While they have been hit hard over the past year, many of the world’s top investors aren’t shying away from the stock and bond markets, writes The Wall Street Journal’s Eleanor Laise. In fact, many have been snatching up bargain stocks and bonds for their own personal portfolios while most investors have been fleeing the […]
I’ve added a new investment model to my arsenal. It’s based on the “Magic Formula” strategy that Joel Greenblatt outlined in The Little Book that Beats The Market. Some of what you’ll find below is a recap of a post I did last week, but in this post I’ve also included the ten stocks that […]
In a piece written for Forbes.com’s “Gurus’ Guide to 2009“, John Heins and Whitney Tilson do a great job in examining just what makes an investor a value investor. While value investors come in all shapes and sizes — large-cap, small-cap, activist, non-activist, U.S.-focused, foreign-focused — Heins and Tilson list 12 similarities they share. A […]
Jason Zweig unveils some great research in his latest piece for The Wall Street Journal (“Why Market Forecasts Keep Missing The Mark”). With all sorts of pundits making predictions for where the market will head in 2009, Zweig says you should be skeptical of their forecasts — and your own — a notion that I […]
Jim Collins, author of the top selling business books “Built to Last” and “Good to Great”, speaks with Fortune magazine about what it takes for companies to emerge from difficult periods in history. “A couple of things really jump out,” he says. “No. 1, in times of great duress, tumult, and uncertainty, you have to […]
In his latest Hot List newsletter, Validea CEO John Reese unveils a new guru-based stock selection model, and tells readers that continuing economic woes don’t have to mean continued trouble for the stock market. Reese’s new Guru Strategy is based on the writings of hedge fund master Joel Greenblatt. Greenblatt created quite a stir in […]
In an excellent interview with Steve Forbes, Jeremy Grantham — the bear who called both the 2000 market crash and the recent plunge — discusses how he’s avoided the bursting bubbles, talks about the areas of the market that intrigue him now, and reasserts his assertion that stocks are cheap, but likely to get cheaper
Yale endowment manager David Swensen, who has been one of the most successful institutional investors in the world for the past two decades, tells Charlie Rose that the underlying problems involved in the current financial crisis are similar to those from the 1987 and 1998 crises — and that the country now needs to learn […]
Using the research of Jeremy Siegel, Peter Brimelow and Edwin Rubenstein write on MarketWatch that stocks “can’t go all that much lower before getting to unsustainable depths”. The duo — who back in February 2007 wrote that stocks couldn’t get much higher before reaching unsustainable heights — periodically study how short-term market data compares to […]
The American Association of Individual Investors (AAII) recently published its 2008 stock screening review ($$). For those that may not know, AAII has been tracking the performance of its screens since 1998. Through December 5th, the median performance for all of the AAII strategies was -41.7%. But, there was one strategy that was positive. And […]
In a wide-ranging interview with Dateline NBC’s Tom Brokaw, Warren Buffett says that fear is currently winning out over hope in the U.S. economy — but that he wouldn’t bet against the country’s ability to recover from this crisis and go on to new heights. “Right now fear is [winning],” Buffett said. “It really is […]
In his 2007 book The Black Swan, Nassim Nicholas Taleb warned of the dangers of a U.S. bank imiplosion. Now, with some of his fears having been realized as the country’s financial system steers though a crisis, Taleb tells Forbes that he doesn’t think the pain is over — and that “the situation is vastly […]
In Barron’s Roundtable’s second installment, four strategists (Bill Gross, Felix Zulauf, Archie MacAllaster and Abby Cohen) offer up some investment ideas and thoughts on the market. Included in this post are some of their key thoughts and ideas, as well as an updated summary report below.
Investment manager and author John Mauldin — one of the few strategists who saw the 2008 stock market mess coming — tells Yahoo! TechTicker that he doesn’t see a turnaround coming in 2009.
David Swensen, who produced exceptional returns as Yale University’s endowment’s chief investment officer for two decades before hitting a rough patch in 2008, talked to the Wall Street Journal this week about a number of key financial issues, ranging from his own strategy, to Bernard Madoff, to what he believes are the best opportunities in […]
Examining historical trends in the 10-year price/earnings ratio, bond yield spreads, and equity risk level premiums, Professors Dale L. Domian and WIlliam Reichenstein make the case that now is a good time to buy stocks ($$) in a research piece published by the American Association of Individual Investors.
I always find it interesting to look at the guru portfolios I run on Validea, and ask the question “what is working” now? Over the last month, in a period where the S&P is up 0.4%, 11 out of Validea’s 13 portfolios have outperformed. The best performer is my Ben Graham strategy, up 9.4%. Incidentally, […]
Don’t expect the economic news to get better anytime soon — but there are opportunities to make money in this market. That’s what three top strategists — Ed Hyman of ISI Group, Bob Doll of BlackRock, and Bill Gross of Pimco — told Consuelo Mack in an exclusive interview on WealthTrack this week.
This is the first of three Barron’s Roundtable articles featuring some of the best and brightest in the investment industry. In general, these experts see more uncertainty in 2009, but think there are ample opportunities for good stock-picking strategies. Writes Barron’s Lauren R. Rublen, “The [roundtable] was rife with history lessons and warnings — and […]
In the week’s Validea Hot List newsletter, Validea CEO John Reese says that, despite the continuing troubles with the U.S. economy, he sees several clear reasons long-term investors should be high on stocks heading into 2009. “Good investors must have the ability to look past the near-term and see the forest for the trees,” Reese […]
Investing legend John Bogle, founder of the Vanguard Group of Mutual Funds, writes in a guest column for The Wall Street Journal that investors continually ignore lessons of the past, which cost many dearly last year. Bogle offers six such lessons that we should not forget moving forward:
In a rare interview, retired value guru John Neff — who put together one of the best track records in history over his three-plus decades managing the Windsor Fund — tells Fortune that now is the time to buy stocks.
Advisor Perspectives turns out another good interview, this time with Fairholme Fund manager Bruce Berkowitz. Berkowitz’s leadership has helped turn the Fairholme Fund into one of the most successful funds around. Berkowitz takes time to discuss his investment process. Specifically, he says “we look at a company’s free cash flow relative to its price. Ideally, […]
In his “Ten Suprises for 2009” list, Pequot Capital Chief Investment Strategist Byron Wien says the coming year is likely to feature a number of major events — including a rebound in equities, a rush into gold, significant dollar declines, and the potential bankruptcy of New York State.
MSN.com’s Michael Brush writes today that the current tough times call for “a dose of optimism, wisdom, and insight”, and he thus offers 10 lessons on “the basics”, as taught by Warren Buffett. The lessons mostly focus not on financial expertise, but instead on psychology. “Buffett’s investment success comes from some easy-to-grasp human qualities as […]