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.
Support MFO
Donate through PayPal
New Thread: Open Discussion (What are you buying, selling, considering?)
Starting a new thread for open discussion. These threads have - at least I think, and hopefully others do too - been successful at generating enjoyable discussions about what people are looking at buying/selling and general investment ideas.
Personally, adding a little to PQIDX and still waiting for a chance to add to WPC (and maybe starting a position in O )
Not touching long term positions (mainly mutual funds). Reinitiated a trading position in UL two days ago after its big selloff and have been handsomely rewarded so far, but watching it carefully for an exit point. Considering taking profits in MOO if markets begin to tank and/or if MOO loses steam. Still have plenty of dry powder, but not trusting that the uptrend will continue for much longer.
During the month of February I have been reviewing my fixed income sleeve of my portfolio and shortening its duration and added some equities to its asset base. In doing this, I have made a few changes to the funds that the sleeve holds.
The current positions are as follows: CSDAX, LBNDX, LIGRX, NEFZX, THIFX & TPINX. I eliminated NEFRX due to its duration and I replaced this position with LBNDX because it offered a broader more diversified asset base which included a small representation of equities; and, I eliminated STIAX and replaced it with NEFZX as a transfer in from the hybrid income sleeve because I felt it was a better rounded strategic income fund also holding some equity positions. In addition, I replaced LALDX with CSDAX as it offered some short positions in US Treasuries.
The income sleeve now XRAYS as follows (net): Cash 20% ... US Stocks 3% ... Foreign Stocks 1% ... Bonds 69% ... Other Assets 4% ... and, Not Classified Assets 3%. The sleeve has a yield of about 4.5%.
Within the hybrid income sleeve the open position was filled with NWQAX with the moving of NEFZX to the income sleeve.
I am starting to notice that some fixed income funds are now starting to hold a larger position in cash than they have in the past. From my thoughts, this indicates some caution might now be warranted. This could be because redemptions are being anticipated, or it could be due the investment climate with fixed income, or perhaps even both.
On the equity side of the portfolio when the S&P 500 Index reached target marks at 1500 and then again at 1525, I sold equities down by about one percent as each mark was reached. I did not play the recent pull back as I think with the uncertainty that abounds in Washington, and other places, there will be better buy in opportunities in equities perhaps coming during the summer.
Adding to emerging market stocks and bonds. May add infrastructure fund.
To soon for inflation concerns,maybe by end of the year. When inflation appears i will add to my U.S.large cap value funds. Recently purchased Payden Value Leaders(PYVLX) which is overweight in Utilities,Real Estate and Energy. An interesting mix of stocks. Yield on fund is approaching 5%.
Reply to @Art: It didn't start off well, but INF from Brookfield Asset Management is an interesting closed end infrastructure fund that pays a monthly div.
Northern Multi-Mgr Global Infrastrucure NMFIX subadvisors are Brookfield Investment Management Inc. and Macquarie Capital Inv Mgmt LLC. You probably know that but maybe others do not.
Gaining momentum last few months after a few so-so years (for BRK anyway).
I know there is some downside risk for when the great one passes the baton.
But for next few years anyway, I'm thinking of jumping in.
Also, GE...ditto, quietly, finally, working its way back onto the saddle, and, because of similar infrastructure reasons you discuss Scott, for which I believe GE is well positioned.
Standing pat on funds, after upping FAAFX position, getting back into FAIRX, and starting new FOCIX position...all before Fairholme closed to new investors.
(I'll spare you details of my recent Staples SPLS short episode...remember, industry first, then company! Fortunately, I had nerves of...aluminum, anyway, and was able to unwind unhurt.)
Markets seem to be handling sequestration pretty well so far.
I did buy some BRK.B and GE today.
MBIA again in news...jumped more than 20% so far...honestly, can't wait until the battle with BAC ends. If it does indeed go MBIA's way, hats will be off to Mr. Berkowitz.
Here is link to pretty good article on fight in Forbes:
I will be sticking with my current choices. I own only 9 funds, but have big barbells at each end with PREMX and MAPIX. I let the monthly div. from PREMX and DLFNX just ride, reinvesting it all, including these others, too: I get quarterly divs. from MAINX, MAPIX, MAPOX, and semiannually from MACSX and SFGIX. That leaves TRAMX (just $3,000.00 shifted from PREMX bonds into a tiny speculative move into Middle East equities last year) and MSCFX, which pay once a year in Dec.
I've owned MACSX since 2003. MAPIX since 2009, as I recall. PREMX since 2010. In 2012, I picked up MAINX, SFGIX, TRAMX, MAPOX, MSCFX and DLFNX. As I said above, I am not even tapping into the divs. and cap. gains at all, yet. Normally once per year, we "raid" MACSX, after letting it build-up over the prior 12 months.
Last two weeks, all tweaks, no big-picture portfolio changes: * Sold short-term tactical-trade shares in VPU, utilities, for a modest gain; ~ 2-3 times a yr. I do a sector trade like that one, limited to max. of 5% of port. Nice entertainment value, but that's about it. * Added to PRBLX, PIGIX, & PRFHX. * Kept up a DCA plan into existing positions in MAPIX & MAINX, to slowly bump up Asia % of portfolio.
Still too overweight in PONDX but it has been a super retirement anchor. GASFX is my largest fund holding but trying to ramp up in RYOIX which is my most recent buy. Smallish in WSBEX and even smaller in WAMFX. I hold two stocks, one mentioned a few weeks ago is SNTS, the other being LGND.
It's been really boring lately. Ain't bought nothing. Ain't sold nothing. If I felt kamikaze-like I'd add to my fizzling toe-hold in a pm mining fund. But I don't. At the moment anyway.
Sold AQRNX in Jan. (yeah, I know it is closed). Put the money in a bit in GLRBX, ARTKX, FMIJX. It was a relatively small amount anyway.
Also sold of last bit of RWGFX today. I got into it in December. Not a bad fund but I decided that my other holdings AKREX and YAFFX is providing enough focused asset coverage.
Update: Decided to sell ARIVX down to a token value.
Speaking about AKREX (which I own): I called them and asked whether Chuck Akre has any contingency plans in case if he decides to retire (he is 70). They did not know an answer offhand, but called few days later and told me that there are no contingency plans because Akre is not going to retire. Let us hope that he is doing the right thing, he is much younger than Buffett.
Reply to @Charles: Congrats on MBIA via Fairholme funds. SHLD getting short squeezed higher again thanks to Lampert buying shares again.
I'm rather skeptical about Immelt, but I agree with you that GE is well-positioned for a number of themes (such as infrastructure) and stands to benefit over the next 3-5 years and beyond. I think it was smart of them to get rid of NBC, as well. In the meantime, you get paid to wait with a nice dividend.
Looking at Reality Income (O), Conoco (COP) and maybe Genting (GEBHY)
Lots of changes and last time I will mention all my trading positions as they are too subject to change. Last week after the stress test went into financials via RYFIX as well as several individual bank names - BK, STT, KEY, and BAC. Also went into AMCX and still have previously mentioned SNTS and LGND. Rolled out of half of PONDX for bank loan/floating rate funds NFRIX and PSFIX. Largest non bond positions now in biotech (RYOIX) and aforementioned financials. Still hold GASFX, WSBEX, and WAFMX.
Reply to @Charles: Appealing dividend policy, valuation and assets. I think a number of oil names are appealing and CVX and XOM are great companies (CVX is really doing remarkably well and still is something I may look at), but a number of majors (RDS, COP, etc) have lagged and seem under-appreciated.
I continue to have more interest in the pipeline names (mainly, Kinder Morgan), but looking around, a number of oil names seemed reasonable.
I may also add to Glencore. That has been a rocky (and continually controversial - "socially responsible" investments I do not always make) road, but it remains reasonable and I particularly like the company's assets (including two recent large buys with Xstrata and Viterra, the former looking like it will finally be completed in the first half of the year) and commodity trading operation. I try to limit particularly volatile holdings, and Glencore currently holds one of 2-3 slots designated for more volatile/risky holdings.
There's a few real estate things I like too, but nothing I really want to add to at this point.
It really becomes at this point in the market, what do you want to have? I don't think it's the time to swing for the fences and anything that someone is really starting at this point I think they have to have at least a reasonably long-term view on. Dividend stuff has run up a lot because people are looking for yield, but I think people are starting to have an appreciation for the boring and consistent (and you see it with performance of things like GIS and PG) that I think they didn't have before, and I don't really see that changing for a long while. I think yield remains popular.
I think you had so many people who bought FB, who bought AAPL because they thought it could keep going past a grand a share, etc who are just not going to go there again with things like that for a while. As bad as people acted like the Facebook IPO was, I think there was much more retail money lost in Apple going from $700 to $430 and that's unfortunate.
People can say what they want about WMT and PG and JNJ's (I will say they are overbought in the short-term), but I think they will remain popular for a while to come (and I think it's better than being in govt. bonds) with people looking for consistency and plays that are more "set and forget".
Comments
During the month of February I have been reviewing my fixed income sleeve of my portfolio and shortening its duration and added some equities to its asset base. In doing this, I have made a few changes to the funds that the sleeve holds.
The current positions are as follows: CSDAX, LBNDX, LIGRX, NEFZX, THIFX & TPINX. I eliminated NEFRX due to its duration and I replaced this position with LBNDX because it offered a broader more diversified asset base which included a small representation of equities; and, I eliminated STIAX and replaced it with NEFZX as a transfer in from the hybrid income sleeve because I felt it was a better rounded strategic income fund also holding some equity positions. In addition, I replaced LALDX with CSDAX as it offered some short positions in US Treasuries.
The income sleeve now XRAYS as follows (net): Cash 20% ... US Stocks 3% ... Foreign Stocks 1% ... Bonds 69% ... Other Assets 4% ... and, Not Classified Assets 3%. The sleeve has a yield of about 4.5%.
Within the hybrid income sleeve the open position was filled with NWQAX with the moving of NEFZX to the income sleeve.
I am starting to notice that some fixed income funds are now starting to hold a larger position in cash than they have in the past. From my thoughts, this indicates some caution might now be warranted. This could be because redemptions are being anticipated, or it could be due the investment climate with fixed income, or perhaps even both.
On the equity side of the portfolio when the S&P 500 Index reached target marks at 1500 and then again at 1525, I sold equities down by about one percent as each mark was reached. I did not play the recent pull back as I think with the uncertainty that abounds in Washington, and other places, there will be better buy in opportunities in equities perhaps coming during the summer.
Good Investing,
Skeeter
To soon for inflation concerns,maybe by end of the year. When inflation appears i will add to my U.S.large cap value funds. Recently purchased Payden Value Leaders(PYVLX) which is overweight in Utilities,Real Estate and Energy. An interesting mix of stocks. Yield on fund is approaching 5%.
Art
Art
Gaining momentum last few months after a few so-so years (for BRK anyway).
I know there is some downside risk for when the great one passes the baton.
But for next few years anyway, I'm thinking of jumping in.
Also, GE...ditto, quietly, finally, working its way back onto the saddle, and, because of similar infrastructure reasons you discuss Scott, for which I believe GE is well positioned.
Standing pat on funds, after upping FAAFX position, getting back into FAIRX, and starting new FOCIX position...all before Fairholme closed to new investors.
(I'll spare you details of my recent Staples SPLS short episode...remember, industry first, then company! Fortunately, I had nerves of...aluminum, anyway, and was able to unwind unhurt.)
I did buy some BRK.B and GE today.
MBIA again in news...jumped more than 20% so far...honestly, can't wait until the battle with BAC ends. If it does indeed go MBIA's way, hats will be off to Mr. Berkowitz.
Here is link to pretty good article on fight in Forbes:
http://www.forbes.com/sites/danielfisher/2013/02/13/billion-dollar-game-of-chicken
I've owned MACSX since 2003. MAPIX since 2009, as I recall. PREMX since 2010. In 2012, I picked up MAINX, SFGIX, TRAMX, MAPOX, MSCFX and DLFNX. As I said above, I am not even tapping into the divs. and cap. gains at all, yet. Normally once per year, we "raid" MACSX, after letting it build-up over the prior 12 months.
* Sold short-term tactical-trade shares in VPU, utilities, for a modest gain; ~ 2-3 times a yr. I do a sector trade like that one, limited to max. of 5% of port. Nice entertainment value, but that's about it.
* Added to PRBLX, PIGIX, & PRFHX.
* Kept up a DCA plan into existing positions in MAPIX & MAINX, to slowly bump up Asia % of portfolio.
Here's story behind today's jump...
New York State Supreme Court Upholds MBIA’s Transformation
Also sold of last bit of RWGFX today. I got into it in December. Not a bad fund but I decided that my other holdings AKREX and YAFFX is providing enough focused asset coverage.
Update: Decided to sell ARIVX down to a token value.
I'm rather skeptical about Immelt, but I agree with you that GE is well-positioned for a number of themes (such as infrastructure) and stands to benefit over the next 3-5 years and beyond. I think it was smart of them to get rid of NBC, as well. In the meantime, you get paid to wait with a nice dividend.
Looking at Reality Income (O), Conoco (COP) and maybe Genting (GEBHY)
I continue to have more interest in the pipeline names (mainly, Kinder Morgan), but looking around, a number of oil names seemed reasonable.
I may also add to Glencore. That has been a rocky (and continually controversial - "socially responsible" investments I do not always make) road, but it remains reasonable and I particularly like the company's assets (including two recent large buys with Xstrata and Viterra, the former looking like it will finally be completed in the first half of the year) and commodity trading operation. I try to limit particularly volatile holdings, and Glencore currently holds one of 2-3 slots designated for more volatile/risky holdings.
There's a few real estate things I like too, but nothing I really want to add to at this point.
It really becomes at this point in the market, what do you want to have? I don't think it's the time to swing for the fences and anything that someone is really starting at this point I think they have to have at least a reasonably long-term view on. Dividend stuff has run up a lot because people are looking for yield, but I think people are starting to have an appreciation for the boring and consistent (and you see it with performance of things like GIS and PG) that I think they didn't have before, and I don't really see that changing for a long while. I think yield remains popular.
I think you had so many people who bought FB, who bought AAPL because they thought it could keep going past a grand a share, etc who are just not going to go there again with things like that for a while. As bad as people acted like the Facebook IPO was, I think there was much more retail money lost in Apple going from $700 to $430 and that's unfortunate.
People can say what they want about WMT and PG and JNJ's (I will say they are overbought in the short-term), but I think they will remain popular for a while to come (and I think it's better than being in govt. bonds) with people looking for consistency and plays that are more "set and forget".