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.
Somebody once said that if you’re comfortable with everything you own, you’re not diversified.
I'll sleep better tonight. Seems I'm diversified out the wazoo.
;-)
@Catch22 Why would utility funds like FSUTX have dropped over 20% YTD?
PE ratios were high by historical standards. Prices were bid up because almost everyone was looking for "safety" and yield.
Then, when the poop hit the windmill, almost every…
I bought Fidelity's version as an inflation play. So I leave it alone in case inflation comes back. It's the "fun" side of my TIPS fund.
I'll admit that it's hard to ignore the whimpering right now.
However. As I understand the thesis, if interest…
I want to get through the bar-room brawl of corporate debt before I start thinking about the way the world looks after corona.
I'ld like to think about how the world economy works without every part of the world economy on a central bank ventilator…
I spread it evenly across most of the equity caps and sectors I cover with mutual funds. I'm no stock picker.
I'll add to the bond funds when there is some profit to rebalance into them. For now they are on their own.
I have not added to any of th…
From The Guardian:
"Trump signals change in coronavirus strategy that could clash with health experts"
And now as Trump and his friends take note of the damage to their hotels, golf courses, and other investments he begins the waffle dance: Maybe …
From the link:
Since I don’t think I can outsmart the market, my usual investing strategy is just to take the money I don’t need to use right now and park it in low-fee, broad-market equity index funds; set it and forget it, knowing the equity marke…
This post has been edited to correct my description of the fund's implementation of its strategy. I should have gone directly to DoubleLine to begin with. My apologies for being lazy.
It is a value play, if I understand the methodology correctly. M…
Huh.
Curioser and curioser.
All this bond stuff seems full of more . . . excitement I suppose . . . than it ought to. I thought they were supposed to be boring.
I live in rural Michigan where there are no big corporations and people do not generally feel the victims of them. Here people love to own land to hunt or ride on and many work for or own small businesses.
Do they form LLC's to enjoy all of that? …
I think people tend to conflate libertarians and Austrians with a lot of other people and ideas on the right.
But hey. I know "conservatives" that think I'm a downright "communist" because I voted for some Democrats.
Politics are closer to an M* s…
Thanks for the explanation Mark.
Seems to be a lot of residual walking on eggs around here. Or Stockholm Syndrome.
Probably just as well I wasn't around then.
OK. It's off-topic. I'm new here. Are people touchy about that around here? What's the big deal?
Anyway . . .
Yeah. Never let a crisis go to waste.
I don't see much chance of it getting through the House.
It's the stuff they think they can do …
Solid points Sven. The market has been sketchy for a while. Corona just lifted the blinders. Violently.
The analogy that has stuck with me over the years is to avalanche conditions. The snow is on the mountain. We're just waiting for the sound in t…
Does anyone know how much the market rallied back in 2008 after the bailout was announced?
You could zoom in on an S&P fund chart at M* to get a sense of that if you knew the date.
I'm not sure if many of us could buy this fund at par. Institutions by purchasing in mass quantities would immediately drive the bond price up reducing the effective yield to near the effective yield on the 30 year treasury .
With my limited imagin…
I think people tend to conflate libertarians and Austrians with a lot of other people and ideas on the right.
But hey. I know "conservatives" that think I'm a downright "communist" because I voted for some Democrats.
Politics are closer to an M* s…
@wxman123 Boeing will definitely 100% survive. This is an icon of American industry... People said the same thing about Lehman. There is no definitely 100% in finance.
Lehman wasn't a defense contractor.
When Boeing is bailed out, I hope they appl…
@Sven- for years I believed that I was the most cynical of the MFO group. Now I'm not so sure. :)
Well. I think there's still a healthy difference between skepticism and cynicism. But when I grew up in Missouri, that "show me" attitude was still tak…
Where were we?
Oh yeah . . .
I did do some shopping Wednesday when the 10 year treasury rate jumped up.
If those rates can keep from levitating, I think we might be bouncing around a little less violently until we start seeing numbers measuring…
I bought TIAA's TSBRX in January as part of my effort to move more of my IRA into bonds.
It's off 4.82 since then. But it had a lower rating (BBB) and a longer duration (5.88) than the rest of the bond funds I bought. So, I'm not surprised it has f…
As discussed in many threads around here, corporate America learned nothing from the last two crashes. And in fact, like the kids down in Florida, they just kept partying harder.
So it's not too surprising to contemplate things getting worse when y…
New jobless claims numbers came out today.
Initial jobless claims increased by 70,000 in the week ended Saturday, March 14 to a seasonally adjusted 281,000, marking the fourth biggest jump for jobless claims on record back to 1967. It also brought c…
Just another chartist.
As the chart below shows, investor sentiment, according to an Investors Intelligence survey, has fallen into the bottom 10th percentile of readings, which has been a good indicator of market rallies during the past decade.
A …
Does anyone go to a spring break destination seeking wisdom?
My wife was talking about such people earlier today. She reads articles about how hard it is to communicate the situation to these young people. I reminded her that we never went to such …
I haven't read any negative comments on M* from the financial press. But I haven't been looking for them either. Neither do I spend a lot of time in the market blogosphere, like Seeking Alpha.
My own observation is that their home page has lost it…
Hi, WABAC.
Simply typo. Or braino. "way from the trough in a bear."
The key is that bear markets tend to blow past fair value on the downside. The trough, or low point, of the market tends to be when stocks are selling at a substantial discount to…
Oh.
Well.
My snarky answer is that it seems to be big enough to raise yields on the ten year bonds.
this is interesting to me because it provides a sense for how much ammunition the federal government may wind up using.
I can see 10%. It's an…
hi David. I do not understand "but way back the trough in a bear." I understand that there is still room for bad news -- or something. Just never heard it expressed that way.
What else can be way back the trough? Is this a common phrase in some pa…
@WABAC - SBUX begs to differ on the not buying back their stock part. I grant that it might not be with cheap borrowed money but who knows. And really, could there be a better time if a company is looking to juice its earnings/share figure?
Depends …
