Some readers have asked me to comment on the upcoming elections, the possible outcome and the effect on various investments. I try to stay away from commenting on politics in general, since I despise the way most positions go about their business. Empty promises and total lack of integrity would be some of the reasons among many others. However, yesterday …
Hedging Clarification
I have touched on the subject of hedging before, but one reader posted this question: Can you please clarify what hedging means? In one of the posts I read: “The safest and most responsible way to use reverse-index ETFs is to hedge or protect your equity portfolio in a bear market.”Suppose I hold $ x worth of an ETF. How …
Sunday Musings: The Trillion Dollar Meltdown
I just finished reading Charles Morris’s “Trillion Dollar Meltdown,” which describes the recent years of easy money, high rollers and the great credit crash. According to Morris, an acclaimed financial writer, the sub-prime crisis is only a preview of the havoc that will play out across the full spectrum of financial assets. Arcane credit derivative bets are now well into …
How To Invest $50 million Dollars
There are many different viewpoints on how to invest your money, whether it is during the accumulation phase of your investment life or after you “have arrived.” To my way of thinking, the approach for growing your assets is entirely different from the one you should use if you find yourself suddenly with a windfall in the range of 10s …
No Load Fund/ETF Tracker updated through 8/28/2008
My latest No Load Fund/ETF Tracker has been posted at:http://www.successful-investment.com/newsletter-archive.phpAnother whip-saw week with the major indexes closing to the downside. Our Trend Tracking Index (TTI) for domestic funds/ETFs remains below its trend line (red) by -0.86% thereby confirming the current bear market trend. The international index now remains -7.47% below its own trend line, keeping us on the sidelines. For …
Borrowing Money
In an appropriate sign of the times we’re in, the FDIC may have to “Borrow Money from the Treasury” according to the Wall Street Journal: Federal Deposit Insurance Corp (FDIC) might have to borrow money from the Treasury Department to see it through an expected wave of bank failures, the Wall Street Journal reported. The borrowing could be needed to …