Team Alpha Retirement Portfolio: Dividend Investing Vs. Annuity Purchasing [View article]
I think your article makes some very good points that many annuity purchasers never consider. As a portfolio manager, I agree that dividend investing is superior to annuities. Most recipients are misinformed about the distribution of annuities; especially GMIB or GLIB benefits. Unfortunately, all annuities are generally devoid of one thing; proper disclosure by the selling agent. The other side of the story, however, is worth consideration. That is, everyone's situation is different and there are some cases when a no-load annuity can be used effectively and single premium immediate annuties can also play a role in retirement and estate planning. When it comes to income planning, many portfolio strategies provide superior results as compared to annuities; even in market downturns. For a little extra income, get familiar with options strategies. Thanks for the solid article that exposes the many unknowns related to annuites. Our firm recently published a lengthy white paper on this very subject.
Building Support Or Hitting Resistance? [View article]
The problem with earnings is their relativity to expectations. Analysts are quick to lower forecasts, thus making it easier for companies to meet of beat the street. A more telling metric is top line growth. To your point, earnings are easier to manipulate than top line revenue and often lead investors to buy in spite of underlying weakness. We tend to focus more on the top line and sales growth. Earnigns are weaker than expected and need a boost if stock prices are to remain at current levels. However, we have maintained a healthy position in cash; we consider stocks overvalued at this time. Hope this helps. If you wish to talk in greater detail, feel free to contact me by email or phone. Our web address is omnistarfinancial.com
Building Support Or Hitting Resistance? [View article]
Thanks for your comments. Indeed, you make some good points. The market is much like a rubber band. Stretch it too far and bad things happen. The VIX is troubling at such low levels given the weak earnings during 2012 and a slow start to 2013. Furthermore, we have yet to fully understand the effects of payroll taxes.
Building Support Or Hitting Resistance? [View article]
Thanks for reading and taking time to share your comments. Fair value on the market is a tough call; so many variables and headwinds. Stocks are trading at the top of their range (price to earnings around 15). Assuming EPS growth in 2013, the S&P has upside to 1630. If earnings remame sluggish or turn down, we could see a correction in the 1330-1370. At this point, our technicals are holding up and don't show signs of a trend reversal. However, a few indicators are beginning to show weakness.
Hope Is No Panacea For A Broken Economy; Earnings Confirm Rally's End [View article]
Thanks for reading. By the way, I don't consider myself a naysayer. More of a realist who understands that a worthless dollar coupled with extreme inflation is not my idea of "making it". Our deficits are reaching levels that are not sustainable and the trend is moving higher. Better hope the Fed does get it right....
Hope Is No Panacea For A Broken Economy; Earnings Confirm Rally's End [View article]
Great comments. Well said and straight to the point. We recently finished some analysis on the potential deficit in 10 years. A mind blowing $34 trillion assuming 1% interest and Obama's 2013 budget. Hard to recover from here; the next 10 years may not matter.
Hope Is No Panacea For A Broken Economy; Earnings Confirm Rally's End [View article]
mobyss, thanks for reading. I agree with you on all points. The market doesnt know what it wants or likes. The funny money will eventually take us down a perilous path; perhaps we are already there. Take care and maybe and I will write about the "printers" in my next article.
Hope Is No Panacea For A Broken Economy; Earnings Confirm Rally's End [View article]
Thanks for reading and commenting. Actually, waiting on a pullback is the least of our concerns at the moment. Furthermore, adding gold (again) at 1530 has worked well. As for planetary alignment and your other suppositions about a "broken economy heals", this economy needs a lot of medicine. Unfortunately, printing more money is not the right prescription.
Earnings Season Can't Fix The Global Economy; Downside Risk Growing [View article]
Point well taken. I agree that few places exist. Seeing the market over 13000 is a welcome change but whether it holds is another story. 1.5% GDP won't support this kind of unjustified rally. But let's enjoy it while it lasts.
Thanks for reading and commenting, it is appreciated. By the way, does McOption suggest you prefer options? We view them as a great way to reduce overall risk and improve returns.
Earnings Season Can't Fix The Global Economy; Downside Risk Growing [View article]
Thank you for taking time to read and more importantly, sharing your comments. You did a nice job articulating what many fail to see or believe. Perhaps the dust will eventually settle maybe, just maybe, we will recover from the self inflicted and ignored perils. I agree, may the good Lord watch over this experiment.
When This Indicator Hits 19, Stocks Always Rally [View article]
I respect your assertions regarding contrarian investing. You are right, by all means, this ostensibly looks like the perfect time to get in. However, I would encourage a second look; the traditional interpretation of sentiment readings is contrarian and the underlying signal at present is bullish. However, investor confidence is much lower than it ought to be in the context of a rally. Oh, and did you hear, the global economy is crawling. The time to invest is coming but today is not the day.
Team Alpha Retirement Portfolio: Dividend Investing Vs. Annuity Purchasing [View article]
Building Support Or Hitting Resistance? [View article]
Building Support Or Hitting Resistance? [View article]
Building Support Or Hitting Resistance? [View article]
How Washington Is Stealing Christmas: The Real 'Grinch' [View article]
How Washington Is Stealing Christmas: The Real 'Grinch' [View article]
Hope Is No Panacea For A Broken Economy; Earnings Confirm Rally's End [View article]
Hope Is No Panacea For A Broken Economy; Earnings Confirm Rally's End [View article]
Hope Is No Panacea For A Broken Economy; Earnings Confirm Rally's End [View article]
Hope Is No Panacea For A Broken Economy; Earnings Confirm Rally's End [View article]
Hope Is No Panacea For A Broken Economy; Earnings Confirm Rally's End [View article]
Earnings Season Can't Fix The Global Economy; Downside Risk Growing [View article]
Thanks for reading and commenting, it is appreciated. By the way, does McOption suggest you prefer options? We view them as a great way to reduce overall risk and improve returns.
Earnings Season Can't Fix The Global Economy; Downside Risk Growing [View article]
Earnings Season Can't Fix The Global Economy; Downside Risk Growing [View article]
When This Indicator Hits 19, Stocks Always Rally [View article]