|Stocks & Mutual Fund Information|
Yesterday I received my monthly issue of MONEY magazine. This issue has the special feature called "The Ultimate Investment Club" that highlights their picks for the top mutual fund managers. Let's see how their members made money for their shareholders.
My readers know that the only thing that counts in my book is performance and performance means they make money and do NOT lose money so I went back to preview their record since these experts took over. When you see the results of this club you will be glad you did not go on any camping trips with them. Here are six who manage stock mutual funds.
As we go along you must keep in mind that fund managers get paid for the amount of money they have under management and not on how much they make for you.
MONEY magazine has given them titles. I will not mention their names, but will give you the fund along with the stock exchange symbol so you can look it up on the Internet at www.bigcharts.com.
"The Survivor" who manages Seligman Communications Fund (SCICX) since it was founded has seen the share price start at $35 and rise to $54 only to fall back to $15 today. He is surviving with your money, but you are not.
"The Value Master" of Legg Mason Value Trust (LMNVX) sure doesn't know when the value has run out. Under his tutelage the fund has gone from $45 to $78 to $43.
"The Maverick" of CGM Capital Development (LOMCX) has been thrown by his horse. Share price in 1976 started at $10, went to $43 and is now $18. Tough ride for the shareholders.
Now we come to "The Bargain Hunter" who took over management of Oakmark Select (OAKMX) in 2000 when the market was at its peak. It was $22 and went up (!) to $37 and is now trading at $32. He is the only winner in the group. Congratulations.
Another loser is "The Opportunist". This guy should be getting his buy recommendations from cab drivers. He could not do any worse for the Strong Opportunity Fund (SOPVX). It started at $45 and has nothing but a downward journey to its present $29.
For the Brandywine Fund (BRWIX) we have "The Growth Guru". The only thing that grew fat was his wallet off of your money. He took over in 1998 at $45 and it went down to $22 in 1999, then up to $53 and is now $20. Actually he can only be given credit for the advance from $45 to $53.
In all fairness to these losers I did not include any capital gains or dividend payouts which during the few good years they had may have been very good, but probably not good enough to keep you at "even".
There are all kinds of clubs you can join, but obviously this is not one for you. When you see advertising for various mutual funds or how wonderful some fund manager is please look beyond the hype and check out the performance.
Al Thomas' book, "If It Doesn't Go Up, Don't Buy It!" has helped thousands of people make money and keep their profits with his simple 2-step method. Read the first chapter at http://www.mutualfundmagic.com and discover why he's the man that Wall Street does not want you to know.
Stops Make Money
During the day I watch CNBC-TV, the stock market channel. Fortunately, I keep the sound muted or I would be hollering at the dumb "experts" being interviewed. The experts seem to know all about the market except they don't know how to protect their capital.
Every day I hear from the "experts" on CNBC-TV and the radio gurus that the way to buy stocks is find value. One man's Rembrandt is another man's connect-the-dots and fill in the spaces. Valuation is like beauty. It is in the mind of the beholder.
Choosing a Stock Broker
If you were to find that you had some severe illness that required surgery, would you attempt to perform that surgery upon yourself? What if your car broke down and needed a valve job? Would you get out the Craftsman tool set you got for Christmas three years ago and start tinkering under the hood even though you know absolutely nothing about engines? Of course you wouldn't do either of these things because there are times in life when we know we must seek the assistance of a professional. So why is it that so many people try to make their own investment decisions without consulting a professional stock broker?
Why Investors Use Financial Planners
Do you have a financial planner? Does one of your friends have a financial planner? Maybe you take your advice from your broker. As I have said countless times before a broker will make you broker. And a financial planner won't do any better. I know. You thought they would.
Everything you invest in has risk so you want to do your research before you put your money on the line.
Investing in Stocks and The Game of Monopoly
To begin, you might look at playing the stock market as though you were playing a game of Monopoly. That's right; for playing the stock market 'game' is not unlike playing a game of Monopoly. There are definite comparisons and parallels.
Learn to Calculate a Stock?s Pivot Point
Stocks breakout from properly formed bases everyday but many investors don't understand how to locate a pivot point or what patterns to study that may contain this very important buy signal. A pivot point can be described as the optimal buy point or the area at the end of a familiar base pattern where the stock breaks out into new high territory. William O'Neil, the founder of Investor's Business Daily is considered the pioneer of the pivot point in modern times. As Jesse Livermore explains in his book (1941), the pivot point can also be described as the point of least resistance. When a stock breaks the point of least resistance, we are presented with an opportunity where a stock has the greatest chance of moving higher in a short period of time, especially when volume accompanies the breakout.
There is no question that the stock market is being affected by war jitters. When it looks like peace we have a strong rally. When it looks like shooting will begin momentarily the market takes a dump. What should you do with your stock, mutual funds or cash that is waiting to find a home?
Index Fund Trading Using Technical Analysis and Swing Trading Strategies
Index Fund Trading can be one of the most profitable...or most costly exercises you will ever do.
Look Out The Window
Quick, look out the window. It's raining. No, the sun's out. No, it's cloudy. Wait a second, it is changing again, but I can't tell what it is going to do.
Online Broker Trade History Not Doing the Job
Let me start by saying that...
Advantages and Disadvantages of Mutual Funds
Outlined below are some of the advantages and disadvantages of mutual funds. Every investment has advantages and disadvantages. But it's important to remember that features that matter to one investor may not be important to you. Whether any particular feature is an advantage for you will depend on your unique circumstances.
Intervention. Now don't let that big word scare you. The talking heads on TV have been discussing it all week because the major banks of the world are going to "prop up" the Euro.
Stock Market Volatility
In my opinion, due to the volatility of stock market prices (the rise and fall of stock prices), an investment plan should incorporate both the traits of stick-to-itiveness and common sense, and must have an advantageous, predetermined approach for maximizing each investment in the stock market.
Selling Strategies - Setting a Stop Loss
Sometimes the best way of lowering exposure to risk is not to invest at all! However, when we make the decision to jump into the muddy waters of the stock market, its always a good idea to have a life jacket ready, just in case.
Wall Street's watchword has always been diversification, but what does it mean and why do they say it?
An Old Proverb for Investing
"If you don't know where you are going, any road will get you there."
Lights of the Stock Market
There are red lights, green lights, blue lights and spot lights. There are orange lights, pink light and flash lights. There are search lights and micro lights. And the one you must obey is the stop light.
Hill of Hope
Just about now everyone is confused as to which way the stock market is going to go - up or down. For the past 3 years it has been headed south, but the Wall Street experts have told us that the market never goes down 4 years in a row so this has to be an up year. But no guarantees.
When you stand on the ocean shore and watch the waves breaking you might become aware that the tide is coming in or going out. It is a slow process to watch the water retreat and when it finally gets to its lowest point it is almost impossible to tell if it has stopped or will retreat further. Plenty of wave action, but going nowhere.
|home | site map|