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David Zanoni

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  • Outlook For Gold [View article]

    Getting crushed is temporary. The market is much higher now than it was in at the highs in 2000 & 2007. I don't worry because I have 2 decades to go until retirement - time is on my side. The market goes through cycles, but marches higher over the long term. Low interest rates created by the Fed stimulate businesses to spend: builders building houses, home improvement stores and other businesses buying inventory, automakers producing vehicles, etc. Consumers are purchasing these goods. The economy is improving and when it really heats up, wages will rise along with other prices and the Fed will have to raise rates - the economy will then slow down - we will eventually have a recession, and the cycle starts over. No reason to worry about it - anyone with time on their side should dollar cost average into a diversified mix of equities/bonds/cash/(gold if it makes you happy) according to how many years until retirement. This is how wealth building is done over time regardless of stock market downturns.
    Dec 19, 2014. 08:45 AM | Likes Like |Link to Comment
  • Outlook For Gold [View article]
    I wouldn't say that the Fed will never raise rates. When the economy picks up and maintains 3% GDP growth and we see a rise in wages and other prices, the Fed will likely raise rates. However, all of those conditions may take a while to materialize. So, although the raising of rates is likely to be postponed for a while, it doesn't mean that they will never raise them.
    Dec 19, 2014. 08:32 AM | Likes Like |Link to Comment
  • Outlook For Gold [View article]

    The stock market is not a house of cards - it tends to increase in-line with earnings over the long-term. Yes, the market can be scary at times, but you have to trust it over the long-term. The U.S. economy has been growing slowly, and it has plenty of room to go higher before the next recession. Keep in mind that the market recovers from its dips and goes higher over the long-haul.
    Dec 17, 2014. 08:59 PM | Likes Like |Link to Comment
  • Is This Time Really Different? [View article]

    That depends on how long you have to go until retirement. I have a couple of decades to go, so I'm not sweating any future corrections or recessions. The market will recover from them.
    Dec 16, 2014. 07:12 PM | Likes Like |Link to Comment
  • Outlook For Gold [View article]

    I never said that there was anything wrong with owning Gold or PMs - I just gave my opinion on where I think the price of gold is going and the reasons why.

    If you think that Gold will be much higher down the road, go ahead and buy at these prices.
    Dec 16, 2014. 06:58 PM | Likes Like |Link to Comment
  • Update: Methode Electronics Exceeds FQ2 Earnings And Raises EPS Guidance [View article]
    Actually, I think it has more to do with the sell-off in the broader market.
    Dec 15, 2014. 09:31 PM | Likes Like |Link to Comment
  • Outlook For Gold [View article]

    No sweat off my back. It's just another correction, which is natural. I'm a long-term investor, so I don't worry about these moves as I'm accumulating shares at lower prices.

    The U.S. economy is in tact and poised for growth in 2015. Lower oil prices will provide a boost to about 75% of the economy.
    Dec 15, 2014. 07:41 PM | Likes Like |Link to Comment
  • Outlook For Gold [View article]

    I have more years than you until retirement, so I will prudently continue to dollar-cost average into equities and do well over time.
    Dec 14, 2014. 03:46 PM | Likes Like |Link to Comment
  • Outlook For Gold [View article]

    Yes, there are corrections and recessions, but the DOW rises above those levels every time. Is the DOW not near all time highs? Much higher than the lows of 2009? Many wise investors are building wealth by dollar-cost averaging - it has worked for me and many others over the years and it will continue to do so. It is a proven strategy. Believe what you will, but your advice is something that smart long-term investors should ignore.
    Dec 14, 2014. 03:44 PM | 1 Like Like |Link to Comment
  • Update: Skystar Bio-Pharmaceutical Company Q3 Earnings - Key Developments [View article]

    Yes, China-based stocks are riskier than U.S. stocks due to less transparency. It depends on an investor's individual risk tolerance.
    Dec 14, 2014. 03:38 PM | Likes Like |Link to Comment
  • Is This Time Really Different? [View article]
    What is an investor to do? Simply, ignore all of the ambiguity and dollar cost average into an appropriate mix of equities and bonds according to one's age or years until retirement. There will be future recessions and there will also be times of economic prosperity. By dollar-cost averaging, investors can sleep well at night knowing that when the stock market is falling, they are buying at bargain prices and when the market is booming, they are making money. Ultimately, this is a proven strategy for wealth building over decades. This time is not different in that respect.
    Dec 14, 2014. 02:33 PM | 3 Likes Like |Link to Comment
  • Aqua America: Steady Dividends With An Economic Moat Of Safety [View article]
    Thank you for clarifying IZZKUBE.
    Dec 13, 2014. 04:54 PM | Likes Like |Link to Comment
  • Outlook For Gold [View article]

    I'm not sweating this minor sell-off one bit. I'll continue to dollar-cost average into equities like I've been doing and I will do well over the long-term. Did you ever read the Millionaire Next Door? Many people who have accumulated over $1million in assets have done so by consistently investing on a regular basis in equities over decades. I never heard of anyone accomplishing the same thing with gold.

    I don't see anything wrong with owning some gold as a hedge, but I just don't buy your 'day of reckoning' view of things.
    Dec 13, 2014. 03:53 PM | Likes Like |Link to Comment
  • Update: Cubist Pharmaceuticals Is Acquired By Merck, Gains Remain For Investors [View article]

    Thank you for your input. I'm not interested in looking at this from Merck's perspective, only from a Cubist investor's perspective. CBST is still trading below its takeout price, so value still exists for shareholders or for those who want to make a trade prior to the acquisition completion. As for Dapto, it didn't even start Phase III yet, so it will take a while to get to market.
    Dec 12, 2014. 09:15 AM | 1 Like Like |Link to Comment
  • Aqua America: Steady Dividends With An Economic Moat Of Safety [View article]

    WTR will probably always be valued a bit higher than the average stock due to the low risk associated with the business. With that in mind, I would suggest participating in the DRIP (dividend reinvestment program), where you can purchase the stock at a 5% discount. Here's a link to their website:
    Dec 11, 2014. 07:44 PM | Likes Like |Link to Comment