Managing Portfolio Risk: The Key To Long-Term Investing Success [View article]
Risk moderation tactics is a good term. Though diversification and allocation are foundational methods to use in helping moderate risk, it is now beyond doubt that they are enough in today's 21st century markets, unless one wants to ignore the opportunity cost of just holding on through major downturns. There are however new services such as SmartStops that can be used to stay aware of individual equities or ETF's risk state that uses a variety of factors, (not just volatility) to come up with its proprietary assessment of risk and elevated risk.
Managing Portfolio Risk: The Key To Long-Term Investing Success [View article]
Risk moderation tactics is a good term. Though diversification and allocation are foundational methods to use in helping moderate risk, it is now beyond doubt that they are enough in today's 21st century markets, unless one wants to ignore the opportunity cost of just holding on through major downturns. There are however new services such as SmartStops that can be used to stay aware of individual equities or ETF's risk state that uses a variety of factors, (not just volatility) to come up with its proprietary assessment of risk and elevated risk.
Sell ARM As CEO's Departure Signals The Top [View article]
Indeed, no stock is a permanent buy or sell. Always stay protected and keep those gains and keep losses small. SmartStops first triggered its elevated Risk Signal back on 2/21/13 @ $42.
Sell ARM As CEO's Departure Signals The Top [View article]
Indeed, no stock is a permanent buy or sell. Always stay protected and keep those gains and keep losses small. SmartStops first triggered its elevated Risk Signal back on 2/21/13 @ $42.
With this stock, if you had stayed protected over past 5 years instead of losing ($4.63)/day , you could have been invested in it half the time (or shorting the other half) and if just long, made $8.44/per day. Or you could have shorted at times when the risk signal went elevated, back in 2008 @$128 or 2009 @ $68, or 2010 @ $64 or 2011 @ $59 or 2012 @ $13. And if following the reentry , with the latest run up, now have made $18.61 per share.
Rising Market Risk Ushers In A Time For Caution [View article]
There is no calling a top in this market. Despite the huge run up, fundamentals remain strong. Stocks do not appear over valued assuming expected earnings are delivered. But if the global economy stumbles again and earning fall short, we could experience a major pull back. The key in this new paradigm is to watch for unexpected weakness and have a defensive plan ready to deploy.
Apple: Last Year I Said Sell -- Buy Now? [View article]
Following fundamentals is needed. Following analysts can be questionable especially for as they continually show they are late to the game with the general public in moving to a "hold" or "sell". Staying protected and aware of risk constantly is a must in today's markets. How's about having gotten out on 9/26/12 at $667 or soon thereafter as you were constantly warned? An almost $250 per share savings!! http://bit.ly/UIcl5m
New Highs For The Markets: Here's What History Has To Say [View article]
Respectfully disagree with the conclusion that the analysis , "reinforces the mantra that investors should stay invested and stay the course". There has been plenty of studies one done all the way back from 1900 that shows that even if you don't pick the ultimate reentry time, missing the worst days of the market improves your returns thousandfold. The most recent study we have seen reflected time period of 1947-2011 and showed what missing the 10 worst quarters vs. buy &hold - a 50x improvement. http://bit.ly/XQqJuL
Diversifying Your Portfolio: The $100,000 Growth Strategy [View article]
Agree that diversification is a key tenet in the building of a portfolio to help with volatility (leveraging the concept of non-correlated items) however its just not enough in today's 21st century global markets. One needs to take a more disciplined approach to protecting their investments from the downturns learning to step aside when risk (as calculated both individually & at a macro level) are too high. Studies have shown that missing the worst days of the market results in much much higher returns. http://bit.ly/XQqJuL
A good article. Yet there is an opportunity cost to hold on through the equities downturns some of which can last awhile. Seems to me that not factoring in that cost portrays the dividend returns as higher than they may be.
And of course if the underlying price drops to override your dividend payout, you can't always assume the price will rebound at the time you may need to sell.
Plus you can watch profits in the equity price evaporate instead of protecting those gains all in the name of holding onto receiving a dividend. A study should be done that evaluates that tradeoff.
A good article. Yet there is an opportunity cost to hold on through the equities downturns some of which can last awhile. Seems to me that not factoring in that cost portrays the dividend returns
And of course if the underlying price drops to override your dividend payout, you can't always assume the price will rebound at the time you may need to sell.
Plus you can watch profits in the equity price evaporate instead of protecting those gains all in the name of holding onto receiving a dividend. A study should be done that evaluates that tradeoff.
Does Market Timing Matter? The Case Of SPY (Part 1) [View article]
As some studies have shown, you can miss the worst days in the market and increase your profits hugely. Like Estrada's study, going back to the Dow since 1900- missing the 100 worst days in the market increased profits by 43,398% with an annual compound return of 11.5%. Or a recent one from 1947-2011 that shows missing the worst 10 quarters results increases returns 4-fold. And that does not require perfect timing of getting back in. Unfortunately the mutual fund industry likes to propagate the data on missing the "best" days and thus don't try to time the market.
Moving averages are quite popular, but have shown to be lagging as a signal. Even VIX has inherent flaws. Now we have a Risk Barometer index that leverages and then aggregates a new method of evaluating individual risk analysis that is adjusted daily on stocks & ETFs. http://bit.ly/XQqJuL
Netflix Beat Shows The Market Doesn't Care About Mere Metrics Anymore [View article]
Think it will go down? Then stay protected so you don't create losses unecessarily. Having triggered a reentry back at $88, its important to let the winners run, but get out at the first sign of weakness. Like last year's drop from $106 to $60. http://bit.ly/WpkOwB
Apple's Share Price In The Context Of Risk And Reward [View article]
Managing Portfolio Risk: The Key To Long-Term Investing Success [View article]
Managing Portfolio Risk: The Key To Long-Term Investing Success [View article]
Sell ARM As CEO's Departure Signals The Top [View article]
Sell ARM As CEO's Departure Signals The Top [View article]
10 Reasons To Go Long BlackBerry [View article]
Rising Market Risk Ushers In A Time For Caution [View article]
Apple: Last Year I Said Sell -- Buy Now? [View article]
New Highs For The Markets: Here's What History Has To Say [View article]
Reefer Madness: Pot Stocks In A Bubble [View article]
Diversifying Your Portfolio: The $100,000 Growth Strategy [View article]
19 Things I Like About Dividends [View article]
And of course if the underlying price drops to override your dividend payout, you can't always assume the price will rebound at the time you may need to sell.
Plus you can watch profits in the equity price evaporate instead of protecting those gains all in the name of holding onto receiving a dividend. A study should be done that evaluates that tradeoff.
19 Things I Like About Dividends [View article]
And of course if the underlying price drops to override your dividend payout, you can't always assume the price will rebound at the time you may need to sell.
Plus you can watch profits in the equity price evaporate instead of protecting those gains all in the name of holding onto receiving a dividend. A study should be done that evaluates that tradeoff.
Does Market Timing Matter? The Case Of SPY (Part 1) [View article]
Moving averages are quite popular, but have shown to be lagging as a signal. Even VIX has inherent flaws. Now we have a Risk Barometer index that leverages and then aggregates a new method of evaluating individual risk analysis that is adjusted daily on stocks & ETFs. http://bit.ly/XQqJuL
Netflix Beat Shows The Market Doesn't Care About Mere Metrics Anymore [View article]