Discussion in 'The Mainboard' started by Joe Louis, Jul 12, 2010.
Money market accounts are not long term and they're low, not medium risk.
i blame obama
Think you need to be more specific about what you are looking to do? What do you plan to use the money for? How long is medium term?
My IRA is +19.4% YTD as of yesterday's close.
It's basically not making me any money. I want to put it to work but want something with a slightly better yield than savings accounts or bonds. I'd be willing to sit on it for a year or so.
You can get bonds that are taxed and can yield 11% after taxes.
Do go on. I'm not a finance guy, what are some good resources to learn about this stuff.
You can go to investinginbonds.com. Dick around on it for a little while.
Pretty good read for those interested...Greg Smith, [former] Goldman executive banker, writes an op-ed on GS and quits. Bashed the firm saying it has lost its values and integrity.
uh so should i sell MSFT or INTC? im freaking out... both are high as shit
Lots of companies are hitting their 52-week highs...just because they do so, doesn't mean you should automatically sell.
i know, i wish i had someone tell me when their high will be at its apex so i can SELLSELLSELL
If someone out there existed, they'd be one rich muthafucka. Just read up on some analyst reports and look at target prices.
Money markets aren't going to get you much more yield than a savings account. The reality in this market is that short-term rates are low for everything.
If you're looking more medium term (2-5 years), or longer, you can pick up some yield but you have to take some risk to pick up yield. The key question is what is the money for and how much risk are you willing to take.
very nice ...
i'll come back this afternoon around 3-4 with some numbers and we can analyze
I think he started his own firm too.
Already? I think he quit this morning. Awfully fast to be starting your own firm, IMO.
Maybe I read it as starting his own firm. Can't remember which article it was.
Ah, I don't know...I'm sure, if he isn't in the process of doing so right now, he will somewhere down the road.
That was basically a free ad if/when he does.
This was a funny response to it tho:
Sorry Mr. Smith, this is a load of self-serving crap. I know the culture intimately at GS and it has been as corrupt as you claim it recently became since at least 1982. Your next move is so predicable - you are going elsewhere for a better deal, bringing your clients with you, marketing yourself as the "anti-Goldman". Actually sir you are Goldman to the core - it's all about what it always is, money and only money.
Haha that's funny....Here is Blankfein's response, according to The Borowitz report. Funny stuff, too.
Haha Best way he could've responded IMO. Figured a statement from GS would be nonexistent
Yeah, I agree. Did nothing but belittle Smith and his op-ed, IMO. Can't let a firm like GS be phased by a single article by an ex-employee.
that cant be a real response
that cannot be a real response
Haha, no it's not real...but it'd be awesome if it was.
both are at 52 highs. after looking at these numbers, it really is almost a toss up. both have the same dividends too
got in around 19.5, its at 27.46.
p/e is 11
Reuters gives it a 10 outta 10 and a buy rating with a target at 27.8
S&P has a 3 star HOLD rating with a target at 28.00
Fair Value is a 4 outta 5
has beaten earnings 5 out of the last 7 quarters
got in around 25, now at 32.77
p/e is 12
Reuters has it as a 7 out of 10 and a buy with a mean target at 33.00
S&P has it as a 4 star Buy with a mean at 33.00 as well.
Fair Value is a 5 out of 5
Has only beat earnings once out of the last 4 quarters
Its beta is a 1 even
Buys 24 63.16%
Holds 13 34.21%
Sells 1 2.63%
Tgt Px 22/39 33.09
Buys 27 49.09%
Holds 24 43.64%
Sells 4 7.27%
Tgt Px 34/56 28.36
My bad, man...I should've asked for some background information. Is this just a trading simulation?
Either way, unless you have an analysis you go through in order to determine what securities you buy (no speculating), I'd just go with analysts' estimates.
SWIMFAN i'm pretty sure both have some new products coming to the marketplace so i would try to hold. MSFT will have Windows 8 out there in the near future and i believe that's being well rec'd. i read an article on INTC in Fortune yesterday that would make me hesitant to sell because it seems like they will finally be breaking in to the mobile chip market. there are exactly 0 smart phones using INTC chips so from that perspective could be some more growth coming this year ...
Rabid do you feel short term bond funds are too risky for a 1-2 year horizon these days? i wouldn't use money i knew i needed in that market but for money i can reasonably project 1-2 years out i still like bond funds (unless i am completely underrating the potential risk in principal due to possible interest rate improvement)
sorry about the dead posts y'all ...
Think Buffet just bought some INTC
nah just a ring payment thats due in a few wks so i gotta sell one, even though i hate having to do so after holding for nearly a year and a half and its finally paying off
i'm tempted to sell some positions that have done well to clear off some CC debt but this rally feels legit, i think i may just pay the interest for now and wait to clear the debt when i get a bonus around june ...
I don't understand your logic in this? A short term bond fund should have very little interest rate risk because you should be holding to maturity and the coupons are small (so limited reinvestment risk). Are you asking whether he thinks the credit quality in a fund that invests in corporate bonds is shitty, but not giving specific fund information?
About to buy some shares of some "forever holder" stocks so I can try to accumulate some wealth after a few decades. Not really into the buy/sell, buy/sell, back and forth thing. Just want something that's going to profit at the 20-yr SP 500 marks. Anybody got any recommendations?
Thinking closely about Pfizer, Dell, Under Armour, Target, Kroger (my employer), Apple, Wal-Mart and FAX.
i like short terms funds for the reasons you mentioned, their risk is mitigated due to their nature. but that's not to say there is "zero" risk like you may get with a CD or savings. consensus seems to be it's a risky time in general to invest in bonds, was curious to know rabid's opinions on the current market and if he would avoid using short term bond funds for a 1-2 year savings plan
Did you buy both at the same time?
Your primary risk is going to be interest rate risk and because they are short-term it should be low. If you can find duration on the fund and it is under 2 you should be a relatively safe fund. You can definitely still lose money but it should be minimal. Looking at historical returns will tell you the same--any negative returns and how much?
PFE. using my splendid "RV" function on Bloomberg was able to determine the pharm industry trades at 3x book on average and PFE is trading under book so it may be a good value atm. also noticed it's beta is only .69 (think industry was low in general, like .80ish) so as a cheap, stable blue chip it looks great to me. doesn't hurt they pay a 4% dividend either. they have increased their dividend from .16 to .22 since '09, so they have maintained a 4%ish yield for a while, i have a crackpot theory that it's low beta is somewhat due to large ownership in dividend funds which have seen big cash in flows over the last couple years. wish i was able to hold on to what i bought in 2010 i had it around $14.50
interesting take on Google ...
I know almost nothing about pharma, but I'm pretty sure Pfizer has a patent expiring on their largest drug in the next 6 months or so.
Their two revolutionary cancer drugs coming out at the end of the year, one for renal carcinoma and the other for leukemia, will more than make up for it, imo.
i believe the patent on Lipitor has already expired, IMO it's already priced in. good write up on SeekingAlpha that talks about their other revenue streams ...
On a portfolio beta of 2.5...
Kidding. I inspire to be you one day. Investor relations sucks.
me too ...
Separate names with a comma.