er: Bounces will always occur. To be precise, I have a small % of my assets and those I manage in stocks. But it's very small. Without engaging in short-term timing, I think we're in a risky phase. You might want to consider two posts that went up this week: http://globaleconomicanalysis.blogspot.com/2012/05/real-estate-crash-in-china-underway.html (which is Mish's latest) and http://hussmanfunds.com/wmc/wmc120514.htm (Hussmanfunds.com, archives). I just think there's too much belief in the US in our superiority, when so much "growth" is due to deficit spending much of which is backed by new money creation by the Fed.
Re hybrid funds, I'm no expert, but it's my general understanding that by definition, mutual funds trade at NAV. Whether their assets are themselves undervalued, such as PRPFX, I couldn't say.
I'm not predicting TEOTWAWKI. But I'm also not a short-term timer. I prefer to wait for the fat pitch, which usually involves a higher VIX, to step in. FWIW, I do like AAPL longer-term at this price, tho I suspect it prob works lower first. Low P/E, cash-rich, good growth possibilities: my sort of equity.
Dr,
ReplyDeleteYou said you are out of all stocks. Are you out of all gold mining stocks too? they're absolutely getting hammered.
Do you think there are any hybrid mutual funds such as PRPFX trading at deep discounts? or would you wait further to step in?
er: Bounces will always occur. To be precise, I have a small % of my assets and those I manage in stocks. But it's very small.
ReplyDeleteWithout engaging in short-term timing, I think we're in a risky phase. You might want to consider two posts that went up this week:
http://globaleconomicanalysis.blogspot.com/2012/05/real-estate-crash-in-china-underway.html
(which is Mish's latest) and
http://hussmanfunds.com/wmc/wmc120514.htm
(Hussmanfunds.com, archives). I just think there's too much belief in the US in our superiority, when so much "growth" is due to deficit spending much of which is backed by new money creation by the Fed.
Re hybrid funds, I'm no expert, but it's my general understanding that by definition, mutual funds trade at NAV. Whether their assets are themselves undervalued, such as PRPFX, I couldn't say.
I'm not predicting TEOTWAWKI. But I'm also not a short-term timer. I prefer to wait for the fat pitch, which usually involves a higher VIX, to step in. FWIW, I do like AAPL longer-term at this price, tho I suspect it prob works lower first. Low P/E, cash-rich, good growth possibilities: my sort of equity.
That day is appearing gradually towards them.So they are very excited for this.Hope that everything goes in their favor.Wishing them good luck.
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