***Official*** 2011 Stock Market Thread

[sunzt]

I want to invest some money in mutual funds. I've never invested money, but I'm doing research. I am looking for long term investment. I don't want/need returns right away. I don't want to take large risks, at least not with most of the money I set aside for investing.

-What percentage of my net worth should be invested in Mutual Funds?

-Should I invest in one or two mutual funds? Or maybe more?

-I know I should look for low expense ratio, no-load, funds. Anything else I should look into?

-Any websites I should look into? Any specific mutual funds I should take a look at?


Thanks in advance.

I have accounts with fidelity and the great advantage with them is that they have 30 commission free ETFs that are very useful. Since you sound more risk-adverse, i'd suggest a mix in 50-70% equities spread over large, small, and mid caps with about a quarter to a third of that in purely international stocks. The other 30%-50% could be income funds or high yield funds. Today, the rage is all about large cap dividend stocks, so you could include some of those in ur equity mix. Just find the right funds to acheive your desired asset allocation and portfolio mix. This may mean you have to invest in numerous funds. Just pay attention to the Objective and Strategy of each fund. That's how you build your portfolio.

 

[IHateMyJob2004]

Anyone going long for tomorrow?

I'm sitting in about 20% cash right now. To many uncertainties it seems. If there is a down market tomorrow (more than a 1% drop) there is a good chance that I will be reducing that percentage to 0%.

FBN is now nearing the sub $4 point again. Limit order is already in to get it in the high $3s.

Also dumped MYE today for a tiny profit. Want to get in at a lower cost basis.

 

[manlymatt83]

I'm sitting in about 20% cash right now. To many uncertainties it seems. If there is a down market tomorrow (more than a 1% drop) there is a good chance that I will be reducing that percentage to 0%.

FBN is now nearing the sub $4 point again. Limit order is already in to get it in the high $3s.

Also dumped MYE today for a tiny profit. Want to get in at a lower cost basis.

I shorted QQQ at 3 PM. Awesome decision. Only hope we don't pop tomorrow.

 

[Imp]

SItting on 80% cash. Cleaned most of it out today. Took a HUGE loss a few weeks back because of the whole economy thing. Been forgeting why I did that lately with the minor blip up. Back above my principal though, which is nice after a few weeks below.

 

[FelixDeCat]

Something told me to buy puts on the QQQs today but I didnt because I was too busy seeing my nephew back off to Iraq and meeting Tony Casillas from the Dallas Cowboys.

Oh well.

 

[JTsyo]

I want to invest some money in mutual funds. I've never invested money, but I'm doing research. I am looking for long term investment. I don't want/need returns right away. I don't want to take large risks, at least not with most of the money I set aside for investing.

-What percentage of my net worth should be invested in Mutual Funds?

-Should I invest in one or two mutual funds? Or maybe more?

-I know I should look for low expense ratio, no-load, funds. Anything else I should look into?

-Any websites I should look into? Any specific mutual funds I should take a look at?

Thanks in advance.

I put in some money into managed funds.

Ivy WASCX - a general fund
Prudential Natural Resources - energy and metals
Eaton Vance Floating Rate Advantage Fund - bit more of a short term investment

 

[The-Noid]

I put in some money into managed funds.

Ivy WASCX - a general fund
Prudential Natural Resources - energy and metals
Eaton Vance Floating Rate Advantage Fund - bit more of a short term investment

You do realize floating rates are really called leveraged loans and have a maturity profile that is among the longest in the fixed income space. Don't confuse duration risk with maturity.

If the economy turns south you are in the same position buying leveraged/syndicated loans as you are buying equities. Much of the LBO boom needs to move from bank loans to high yield in 2012 to 2013 and if that doesn't get done you will be holding a 1 beta fund anyway.

 

[JTsyo]

You do realize floating rates are really called leveraged loans and have a maturity profile that is among the longest in the fixed income space. Don't confuse duration risk with maturity.

If the economy turns south you are in the same position buying leveraged/syndicated loans as you are buying equities. Much of the LBO boom needs to move from bank loans to high yield in 2012 to 2013 and if that doesn't get done you will be holding a 1 beta fund anyway.

It was recommended to hedge against inflation and rising rates. Looking at their history 2008 was the only year they were negative and made it back in 2009.

 

[The-Noid]

It was recommended to hedge against inflation and rising rates. Looking at their history 2008 was the only year they were negative and made it back in 2009.

The market only priced back to 2003 with daily liquidity. SEC rules allowed all of the leveraged loan funds to carry a $10 NAV because of the reset, so 2008 was the only recession.

You can look at the CS/JPM indices that go back further and had daily liquidity to see how inflation and defaults occur.

Needless to say of all asset classes the huge amount of money that has flowed towards leveraged loans has priced them for perfection because they are the easiest sell to the retail crowd based on inflation. Best case scenario is for returns to be coupon (the indices were at par, they are a bit off after the last move down).

 

[FelixDeCat]

Up is the path of least resistance?

 

[lothar]

I'm sitting in about 20% cash right now. To many uncertainties it seems. If there is a down market tomorrow (more than a 1% drop) there is a good chance that I will be reducing that percentage to 0%.

FBN is now nearing the sub $4 point again. Limit order is already in to get it in the high $3s.

Also dumped MYE today for a tiny profit. Want to get in at a lower cost basis.

Why do you have so many stocks related to housing and construction?

 

[manlymatt83]

Kept my QQQ puts and luckily, they went back into black today. Kicking them away.

 

[IHateMyJob2004]

Why do you have so many stocks related to housing and construction?

As a generalization. The ones I own are typcial FCF positive and trading at a discount to FCF.

Want scary, I am even thinking about buying home builders! Even with the conditions of today, many have no debt and are generating FCFs. I should post my current holdings.

 

[TheNinja]

My LBSR is looking nice today

 

[manlymatt83]

My LBSR is looking nice today

Why do you own that?

 

[TheNinja]

Why do you own that?

Fun and speculation mostly. It popped on my radar last summer during it's run up to .19. I started reading more about it and following it. Got a bunch more in the .029 range. I should probably sell some now but it's looking eerily similar to last summer's run into the teens. But I'm wrong on most penny stocks I follow so who knows?

 

[sunzt]

Does anyone see the SPY making a base these past few weeks?? Looking at mid march, it looks like we made a double or even triple bottom....

 

[cirrrocco]

DNDN is up 3.45 % on extended market hrs. Looks like some good news for them.

http://www.rttnews.com/ArticleView.aspx?Id=1657601&SM=1

The U.S. Centers for Medicare and Medicaid ruled after the close Thursday that it will fully cover Dendreon Corp.'s (DNDN: News ) Provenge, a treatment for advanced prostate cancer. The stock is now trading higher by 0.91 on 443K shares.

I got in at 39.00 some time ago, not sure if I should wait or sell. logic tells me I should sell and lock in profit but there are any reports that they will be in the 50's easily once their new manufacturing plants come online..

What should I do
I have 650 stocks
600 at cost price 39
50 at cost price 46

===
Also a general question for pro traders. Lets suppose i put in a request at midnight and someone else puts in a request at 3 am for the same price. who gets the stock first. does it depend on the trading house, or is the sequence when the person places the trade??

 

[JTsyo]

Anyone have money in Netflix? Any idea on where it'll peak? it's up about 5X over the last 2 years. Feels like it might be late to jump in.

 

[Imp]

Shit. I checked out too early yesterday, and didn't go full-in before it started. Didn't think this rally would go so far. Five straight days, 5-10% on many DOW stocks. Oh well, made a pretty nice profit and finally making a profit on the year.

Liking GOOG right now. Android looks like a big winner and stock is sitting near a low point. Haven't watched it before though, so still only holding a small position.

 

[cirrrocco]

ZYNGA has filed for IPO.. Get your money out for a pump and dump guys.

 

[Azurik]

I sold out, half last week and the rest today - probably could have waited as it looks like this will be pushed even higher, but profits are profits. Stock was RYUN, bounced from .24ish to .50 so far.

Are you kidding? I just got back from Russia and this thing is over $2 now?

 

[Imp]

ZYNGA has filed for IPO.. Get your money out for a pump and dump guys.

Meh, you better have quick hands. It'll be pumped pre-market when the big fund managers get their hands on it, and probably drop like a rock shortly after market opens. If I want to gamble, I'd go buy me some RIMM or Sino-Forest.

 

[IHateMyJob2004]

Flat day and everything I own is down 0.79% or more except for one stock in the green. I hate days like this.

Then again, Friday was just as equally lopsided. markets did well but I did way better.

 

[manlymatt83]

JS80: played QQQ lately?