Comments on: Net Worth Review for March 2007 & Market Commentary

By: Frugal

Frugal — Tue, 10 Apr 2007 08:37:09 +0000

Blain,
I’m pretty happy with 3.28% for this month.

David,
You can get the YTD return by multiply the return month after month. I publish net worth review every month.

Shadox,
I’ve outlined my investment strategy before. If you only look at my portfolio, it’s no doubt risky. But if you add in other components, such as real estate (home) and my company holdings, my portfolio becomes less significant. I am also very wary about the upcoming recession. That is the MAIN reason that I have underweighted energy. My metal positions are mostly precious metals instead of base metals. Base metals will surely go down in a recession. Precious metals have a fighting chance to due a potential rate cut (then a fall in $US, then a rise in gold/silver).

By: Shadox

Shadox — Tue, 10 Apr 2007 03:27:22 +0000

Frugal, I think your portfolio allocation is extremely risky. Nevermind for a minute the fact that you appear to be undiversified. What I think is more dangerous is the fact that you are heavily invested in both metals and energy – both of which are likely to fall if the U.S. (or world) economy go into a recession.

On the one hand you are worried about the impact of the sub-prime market on the market, on the other you are not concerned that if your forecast materializes the economy will likely go into a recession? A recession willl likely cause cyclicals such as energy and metals to decline, taking your net worth with them.

I don’t know. This sounds like a very risky strategy to me. I hope I am wrong.

By: David

David — Mon, 09 Apr 2007 22:27:13 +0000

Frugal,
What’s your YTD return?

By: Blain Reinkensmeyer

Blain Reinkensmeyer — Mon, 09 Apr 2007 17:39:31 +0000

Nice one Frugal! 3.28% sounds like a solid growth pattern to me! Best of luck this month!