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@Ted...obviously you didn't watch the video. All of these issues are discussed in detail. The main point is that a reverse mortgage is a financial tool that might help retirees avoid sequence of return risk. This strategy increases final Inheritance…
One way to address bear market risk is to first study the history of bear markets:
Here's a graphic:
source Image:
History of U.S. Bear & Bull Markets
Here's the narrative:
historic-bear-markets/
There are two term known as "Max Draw Down" a…
PRWCX Covered call strategy:
PRWCX has employed a covered call overwriting strategy consistently since 2008. This involves buying an equity security and writing a call option that becomes exercisable at a higher price in return for an upfront premiu…
An explanation of how Turkey got over cooked:
From Cullen Roche:
...here’s a totally inadequate summary of what’s happening:
-Turkey wanted to spark growth and liberalized bank lending rules.
-Banks and local businesses borrowed a lot of fo…
@larryB...go easy...
Charles W. Kingsfield Jr.: Mr. Hart, here is a dime. Take it, call your mother, and tell her there is serious doubt about you ever becoming a lawyer.
James T. Hart: [pause, as he is leaving the room] You... are a son of a bit…
@Ted makes a very good point. Brokerage houses do not choose cash positions for their investors. Usually these cash positions are held in non-interest bearing products. Also, when an investor sells out of a position, the settlement position often is…
This often is the life of an allocation fund...remember PRWCX is not an all equity fund. It's 68% allocation to equities is on the low side for this fund IMHO. Cash is 4.5% and "other" is over 5%. Anyone have a clue what "other" might be?
Hang in …
Thanks @Old_Skeet for these reads, especially Jeff Saut's weekly review. Here another weekly that I try and read most Mondays:
Weighing The Week Ahead
weighing-the-week-ahead-a-message-from-jackson-hole
@BrianW, the Wilshire 5000 Index has 3500 companies...because there are only 3500 "public" companies. Consuelo Mack weekend guest, Joel Greenbatt, mentioned that it cost $2-3 million a year to meet regulatory paperwork to be a "public" company and s…
Tanks @Ted...great read. My favorite comment:
Saut: I have said for months now that the economy is stronger than a garlic milkshake, and I'll continue to make that statement.
As for Small Cap suggestions...
the Pudd AKA @Puddnhead always like DISSX,…
I'll share...
What seems to be working in my portfolio YTD:
FSUTX - strong steady Mo (momentum) since March 2018
FSMEX - Strong Mo
FSRPX - Strong Mo
POAGX - Aggressive active management
PRMTX - Keeps on impressing. A category over-achiever
VHCOX - …
De-risking your retirement portfolio (plan) for guaranteed income that meets essential expenses primarily and discretionary expenses secondarily.
From these three links:
An important point is that volatile assets are seen as inappropriate for basi…
After reading this passage, AT&T or T gives me pause:
...consider the mighty AT&T — now stuffed to the gills with an estimated $180 billion in debt following its $85 billion acquisition of Time Warner. It is, according to Moody’s, the “most …
VWIGX keeps showing up on my screeners...low ER.. Large Cap Foreign Growth fund.
Here its footprint:
I Hold FMIJX. Since its inception (2010) it has provided a smoother ride. I believe charting other funds against FMIJX will reveal the volatility…
@Crash, @Sven,
Maybe more worrisome is US Corporate Debt. Here's an opinion piece on the monstrous corporate debt we have as a result of investors searching for yield and corporations willing to finance all kinds of transactions with credit (issue …
@Sven, USTREASURIES also serve to control inflation as a settlement of trade for both nations. We export inflation in the form of USTREASURIES and other nations hold USTREASURIES to "reduce inflation" in their country.
A currency in decline may want…
@Crash, wrong, wrong...other nations hold our treasuries for many strategic reasons and a country's decision to sell our treasuries is not our decline nor is it the reason they bought treasuries in the first place.
@LewisBraham...your next article…
Slightly off in a different direction but within the topic...picking an executor and know your responsibilities as the executor of an estate:
execution-matters/
I haven't ventured into trading, but your second link reminded me of this article on the "4 advantages of undervalued dividend stocks". The video in the article gives a snapshot into the dynamics of these trades (investments). Undervalued securities…
More Sliced Turkey:
...to default on their debt obligations is one of the easiest ways in which the strong men defend their own positions, seemingly protect their peoples and show their independence from foreign influence.
Events in Turkey in the d…
@davidrmoran,
As for inflation, a well diversified portfolio (especially equities) should inflate with inflation...one would hope. TIPS inflate by external means (posted by the government), but equities over time should inflate as a reflection of "e…
PRIDX is a TRPrice SC International
FMIJX is a risk averse LC International
If you have a long term horizon EM funds like PRMSX or the index VWO
Also many Blue Chip US companies do business Internationally / Globally so you may actually be more "…
Thanks Old_Skeet for this daily post. Things I pulled from J. Saut post:
Investing in EM today? Have at least a 3 year time frame...EM should out perform.
Single Country EM? India...Putnam’s Daniel Graña, who manages the Putnam Emerging Markets Equi…
Thanks @msf, I may have misunderstood this. I will follow up with him. Compared to other T.IRA plans, it appears TSP plans have a limited number of withdrawal options, no?
This link lists them ( this link does reference Roth balances)
Withdrawals A…
Tough holdings for me since 1/26/2018:
SFGIX (actively managed) & VWO (EMM Index)- Both down almost 15 % in steady decline. Active management doesn't seem to be offering much downside protection:
FSUTX has done very well compared to the Utility Index:
FSRPX has buck the trend of (87% Consumer Cyclical & 10% Consumer Defensive) as a result of their choices / weighting in this sector.
@MikeW,
Will you be able to keep the Thrift Savings Plan?
Often, at retirement, these plans can no longer be contributed to and may also have to be transferred out of the Thrift Savings Plan. This was the case for a relative who work for a governm…
Not often mentioned, but another planning topic is your debt to income ratio. Prior to retirement I had very good credit (partly due to my low debt to a higher working income). This "debt to income ratio" will change instantly in the first months of…
Take a close look at the retirement benefits that are being offered through your government employer. Ten years may be a bit off in the future, but start paying attention to what's being offered now and what might be on the chopping block.
Employer…
Getting back to Primecap's success...@Mark and @Ted's original post...I'll use one of its holdings as an example for its success, BB (Blackberry).
Management seems to do a good/great job finding companies that have minimal downside risk while also…
Part of the "process" in taxable accounts:
Try to:
- Hold tax efficient funds such as index funds
- Hold funds and etfs that have low turnover ratio
- Avoid holding (bond & stock) funds, etfs, and stocks that throw off a lot of short term gains…
Why sell at all?
"Feeling a bit over your head" is not the right frame of mind to be in when considering buy & sell decisions.
Maybe to start, take what @Old_Skeet describes as:
One of the things that I like about the fund is that it usually …
