In May 2004, these same investment concepts were discussed. Two posts that discucss how to invest were
Portfolio 101 and
Portfolio 101 [quote]Market professionals are too buy selling themselves rather than learning what really makes a good investment. There is great profit in selling themselves because so many laymen think you must be an economist or some kind of professional investor to invest in stocks. ... Listen to what he says. If he hypes cyclic trends and capital expenditures, then run. However if he talks about the company product and industry trends, then put his stock in your basket of 'stocks to watch'. ...
In May 2004, these same investment concepts were discussed. Two posts that discucss how to invest were
Portfolio 101 and
Portfolio 101
Quote:
Market professionals are too buy selling themselves rather than learning what really makes a good investment. There is great profit in selling themselves because so many laymen think you must be an economist or some kind of professional investor to invest in stocks. ... Listen to what he says. If he hypes cyclic trends and capital expenditures, then run. However if he talks about the company product and industry trends, then put his stock in your basket of 'stocks to watch'. ...
There is nothing fancy about stock investment except by understanding the only reason for growth - the product and its markets. Don't let the market liars have you think that investment is only for professionals. Again, the market experts average underperform the markets. Product is why Peter Lynch and Warren Buffet were such good investors.
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As usual, the emotional make claims without even stating a single reason why:
Quote:
Originally Posted by depmats
tw - you have your head so far up your ass on this one that i don't even know where to start.
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and
Quote:
Originally Posted by sycamore
Tear his arguments apart then.
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How do we know both have not a clue? Both would attack the messenger AND both would not provide a single useful fact. How curious. Extremists also do this.
Well let's see what happened to Onyxcougars investments.
Initially were investments in Dodge & Cox Stock Fund (DODGX) and Dodge & Cox Income Fund (DODIX). Apparently after professional advise from elsewhere, the Stock Fund was eliminated. Added were
Dodge & Cox Income (DODIX)
Vanguard Morgan Growth (VMRGX)
Vanguard Wellington (VWELX)
Vanguard Total Stock Index (VTSMX)
The eliminated Stock Fund outperformed the market over four years. But all non-indexed funds in the new portfolio, except one, underperformed the market constantly over those same four years. The only index fund (fourth down) outperformed the market. Eliminate the index fund and the entire portfolio of professionally managed funds is tragic.
Blue line is each fund over the past four years; red line is the Dow Jones Industrial Average. Below are DODIX, VMRGX, VWELX, and the index fund VTSMX: