Tell that to the Japanese - 25 years. I don't think we will have that type of decline and for so long. However, maybe a drop and then a trading range for many years - % and years your guess. The cause if you want: Fed foolishly raising interest rates, terrorist attack, war, and then VAT, raise in tax rates to pay for debt, war, aging pop, increasing entitlements.

The article is too focused on the US stock market. Through out history there have been stock markets that have crashed and burned.
Worry and be happy.

Actually, TGBAX is doing better than Fuss and Gaffney, not as well as Ivacyn and the Poobah. But why anyone would compare him with these is beyond me. Nothing has changed with the way TGBAX is managed. What HAS changed is the various world economies, and the dollar in relation to other currencies. Investors who bought this fund should have bought it for the diversification it adds to a portfolio, not for the returns that it had in any given year or time frame. Hastenstab is incredibly defensive right now, with a duration of 0.13 years and an average maturity of 2.36 years. We captured some significant gains a year or so ago, but we maintain our positions in the fund.

FYI: Steven normally don’t get excited when a mutual fund company unveils a new product. Most new funds
amount to little more than asset-gathering machines for their sponsors. But he's enthusiastic about three new funds that Grandeur Peak, a relatively unknown Salt Lake City money-management firm, is getting ready to launch: Global Stalwarts (it will trade under symbol GGSOX), International Stalwarts (GISOX) and Global Micro Cap (GPMCX).
Regards,
Ted
http://www.kiplinger.com/article/investing/T041-C007-S001-new-grandeur-peak-funds-are-worth-getting-excited.html
M* Grandeur Park Fund Family:
http://quicktake.morningstar.com/fundfamily/grandeur-peak-funds/0C00009U8O/fund-list.aspx
Grandeur Park Funds website:
http://www.grandeurpeakglobal.com/

FYI: (This article was written one year ago today, but is just as true today as it was then.)
With global angst going up several degrees, there are myriad reasons to feel nervous about stocks. But that shouldn't compel you into timing the market - focus on your prosperity and happiness instead.
Regards,
Ted
http://www.reuters.com/article/2014/08/11/column-wasik-cycles-idUSL2N0QH0QV20140811?feedType=RSS&feedName=everything&virtualBrandChannel=11563
Don't Worry Be Happy: Bob Marley:

SPFLX is available at Scottrade for low minimums and a trade fee.
Minimums
Initial 100.00
Additional 100.00
IRA 100.00
Additional IRA 100.00
Characteristics
For Sale at Scottrade -Available At Scottrade
Transaction Fee(TF) - Transaction Fees Apply
No Load(NL)- No Load
Thanks for the heads-up!
8/12/15 - minimum order went through with $17 T/F.

M* chart smooths out these payouts:

http://bigcharts.marketwatch.com/quickchart/quickchart.asp?symb=spflx&insttype=&freq=&show=
Dex, the chart from the link above is a better visual of its trend persistency in 2015. The two steep declines are from its twice annual dividend payouts.

@junkster,
I'm missing something here. Is this the right fund?
http://finance.yahoo.com/q?s=SPFLX
The chart doesn't look like much to me, the yield is 4.89%

QLENX doing rather well, too. +10.5% YTD. SPFLX is interesting, thanks for pointing it out.

Thanks Scott, I just edited my header to say bank loan fund. I don't do "groupthink" funds and thought all AQR funds were in the mode of AQRIX/AQRNX - an ultimate "groupthink' and with lousy returns. But was unaware of QLENX and certainly not lousy returns.
Edit: Just looked at the YTD returns for all the many AQR funds. Quite a variance in returns and may dig a bit deeper into that fund family.
https://funds.aqr.com/daily-prices

QLENX doing rather well, too. +10.5% YTD. SPFLX is interesting, thanks for pointing it out.

"Although LSBDX has had about a 20% equity inclusion."
The fund has tended to add a little equity in recent years, but nothing over 10%. A higher equity position must have been a long time ago. Here's what I found in the (semi) annual reports over the past few years:
Common + Preferred Stock by report date:
3/31/15: 6.4% + 1.8%
9/30/14: 5.1% + 1.9%
3/31/14: 6.8% + 2.0%
9/30/13: 5.8% + 3.6%
3/31/13: 5.4% + 2.9%
9/30/12: 4.9% + 2.5%
3/31/12: 5.4% + 2.6%
9/30/11: 4.8% + 2.6%
3/31/11: 2.6% + 3.3%
9/30/10: 2.3% + 2.6%
3/31/10: 1.5% + 2.5%
9/30/09: 0.7% + 1.4%
3/31/09: 0.0% + 0.1%
9/30/08: 0.7% + 1.2%
3/31/08: 1.1% + 1.7%

I am posting below my investment sleeve management system for readers that might not be familiar with it along with my current funds held as of 07/31/2015.
Sleeve Management System (07/31/2015)
Here is a brief description of my sleeve system which I organized to help better manage the investments that were held in five accounts. The accounts consist of a taxable account, a self directed ira account, a 401k account, a profit sharing account and a health savings account plus two bank accounts. With this I came up with four investment areas. They are a cash area which consist of two sleeves … an investment cash sleeve and a demand cash sleeve. The next area is the income area which consists of two sleeves. … a fixed income sleeve and a hybrid income sleeve. Then there is the growth & income area which has more risk associated with it than the income area and it consist of four sleeves … a global equity sleeve, a global hybrid sleeve, a domestic equity sleeve and a domestic hybrid sleeve. An finally there is the growth area, where the most risk in the portfolio is found and it consist of four sleeves … a global sleeve, a large/mid cap sleeve, a small/mid cap sleeve and a specialty sleeve. Each sleeve consists of three to six funds (in most cases) with the size and the weight of each sleeve can easily be adjusted, from time-to-time, by adjusting the number of funds and the amounts held. By using the sleeve system one can get a better picture of their overall investment picture and weightings by sleeve and area. In addition, I have found it beneficial to xray each fund, each sleeve, each investment area, and the portfolio as a whole monthly. Again, weightings can be adjusted form time-to-time as to how I might be reading the markets and wish to weight accordingly. All funds pay their distributions to the cash area of the portfolio with the exception being those in my 401k, profit sharing, and health savings accounts where reinvestment occurs. With the other accounts paying to the cash area builds the cash area of the portfolio to meet the portfolio’s monthly cash disbursement with the residual being left for new investment opportunity. In addition, most all buy/sell trades settle from or to the cash area with some nav exchanges taking place.
Here is how I have my asset allocation broken out in percent ranges, by area. My neutral targets are cash 15%, income 30%, growth & income 35%, and growth 20%. I do an Instant Xray analysis of the portfolio monthly and make asset weighting adjustments as I feel warranted based upon my assessment of the market, my risk tolerance, cash needs, etc.
Cash Area (Weighting Range 5% to 25%)
Demand Cash Sleeve… (Cash Distribution Accrual & Future Investment Accrual)
Investment Cash Sleeve … (Savings & Time Deposits)
Income Area (Weighting Range 20% to 40%)
Fixed Income Sleeve: GIFAX, LALDX, THIFX, LBNDX, NEFZX & TSIAX
Hybrid Income Sleeve: AZNAX, CAPAX, FKINX, ISFAX, PASAX & PGBAX
Growth & Income Area (Weighting Range 25% to 45%)
Global Equity Sleeve: CWGIX, DEQAX, EADIX & PGUAX
Global Hybrid Sleeve: CAIBX, IGPAX & TIBAX
Domestic Equity Sleeve: ANCFX, CFLGX, FDSAX, INUTX, NBHAX, SPQAX & SVAAX
Domestic Hybrid Sleeve: ABALX, AMECX, DDIAX, FRINX, HWIAX & LABFX
Growth Area (Weighting Range 10% to 30%)
Global Sleeve: AJVAX, ANWPX, NEWFX, PGROX, THOAX & THDAX
Large/Mid Cap Sleeve: AGTHX, BWLAX, HWAAX, IACLX, SPECX & VADAX
Small/Mid Cap Sleeve: IIVAX, PCVAX & PMDAX
Specialty Sleeve: CCMAX, LPEFX & TOLLX
I wish all ... "Good Investing."
Old_Skeet

Hi @ MikeM,
I know you are looking at top line performance which would consists of both income and capital appreciation (total return) as a major factor to pick your choices.
One of the things that is paramount for me is income generation with now being retired. I have chosen to pick funds that have respectful total returns but kick off a good income stream if held within my income and hybrid sleeves and I moved toward these type funds many years ago after I had reached my investment goal. Even today, I still maintain a growth & income area along with a growth area within my portfolio to keep pace or exceed inflation creep.
I have listed the yield for the funds you have made reference to. They are PRWCX with a yield of 1.23%, FBALX with a yield of 1.39%, FPACX with a yield of 0.60%, OAKBX with a yield of 0.78%, VWELX with a yield of 2.42% and MAPOX with a yield 2.42%.
The yield on my overall portfolio is much, much higher and according to M* is about 3.2% on valuation and better than 4% on amount invested. The income and hybrid sleeves generate a yield of about 4.25%. With this, my portfolio can make its distribution needs to supplement my income requirements without having to sell any securities. When you consider the profit that has been made from my spiffs from time-to-time I have a surplus of income generation. Then factor in the capital gains distributions made time-to-time form my mutual funds and with this I am well head of my income needs and can either grow my cash position and/or reinvest into my funds with the excess income generated.
Although top line performance is important it was not the only item I was looking for in selecting the funds that I currently hold as I was also looking for their ability to generate yield.
Thanks again for your participation and comments.
Old_Skeet

Had invested monies with Hasenstab; but sold this holding 3 years ago. Sold all of LSBDX in January. Although LSBDX has had some equity inclusion.
More to do with this investment area (global bonds) in general and not favoring one manager over another manager.
Edit note: I incorrectly noted a 20% equity position in the past with LSBDX. @msf has corrected this with his below report. Thank you, msf.
Fidelity via M* composition for LSBDX dated 5-31-15

If Fuss, Ivascyn, Gundlach, Rivelle and gals...Gaffney are doing better than Hasenstab at this time why not take some or all of his fund money and move it into one of the better performers. You are losing the value of time compounding by this misplaced loyalty.
prinx

Because not everyone wants to chase performance and/or do so very frequently and/or at the first whiff of not meeting their benchmark? A 1.75YTD loss compared to others in the same category that are down 3, 4, 6 or more percent is not a concern to me, and suggests either a) luck or b) manager being careful.

Sell low, buy high?
What time frame are you thinking about when talking about performance "at this time"? YTD? 1 year, 1 month?
If some of these other managers are doing even worse at this time, would staying with them also be misplaced loyalty?
TGBAX is down 1.75% YTD. LSBDX (Fuss) is down 3.62%. His protege is doing even worse - down 6.04% at EVBIX. (Data from M*, as of Aug 7th.)
It seems to me that loyalty is not misplaced if long term managers have demonstrated superior performance and discipline over time, and circumstances have not changed. Are these managers doing worse than would be expected for their various fund categories?
If not, then we're not talking about disliking the manager, but disliking categories. So perhaps we should be discussing asset allocation, not manager performance.

Don't understand an avoid on fixed rate corp. preferred. No recession in view.

This appears just below the chart image I linked:

He makes a distinction between fixed rate and variable rate with variable rate getting the nod going forward. This makes sense if you believe rates will slowly rise.

One I use is USBLX which I often try to compare to VTMFX. Two great Conservative Allocation performers... both before, and after the tax man cometh.

FYI: More than 2,300 companies have reported earnings this season, and below we break down the percentage of stocks by sector that have beaten consensus analyst earnings and revenue estimates. For all stocks that have reported this season, 61% have beaten bottom line EPS estimates, while 53% have beaten top line revenue estimates. Four sectors have stronger earnings beat rates than 61% — Technology (69%), Consumer Discretionary (65%), Health Care (65%), and Telecom (64%). The Materials sector has by far the weakest beat rate at just 46%, while Utilities, Energy, Financials and Industrials are all under 60%.
Regards,
Ted
https://www.bespokepremium.com/think-big-blog/top-and-bottom-line-beat-rates-by-sector/

Pursuing trading and investment strategies that could limit investment opportunities does not appear to lower average pre-tax returns.
In Tax-Efficient Asset Management: Evidence from Equity Mutual Funds (NBER Working Paper No. 21060), Clemens Sialm and Hanjiang Zhang investigate the performance of U.S. equity mutual funds that are "tax efficient" in the sense of following investment and trading strategies that minimize tax burdens on taxable investors.
The study finds that tax-efficient funds have tended to outperform other funds with respect to both before-tax and after-tax returns.

Source: NBER Digest | Aug 2015 | Jay Fitzgerald | http://www.nber.org/digest/aug15/w21060.html
PowerPoint: http://faculty.mccombs.utexas.edu/Clemens.Sialm/SZ_Seminar.pdf
Paper (SSRN Feb 2014): http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2368625