fund opinions please

westy69

i am looking for opinions on a couple of funds please, i am looking for a med-high risk investment not a portfolio - thats for another day maybe
By med - high risk o mean prepared for it to drop over 50% if not more

the 2 funds i am looking at are

JPM Natural resources or
Blackrock Meryl Lynch Gold

it will be one or the other i would go for (currently researching)

i am only looking for opinions ie i am not asking which one should i invest in, i would like people who have invested in them or who have an opinion or more knowlege than me (easily achieved ) to tell me what they think

thanks

purch

The Commodity 'Supercycle' is going through one of it's much needed periodic pull-backs.

Gold could well touch lower levels again before moving higher, as could many of the hard commodity's that JMP NR is aimed at

You will almost certainly find cheaper levels to buy into these two funds over the next few months

munk

Both of those funds are generally well thought of (ie they come up time and again in 'best buy' fund guides in mags/papers etc) and have good track records over all periods you'd care to look at.

Some other fund ideas with similar pedigree:

• M&G Global Basics
• First State Global Resources

wombat42_2

MFM iFunds ETF Commodity Fund is the least volatile commodity vehicle there is.
http://www.h-l.co.uk/fund_research/security_details/sedol/B195JD8.hl

The funds you mention are very volatile.

westy69

thank you so far, any more opinions?

westy69

wombat42 wrote: »

MFM iFunds ETF Commodity Fund is the least volatile commodity vehicle there is.
http://www.h-l.co.uk/fund_research/security_details/sedol/B195JD8.hl

The funds you mention are very volatile.

probably an extremely stupid question but that has a high USA holding is that a good thing?

Aegis

westy69 wrote: »

probably an extremely stupid question but that has a high USA holding is that a good thing?

It probably just means the commodity ETFs are listed on American stock exchanges. Since these are commodity investments and not equities, the current taint associated with US stocks doesn't apply quite so much. It's all about how expensive the commodities are.

purch

Wow..........

Palm Oil and Soybeans have collapsed overnight...:eek:


Gotta love that Short Soybean ETC !!!!!!!!!!!

westy69

purch wrote: »

The Commodity 'Supercycle' is going through one of it's much needed periodic pull-backs.

Gold could well touch lower levels again before moving higher, as could many of the hard commodity's that JMP NR is aimed at

You will almost certainly find cheaper levels to buy into these two funds over the next few months

purch, why do you say that they may be cheaper over the next few months?

thanks

munk

Gold has been surging recently (last 6 months at least) as investors have looked to hedge against the struggling equities markets, weakening dollar and increasing oil prices. This has led to gold arguably being 'overbought' or overpriced.

Presently gold is going through a correction (ie price is falling back slightly). There may be some point in the next few months where this fall will 'bottom out' and so if you subscribe to that idea then it'd be best to wait until then to buy into anything golden. Of course it may just be the case that equities fall even further, pushing gold way back up again.... crystal ball anyone?

If you're holding onto your investment for some years though - 5-10yrs ideally - then this isn't so much of an issue because over that time a fund like ML Gold & General has the potential to smooth any dips out easily over that kind of time frame and return a decent annualized profit.

westy69

thanks munk :beer: