November 1, 2019

By David Snowball

Dear friends,

It’s November 1, the traditional beginning of the holiday avoidance season. It’s the time of year when I program-out the local radio stations (not listening to you, Mix96) that switched to the 24/7 Christmas music today and the big box retailers who have declared that November 1 is Black Friday. (Looking at you, Kohls.) I will, with all my might, avoid their tinsel-festooned commercial caverns all of this month, and as much of next as I might.

That’s not because I dislike the year-end holidays. No, quite to the contrary: I’ve always embraced the communal spirit of celebration, the defiance Continue reading →

Liquidity, Always Liquidity

By Edward A. Studzinski

“The only way a man can remain consistent amid changing circumstances is to change with them while preserving the same dominating purpose.” Winston S. Churchill, “Consistency in Politics,” Nash’s Pall Mall, July 1927, reprinted in Churchill’s Thoughts and Adventures (1932)

Where’s the Risk?

Horizon Kinetics, in its Q3 Commentary, again did a superb job of raising issues that investors should be Continue reading →

Living a Rewarding Retirement

By Robert Cochran

Some Thoughts on Social Security, Medicare, and the Markets

I’ve been officially retired for just more than two years. During that time, I have been asked numerous times about when to take Social Security retirement benefits. My general response is that it pays to delay receipt of benefits to age 70. After that, there is no incentive to delay other than potential income taxes.

A recent study, “The Retirement Solution Hiding in Plain Sight” by United Income (June, 2019), indicates most people would say “yes” to making one simple retirement planning decision that could mean more income during retirement. But the same study shows that 96% of retirees take their first Social Security check at Continue reading →

Limiting Choices

By Charles Lynn Bolin

Oddly enough, the most time-consuming part of investing for me is limiting my choices. To simplify and streamline the process, I looked at fund families with top performing mutual funds that are available as no-load funds with low minimum investments through Charles Schwab, Fidelity or Vanguard.

Investment Model

Hedge fund billionaire Ray Dalio, in our Continue reading →

Premium Site Updates: Fund Fee Rating, Category Averages, and Subscription Price

By Charles Boccadoro

Martini: No, it’s not stupid, Signora Mayes. L’amore e cieco.

Frances: Oh, love is blind. Yeah, we have that saying too.

Martini: Everybody has that saying because it’s true everywhere.

From the 2003 film “Under The Tuscan Sun”

ER Rating

Morningstar has long championed funds with low expense ratios. In Ben Johnson’s piece earlier this year, entitled Fund-Fee Study: The Key Factors Helping Drive Fund Fees Lower, he states: “… fees are one of the best Continue reading →

Elevator Talk: Jonathan Brodsky and Waldemar Mozes Harbor International Small Cap (HIISX)

By David Snowball

Since the number of funds we can cover in-depth is smaller than the number of funds worthy of in-depth coverage, we’ve decided to offer one or two managers each month the opportunity to make a 300 word pitch to you. That’s about the number of words a slightly-manic elevator companion could share in a minute and a half. In each case, I’ve promised to offer a quick capsule of the fund and a link back to the fund’s site. Other than that, they’ve got a few hundred words and precisely as much of your time and attention as you’re willing to share. These aren’t endorsements; they’re opportunities to learn more.

On May 23, 2019, Harbor Capital Advisors did a Continue reading →

Your holiday shopping list starts here: 15/15 funds

By David Snowball

The S&P500 posted, and the DJIA approached, new all-time highs at the end of October while unemployment remained at half century lows. And yet the health of the economy is so fragile that the Federal Reserve felt compelled to cut interest rates for a third time. Skeptics believe that effectively zero-to-negative interest rates is more likely to encourage corporate financial engineering than it is to encourage productive investment. Rupal Bhansali, manager of Ariel Global and Ariel International and now a member of the Barron’s Roundtable, warned that “the market, which had been on steroids, is now on Continue reading →

great horned owl

Ariel Global (AGLOX)

By David Snowball

Objective and strategy

Ariel Global Fund’s fundamental objective is long-term capital appreciation. The manager pursues an all-cap global portfolio. The fund is, in general, currency hedged so that the returns you see are driven by stock selection rather than currency fluctuation. The manager pursues a “bottom up” discipline which starts by weeding out as much trash as humanly possible before proceeding to a meticulous investment in both the fundamentals of the remaining businesses and their intrinsic value. The fund is diversified and will Continue reading →

great horned owl

Castle Focus (MOATX)

By David Snowball

Objective and strategy

Castle Focus Fund seeks long-term capital appreciation. They have a bottom-up, absolute value focus, which means a ready willingness to hold substantial amounts of cash when they’re not able to find good companies selling at substantial discounts. The portfolio is typically comprised of 15 to 30 positions. Currently about 30% of the portfolio is in cash and about 30% is invested in non-US companies.

Adviser

Castle Investment Management, which is Continue reading →

Launch Alert: Avantis International Small Cap Value (AVDV)

By David Snowball

Between September 17 – September 24, 2019, Avantis Investors launched a series of five actively-managed ETFs. They are:

Avantis Emerging Markets Equity ETF AVEM, e.r. 0.33%

Avantis International Equity ETF AVDE, e.r. 0.23%

Avantis International Small Cap Value ETF AVDV, e.r. 0.36%

Avantis U.S. Equity ETF AVUS, e.r. 0.15%

Avantis U.S. Small Cap Value ETF AVUV, e.r. 0.25%

Because of the fundamental Continue reading →

old license plates on a wall

Funds in Registration

By David Snowball

The Securities and Exchange Commission, by law, gets between 60 and 75 days to review proposed new funds before they can be offered for sale to the public. Each month, Funds in Registration gives you a peek into the new product pipeline. Most funds currently in registration will become available by year’s end, which is the reason for the surge now

Our list contains 30 new funds and active ETFs. We don’t usually track passive ETFs but did want to mention two this Continue reading →

fountain pen writing a note

Briefly Noted . . .

By David Snowball

Updates

GMO is now urging you to get comfortable with being uncomfortable. In a new GMO Insights piece titled “Emerging Market Stocks: Getting Comfortable with the Uncomfortable,” they look at how lackluster emerging market equity returns in recent years have led many to write off the asset class. They note that” value stocks within emerging markets are particularly cheap, trading at their largest discount since December 2001.” Profitably remains solid about EM corporations, despite the obvious headwinds.

Effective October 11, 2019, Inbok Song ceased Continue reading →