Archive for the 'Valuation' Category
Lance on Aug 25 2008 | Filed under: Asset Allocation, Commodities, Developing Markets, Domestic Equities, Domestic Fixed Income, Emerging Markets, Energy, Federal Reserve, Global Equity, Global Fixed Income, Housing Market, Metals, Risk, Valuation, economy, real estate
Hedge Fund manager Doug Kass has some questions that clients should ask of their advisors. I should point out that everybody has a bad year, I assume we will have a point where we will have to ask these questions in a harsher light of ourselves. However, these questions can separate those who you might [...]
Lance on May 13 2008 | Filed under: Housing Market, Politics, Valuation, economy, monetary policy
From the New York Times:
Earlier this year, Mr. Bush derided a modest plan to provide $4 billion to states and localities to buy foreclosed properties, saying that buying up empty homes helps only “the lenders or the speculators.” Actually, it protects entire neighborhoods and local economies from the effects of foreclosures by preventing a greater [...]
Lance on Feb 24 2008 | Filed under: Asset Allocation, Domestic Equities, Risk, Valuation
Mark Hulbert reports on two indicators that historically have pointed towards above average returns for stocks:
The indicator in question focuses on corporate money-raising. Considerable research has shown that when companies turn aggressively to the equity market for their financing needs, through new issues or secondary offerings, it is a sign that the stock market is [...]
Lance on Feb 15 2008 | Filed under: Valuation
The word ‘heresy’ not only means no longer being wrong; it practically means being clear-headed and courageous. The word ‘orthodoxy’ not only no longer means being right; it practically means being wrong.
-GK Chesterton
Lance on Feb 11 2008 | Filed under: Risk, Valuation
In the insurance business, there is no statute of limitation on stupidity.
-Warren Buffett
If only the monolines (that survive) credit default swap investors, and others could keep this in mind going forward. Risk has to be priced not on the basis of the current environment, but on what that environment might be down the road. In [...]
Lance on Feb 11 2008 | Filed under: Great Investors, Humor, Risk, Valuation, economy
John Hussman is always worth a read. I like this from his letter this morning:
As I wrote in April 2000, bear market psychology typically evolves something like this:
“This is my retirement money. I can’t afford to be out of the market anymore!”
“I don’t care about the price, just get me in!!”
“It’s a healthy correction”
“See, it’s [...]
Lance on Feb 11 2008 | Filed under: Asset Allocation, Economics, Great Investors, Housing Market, Risk, Valuation
Jeremy Grantham echoes a few themes here at Risk and Return in this interview with Barron’s:
Secondly, this occurred at a time of what I believe is the first global bubble in pretty well all asset prices, so there is a much greater degree of broad-based vulnerability.
Lance on Feb 11 2008 | Filed under: Absolute Return, Asset Allocation, Domestic Equities, Great Investors, Hedge Funds, Relative Return, Risk, Valuation, indexes, real estate
The recent downturn from the high in October has led to a great deal of chatter about the markets being cheap. That the recent turmoil has presented us with wonderful buying opportunities based on valuation. Readers here know that I disagree, and vehemently. Which doesn’t mean there isn’t money to be made as speculators. Certainly [...]
Lance on Feb 07 2008 | Filed under: Domestic Equities, Great Investors, Valuation
Occasionally I look at my list of reads and realize I haven’t been someplace in quite a while, so early this morning I headed over to Jeff Matthews place to rectify that issue. Full of great stuff, but I want to highlight two pieces.
First, Jeff tackles the subject of stock buybacks and the piece echoes [...]
Lance on Feb 04 2008 | Filed under: Great Investors, Valuation
To paraphrase [value investing pioneer] Ben Graham, the markets seem high, they are high, and they are as high as they seem.
-Jean-Marie Eveillard
I know, I know. This isn’t what you here, but they are.
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