Seeking Alpha

Dane Bowler

 
View as an RSS Feed
View Dane Bowler's Comments BY TICKER:
Latest  |  Highest rated
  • Specialty Fiber Dominance Propels Rayonier's Outperformance [View article]
    Well the IRS has been on a new direction lately. They have stopped giving favorable PLRs to unusual REIT structures like EQIX, but they have not begun revoking former PLRs. As RYN's fiber business is currently REIT qualifying, I suspect it will remain that way.
    Jul 26 12:47 PM | Likes Like |Link to Comment
  • A Harbinger Of Hersha Hospitality's Impending Success [View article]
    Sammy,

    I find a dividend increase to be unlikely. Management seems intent on redeploying its earnings into growth.
    Jul 25 12:41 PM | Likes Like |Link to Comment
  • A Harbinger Of Hersha Hospitality's Impending Success [View article]
    streakmarine,

    Hotels are traditionally volatile so that favors options, but this volatility may already be priced in. I can't help you much here as I am not an options guy.

    Good luck
    Jul 24 03:17 PM | Likes Like |Link to Comment
  • Diversification Fallacies, Part 2: Diversification Stacking [View article]
    Well that would be one of those companies that is in itself rather diversified. If one were to only buy a single stock, something like that could provide a fair amount of diversification. As part of a portfolio, however, it may or may not add diversification depending on how it fundamentally mixes wit the other holdings.

    Admittedly, FSC is out of my wheelhouse so I cannot give any more detail than that.
    Jul 20 10:55 AM | Likes Like |Link to Comment
  • Diversification Fallacies, Part 2: Diversification Stacking [View article]
    Good question,

    Despite such a nice run, it is actually still the cheapest in the sector. In my opinion it is still a desirable buy
    Jul 19 02:44 PM | Likes Like |Link to Comment
  • Diversification Fallacies, Part 2: Diversification Stacking [View article]
    tampat,

    It is thought that the continuing implementation of Obamacare will increase overall demand for the healthcare sector, but it could pose a threat to operators in terms of reimbursement.

    The 3 key aspects to look at to test if this is a threat are
    1) Source of revenue: government, insurance, or private pay
    2) Type of care: One could presume that reimbursement would be more likely to be cut on treatment that is closer to elective rather than life saving.
    3) EBITDAR coverage of the underlying operators: Those with sufficient coverage would be able to maintain payments to the REITs even if cashflows were slightly hurt.

    Each company and operator would have to be studied on a case by case basis to truly know, but I believe most of the healthcare REITs are reasonably safe as the operators will take the hit first.
    Jul 19 02:26 PM | Likes Like |Link to Comment
  • Diversification Fallacies, Part 2: Diversification Stacking [View article]
    galicianova,

    HTA is primarily MOBs and MPW is all hospitals so the SNFs of OHI would be a great balance with those. HTA is still a bit expensive IMO, but it is one of the better pure-plays for MOBs so it could have a place.
    Jul 19 02:19 PM | Likes Like |Link to Comment
  • Another View On 'Diversification Fallacies, Part 1: Asset Allocation' [View article]
    Klarsolo,

    Apology fully accepted.

    There is a substantial time commitment to checking on the original source and it is not always worth it, so I can certainly understand why you would not have.

    I appreciate the fact that you went back, checked the data and pulled your former comment.

    Good luck in your investing endeavors,
    Dane
    Jul 18 02:27 PM | Likes Like |Link to Comment
  • Another View On 'Diversification Fallacies, Part 1: Asset Allocation' [View article]
    Daniel,

    I respect the fact that you are making an effort to clarify misunderstandings. My argument really comes down to this.

    Asset allocation may but DOES NOT NECESSARILY help diversify. The only way to determine whether actual diversification is achieved is to look at the granular fundamental risks.

    Statistics and empirical studies as you point out are all going to be correlational and not causal. This equates to asset allocation being a heuristic rather than a deterministic method for diversification.

    If you recall, my article mentioned that there are many legitimate reasons to use asset allocation. It was merely pointing out that its not NECESSARILY the best method and in SOME cases can be very bad.
    Jul 18 02:24 PM | Likes Like |Link to Comment
  • Another View On 'Diversification Fallacies, Part 1: Asset Allocation' [View article]
    Varan,

    It was colored baskets not colored eggs........
    Jul 18 02:20 PM | Likes Like |Link to Comment
  • Diversification Fallacies, Part 2: Diversification Stacking [View article]
    Dividend Sleuth,

    I'm sorry that happened to you, but that resin pricing example is phenomenal as an educational tool. It would have been the perfect example to use in my article had I been aware of it.

    Thank you for sharing
    Jul 18 02:11 PM | Likes Like |Link to Comment
  • Another View On 'Diversification Fallacies, Part 1: Asset Allocation' [View article]
    Daniel Moser

    I never suggested the 5 REIT portfolio as an actual portfolio.

    It was merely an example of stocks that are typically not thought of as diverse by traditional asset allocation standards but in fact are diverse. It was used to illustrate the PROCESS of hand-crafted fundamental diversification.
    Jul 18 12:52 PM | Likes Like |Link to Comment
  • Another View On 'Diversification Fallacies, Part 1: Asset Allocation' [View article]
    Daniel,

    I like that SeekingAlpha facilitates discourse of this nature and I welcome disagreement, but I feel you missed some of the key concepts of my paper.

    1) the eggs and baskets analogy.

    I was saying that color of basket absolutely does not have any bearing on its egg carrying capabilities. Whereas you say I stated the following
    "The underlying assumption in the analogy used is that color is the only deterministic factor of a particular baskets ability to hold eggs as opposed to the materials used to construct the basket creating a certain level of "structural integrity" i.e. paper, plastic, aluminum, or steel."

    Of course my argument looks wrong when you say I said the opposite of what I actual said. Please understand my argument before you begin to refute it.

    In your second point you once again misrepresent my argument

    " He makes the following case, "many will suggest various weightings between small, mid, and large cap stocks. The only way doing so would increase diversification of a portfolio would be if each size had correlated risks." This statement does a pretty outstanding job of totally missing what drives a portfolio's diversification … which is less correlation among assets - not more"

    If the different sizes actually had correlated risks, spreading equally between them would increase diversification. I don't even understand what you are suggesting I said but I certainly didn't say more correlation increased diversification.

    PLEASE understand and accurately report my argument.
    You are refuting arguments I didn't even make. This is damaging to my reputation and borderline slanderous. The quotations of my article are faithful, but you follow each quotation with your interpretation of my words and in many cases your interpretation is the exact opposite of what I was actually saying.
    Jul 18 12:41 PM | Likes Like |Link to Comment
  • Diversification Fallacies, Part 2: Diversification Stacking [View article]
    AFAHM,

    Timing/entrace point is not talked about as much as it should be. Thank you for bringing it to light. Even a weak company can be a good buy if it is priced as a very weak company.
    Jul 18 10:00 AM | 1 Like Like |Link to Comment
  • Diversification Fallacies, Part 1: Asset Allocation [View article]
    Well said Nate
    Jul 17 09:24 PM | 1 Like Like |Link to Comment
COMMENTS STATS
591 Comments
347 Likes