocks/xnys/noc/ownership
Perhaps if building machines to kill people…
The ten year numbers are also the difference between a 197% cumulative return and a 240% one. Both calculations are correct, just a difference in perspective, one cumulatively from the initial investment, and one the percentage of difference—14.4%—b…
I'm fairly certain the difference between a 13.01% annualized return and a 11.50% one over ten years is more than 14.4% cumulatively, more like 40 percentage points if this is correct: https://investor.gov/financial-tools-calculators/calculators/com…
To say “Over 10 years, it leads DODBX by only 1.5%” annualized and assume that is a small amount I would suspect misunderstands the power of compounding. But I haven’t done the math in this case.
@davidrmoran Agreed the thread has run its course, but “foolish impugning hed” is foolishly impugning. To say in the same interview, in the first thread link, that one is doing a lot of “soul searching” about recent losses while boasting in the same…
I think New World is doing better relative to peers than Overseas. But I agree. I don't think this is a Bill Gross case necessarily here as Geritz left one boutique, which doesn't have Pimco like resources, to found another boutique. What I'm gettin…
It really is true that when a star manager sets up their own shop it's important to understand how much they were responsible for the success of the fund they left and how much was due to the unique architecture/infrastructure of the previous fund s…
I wouldn't say shorting in this case makes the fund more risky than long funds, but it reduces some risks while increasing others. The thing to understand is that this fund buys value stocks on the long side and often bets against higher priced grow…
It's a difficult question to answer, and the most honest one I could give is I don't know. But it's worth noting the goal of many alternative funds is not to beat a 50/50 SPY/Cash allocation. It's to deliver positive absolute performance beating 100…
My feeling pretty much echoes David's on this one and my own from before. If you already own Global Reach, you probably don't need this fund as its allocations to micro, small, mid and large cap stocks are pretty similar. It's possible the fund's in…
We can now compare the portfolio of Explorer:
https://grandeurpeakglobal.com/documents/grandeur-peak-global-explorer-fund-fs-20211231.pdf
To Global Reach:
https://grandeurpeakglobal.com/documents/grandeur-peak-global-reach-fund-fs-20211231.pdf
The difference is it's actively managed on both the equity and options side unlike most of the options funds out there, and it's proven more defensive than most of them.
I actually disagree. This analysis is treating the human, all too human stock market’s performance during a correction like it’s a scientific or natural phenomenon like precipitation or a gravitational force that manifests itself at regular if not …
I would tend to agree with MFS here. It’s not so much a legal issue I imagine as merely a depressing sign of what has happened again and again throughout market history near the tail end of a bull market. The investment products continue to get incr…
Here is the Zweig article: https://google.com/amp/s/www.wsj.com/amp/articles/cathie-wood-ark-innovation-performance-11642175833
Even if such big gains are possible, many investors may not be able to stomach this kind of volatility and could time the…
I agree with @wxman123 to the extent than the early investors in ARKK did very well. Wonder how many piled in a year ago, however?
I believe WSJ’s Zweig did a story on this and as is often the case most people get into speculative funds after the …
My thinking is even if you disagree with an analyst's viewpoint, you should read it to challenge your preconceived notions and see whether your own analysis still holds up. Grantham may be wrong, but I think it's important for investors to understan…
The title for this thread is correct--gambling. The shorter one's investment horizon, the less risk one should be willing to take. If you need your money back in one year, i.e., by the end of 2022, then you should generally be less willing to take o…
You are right about the institutional nature of the rules as they are the main investors for prime funds today. Part of this retail/institutional distinction has to do with brokers converting retail clients prime fund accounts into government fund o…
Without analyzing the market cap and liquidity of the stocks Wood was invested in, this asset-size analysis seems incomplete to me. It think the speculative nature of the companies the ETF invests in and their extraordinarily high valuations may ha…
Far left government paid people to sit at home and is still trying to hand out freebies
Just out of curiousity, given the massive automation of labor that has occurred and will continue to occur, at what point would you think it makes sense to pay p…
@davidrmoran The way I think of TIPS is the longer the maturity of the bonds, the less of an inflation hedge they are and the more they behave like regular Treasuries. The duration and rate sensitivity increases with maturity while with a short-term…
