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.
Interest rates are low not because of the fed because that is what the market wants. Hate to hear return to normal interest rates--these are normal interest rates because the market knows that the higher rates banks could get earlier were just sub…
There is so much money chasing yield rather than growth right now and in the foreseeable future, plus baby boomers retiring, fear of another 2008, low wage growth, fed policies = low rates...right. Just as we all capitulate then rates will rise.
I don't think they will raise rates. No government stimulus and no wage growth equals no raising of rates. Plus there will always be some world event postponing raising the rates. They don't want the bond vigilantes bullying them into a decision …
It is all so speculative to make calls like this. Nobody really called the housing collapse but everybody calls the rise in interest rates. The fed intervention is not to keep a lid on interest rates it is to keep interest rates from collapsing. …
Are frontier market funds just commodity or energy funds? Are they really a play on the explosive growth of the pent up demand of a youthful population with a government structure stable enough to harness that growth?
I recently purchased some VWAHX and VWLUX in my taxable. I do think a lot of the taper has been built in especially with VWLUX plus muni interest is not taxable under the 3.8% ACA tax on interest and dividends.
Reply to @Mona: what have a thoughtful response to a difficult problem. If you attack the process you probably didn't like the law in the first place if you attack the impact of the law that is a real problem that is worth debating. I hope when thi…
Reply to @Junkster: so according to this article 108 million people receive welfare, nobody is counted twice in these programs and all the other people on social security, vets benefits, or Medicare which number in the millions leaves us with about…
You mentioned two states New York and California who have their own exchanges, my state (Iowa) chose not to do their own exchange so the price data was hard to come by unless you opened an account on the federal exchange.
I think the stock market has legs too. Not really based upon fundamentals but on the fact there are many investors still on the sidelines, we have had two huge downturns in the last 13 years, and the recent strength of the markets despite Washingto…
Since the shut down and debt ceiling are less likely to be used in the future (I think) they are going to have to negotiate. So what does that mean it means there is either going be more government spending or tax increases coupled with cuts or the …
I think a lot of people think our economy is fake because of QE. So in their minds we will be reverting to the mean if we default, we also get runaway government spending under control, and we win politically. People who equate kitchen table econo…
Reply to @hank: one side wants to be rewarded for believing in the culture of default. They want to leverage that belief or fake belief. That should not be rewarded by either side.
Reply to @Charles: The USA has survived worse situations and will survive this. One party will probably be in the doghouse for awhile but will survive.
The Tea Party is upset because they are starting to figure out their votes are used to give corporations tax breaks in the final congressional "compromise" every year. What this fight highlights is how Congress compromise each year. Nobody gets ev…
It has been fascinating to watch the budget showdown. I have a few thoughts about the debt ceiling default threat and that is exactly what it is. This behavior should not be institutionalized if the president rewards this behavior it will be used …
I won't be buying anything on Monday. If I were buying on Monday biotech sounds like a good bet. I would look at industries that get beat up not because they are performing poorly but because they are dragged down with the rest of the market. The s…
There will be a deal but we are witnessing the slow break between the libertarians and business types. Congress controls if the government shuts down the executive branch controls how the government shuts down...that is tremendous leverage for the …
....some kids or grand kids? How about before the downturn paying college for most grand kids and providing down payments for most of their children's first home purchases :).
I understand the Fed will have to taper but define artificial activity? Businesses receive subsidies all the time isn't that artificial? Wasn't the housing bubble artificial too--all that fake equity stripping going on to fuel the economy for yea…
The easy money was in the Greenspan era. This is the hard money we all owe in order to pay back the easy money sitting in the Wall Street executive's offshore bank accounts. You're welcome to speak to relatives who were alive in the 1930s and make …
Maybe it is time to load up on some palm oil producers like ADM and JMHLY but these are not pure palm oil plays and of course there are some environmental concerns with palm oil production and then there is the orangutan problem too.
M* had a a good read about PMF and HIO. The distributions intrigue me but you really have to know what you are doing.
http://news.morningstar.com/articlenet/article.aspx?id=605930
http://news.morningstar.com/articlenet/article.aspx?id=607578
I have looked at CEFs from time to time but they are complex and many use leverage to juice their returns or return your own capital to you disguised as a dividend. I recommend researching CEFs at M* before you invest.
You need to be careful about family dynamics not just fund selection. All of the heirs need to be involved with this process (maybe they are) because if the market goes down and the trust loses money it is going to be your fault. If you think the ot…
