Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
Government Bond Yields Have Surged, but Real Yields Are at Zero:
Government bond yields have been rising steadily for the past three months, but they went parabolic in February. The yield on the 10-year Treasury touched 1.6% yesterday, up from 0.9% …
A $50 Billion Unwind Fueled Treasuries’ Rout. It Has Room to Run
(Bloomberg) -- A chaotic selloff in the Treasuries market was spurred by a massive exodus from popular trades, heightened by liquidity concerns that could inflict more pain in coming d…
Interesting Read:
Yield Curve Steepening, and Small Caps
Right now, longer term rates are rising, while the Fed is keeping the short term rates low. That means the yield curve is steepening at a rapid rate. That should mean a continuation of small…
Momentum Indicates Stock Price Strength:
investopedia.com/articles/technical
The relation between value and momentum strategies:
Simple value and momentum strategies often end up with opposite market positions. One strategy succeeds when the other …
Munger of Novice Investors:
“It’s most egregious in the momentum trading by novice investors lured in by new types of brokerage operation like Robinhood and I think all of this activity is regrettable,” Munger said Wednesday at the Los Angeles-based…
Cathie Wood Funds Hit by Biggest Investor Outflow on Record
Fund just recorded worst two-day decline since September
Buy the dip?
https://theirrelevantinvestor.com/2021/02/23/buy-the-dip/
File Your Federal Taxes Online for Free:
Free File is now open!
Welcome to Free File, where you can prepare and file your federal individual income tax return for free using tax-preparation-and-filing software. Let Free File do the hard work for yo…
Feb 20th Episode:
Beyond Diversification: What Every Investor Needs to Know About Asset Allocation:
On October 28th, Sébastien Page and Chris Dillon discussed principles from Sébastien’s recent book, “Beyond Diversification.” Sébastien combines…
Interesting Article:
The 27-Year-Old Who Became a Covid-19 Data Superstar:
covid-pandemic-how-youyang-gu-used-ai-and-data-to-make-most-accurate-prediction
His Website:
https://covid19-projections.com/
From @johnN link:
Two BNT162b2 recipients died (one from arteriosclerosis, one from cardiac arrest), as did four placebo recipients (two from unknown causes, one from hemorrhagic stroke, and one from myocardial infarction). No deaths were considered…
2/12/21 Episode
Topics:
Diversification works well...when you don't need it.
- Stay invested for the long term.
- Diversify for the upside, not the downside.
- How do treasuries and bonds help investors stay invested on the downside?
- Risk Mana…
Using MFO search feature, here's FSMEX. I continue to own this fund as I prepare for hip replacement surgery. As @rono would say, "Own what you buy."
https://mutualfundobserver.com/discuss/search?Page=p2&Search=fsmex
If you are open to the idea of Basic Material VMIAX has performed very well. It's top 10 positions make up 50% of the fund, but it covers 115 companies that are in the Small, MID, and Large Cap space. ER is .10%
VAW has no minimum.
Seduction of Pessimism (By Morgan Housel):
Pessimism is intellectually seductive in a way optimism only wishes it could be.
Tell someone that everything will be great and they’re likely to either shrug you off or offer a skeptical eye. Tell som…
Feb 5th, 2021 episode:
RYSEX is ranked #58th by US NEWS (Vanguard Funds are ranked #1,2,&3):
https://money.usnews.com/funds/search?category=small-value
David Giroux (PRWCX) suggest Floating Rate loans (Leveraged Loans or Bank Loans). TRP price manages RPIFX (see if you can get around the $1M minimum) or PRFRX ($2500).
Link to Bank Loan Mutual Funds:
https://money.usnews.com/funds/mutual-funds/ran…
@JonGaltIII...maybe even simpler still (@bee has a bee size brain)...compare your stock (equity) dividends to bonds. If I understand Giroux correctly, he tries to GARP-y his equities to reduce downside equity risk and yet achieve equity dividend ret…
Paul Massaro Article on Fixed Income:
uncovering-opportunities-noninvestment-grade-credit
On Duration Risk:
... if you're going to take duration risk, take duration risk in your equity sleeve, not in your fixed-income sleeve. Duration risk in equit…
Vaccine passport and other updates (NY Times):
https://nytimes.com/2021/02/04/travel/coronavirus-vaccine-passports.html
Also,
Mixing vaccine cocktails:
britain-trial-to-test-combining-pfizer-and-astrazeneca-vaccines-in-two-shot-regimen
A vaccine…
Comparison with VFINX since 1987...mission accomplished...
As he said the fund is aimed to deliver good return (S&P500 like) with a lower risk over a market cycle.
Comparison to the S&P 500
A few links related to Reg SHO, Shorting, and naked shorting.
What Is Regulation SHO?
Regulation SHO is a set of rules from the Securities and Exchange Commission (SEC) implemented in 2005 that governs short sale practices. Regulation SHO establis…
@FD1000 said:
I have several criteria but the easiest one is the VIX, when...VIX>30 get ready...VIX>35 start selling...VIX>40 rapid selling. The catch of course is not to stay out for longer term. I have been out of the market about 3% of t…
Aside from an outstanding 2020, SVARX has ebb above and below a multi-sector fund like PTIAX. When I see these two charted together I am reminded that owning an equal share of both helps smooths things even further than one alone if low volatility i…
