Commodities v Equities split

cloud_dog

Never thought I'd say the words... 'I agree with TN1' .......

but................. <gulp>.........

.......... I agree with TN1 :shhh:

cloud_dog

wombat42 wrote: »

You are nuts if you dont have decent cash reserves.

Not everyone talks in terms of investment portfolio in terms of everything. I have adequate cash savings so my investment portfolio is just that - not savings.

Savings and SIPP, and event my childs CTF each have different considerations and even strategy. The CTF is currently 100% in CEF (gold and silver bullion) and whilst this is probably deemed very risky (foolhardy even) I beleive gold / silver will increase in value by a fair way yet (with the obvious volatility) but I am not going to monitor it on a short term basis.

Also with your portfolio you need to be very proactive by monitoring the market very carefully and selling up if necessary.

Yes, its always best to know what your doing, alternatively you can bury your head in the sand and have alook in 10 years and see whats there (a little controversial and I appologise to those who are happy with the strategy).

My strategy is a long term, hopefully 10 year strategy.

Not sure you have a streategy, I think you have a timeframe in mind.

wombat42_2

cloud_dog wrote: »

Not everyone talks in terms of investment portfolio in terms of everything. I have adequate cash savings so my investment portfolio is just that - not savings.

Savings and SIPP, and event my childs CTF each have different considerations and even strategy. The CTF is currently 100% in CEF (gold and silver bullion) and whilst this is probably deemed very risky (foolhardy even) I beleive gold / silver will increase in value by a fair way yet (with the obvious volatility) but I am not going to monitor it on a short term basis.

Yes, its always best to know what your doing, alternatively you can bury your head in the sand and have alook in 10 years and see whats there (a little controversial and I appologise to those who are happy with the strategy).

Not sure you have a streategy, I think you have a timeframe in mind.

I am hedging my bets to avoid volatility extremes so urgent intervention should not be very likely over the next 10 years. Of course I will be monitoring it though.

purch

The CTF is currently 100% in CEF

Good option.........Kids like bright and shiny things !!! :j :j

You are nuts if you dont have decent cash reserves

Is that the same as that Cash stuff that keeps devaluing day by day ?? :eek:

On the other hand they do keep making more and more of it (20% more a year at last count) so it'll never run out


Might be a better idea to keep your 'reserve' in something that might hold, or even (gulp) appreciate in value !!

purch

Contrarian perhaps

Nah................I prefer Nutz !!! (as in nuts in trying to hold a 'sensible' discussion with a Womble on a subject other than litter collection)

meester

purch wrote: »

On the other hand they do keep making more and more of it (20% more a year at last count) so it'll never run out

Technically that is just next year's earnings being spent today. As supply of credit for people to enslave themselves to such high levels to pay for overpriced houses contracts money supply growth should slow substantially.

jamesd

wombat42, take a look at momentum investing. It really seems more like your sort of thing than anything else you've tried and it is a bona-fide strategy.

Also remember that stocks aren't uniform, look at the recent performance of Latin America, South Africa, Russia and assorted others. You can get high returns while diversifying away from pure commodities. Later look at things like European smaller companies or UK smaller companies and you'll find that they delivered returns in excess of 30% a year during an upward cycle. You can cut holding sizes at the wrong part of the cycle, raise them at the right one and get some protection while still doing decently well.

wombat42_2

jamesd wrote: »

wombat42, take a look at momentum investing. It really seems more like your sort of thing than anything else you've tried and it is a bona-fide strategy.

Also remember that stocks aren't uniform, look at the recent performance of Latin America, South Africa, Russia and assorted others. You can get high returns while diversifying away from pure commodities. Later look at things like European smaller companies or UK smaller companies and you'll find that they delivered returns in excess of 30% a year during an upward cycle. You can cut holding sizes at the wrong part of the cycle, raise them at the right one and get some protection while still doing decently well.

Well Threadneedle Latin America has top billing at present.

http://en.wikipedia.org/wiki/Momentum_investing

purch

.....it doesn't apply to Chasing Your Tail and buying FUNDS that might have done well for a short period !!!

jamesd

wombat42, ETF Screen with its Sector Trading Strategy (read first) and International Strategy is the sort of thing I was thinking of for you. Seems like something you'd enjoy.

Those who are familiar with Bernstein's proposal, stop giggling.