Tag Archives: Lipper numbers

POCKETBOOK: Week ending May 25, 2017

 

IMG_2964
Lifted from The American Legion, photograph by Andrew Lichtenstein
  • Remember and give thanks

One by one. That’s how we bury those we love and those who have given their lives in battle for us.

On this Memorial Day, why not take one added step to remember and give thanks for all who have sacrificed their lives for our freedoms by participating in a national moment of remembrance: At 3 p.m. today,  join with millions of others and take a minute to be silent and give thanks honoring all of those who have died in service to our country.

It’s the right thing to do no matter what political beliefs you may have or don’t have.

 

  • Market Quick Glance

Last week I pointed out how the 1-year returns for the indices below have been mighty impressive. This week those figures are worth looking at again because all the year-to-date returns were up for the week but the 1-year figures have lost ground.

Could that longer look be an indication of a downward trend? While we won’t know for sure until more time passes, one thing is hard to argue with: Unless you’re a day trader, it’s over the longer term where most money is made.

Below are the weekly and 1-year performance results— including the dates each reached new highs— according to data from CNBC.com. Data is based on prices at the close of business for the week ending on Friday, May 26, 2017.

-Indices:

-Dow Jones +6.67% YTD up from last week’s 5.27%

  • 1yr Rtn +18.24% down from last week’s 19.33%

The DJIA reached an all-time high of 21,169.11 on March 1, 2017.

 

-S&P 500 +7.91% YTD up from last week’s 6.38%

  • 1yr Rtn +15,58% down from last week’s +16.75%

The S&P 500 reached a new all-time high of 2,418.71 on May 25, 2017. (Previous high of 2,405.77 was reached on May 16, 2017. Before that the high of 2403.87 was reached on May 9, 2017and before that, the a high of 2,400.98 was reached on March 1, 2017. )

 

-NASDAQ +15.36% YTD up from last week’s +13.01%

  • 1yr Rtn +26.69% down from last week’s 29.10%

The Nasdaq reached another new all-time high this year of 6,217.34 on May 25, 2017. (NASDAQ previous highs were as follows: 6,170,16 on May 16, 2017; 6,133 reached on May 9, 2017; 6102.72 reached on May 2, 2017; 6074.04 on April 28, 2017; and 5,936.39 hit on April 5, 2017.)

 

–Russell 2000 +1.85% YTD up from last week’s +0.75%

  • 1yr Rtn +21.28% down from last week’s +24.90%

The Russell 2000 reached a new all-time high of 1,425.7 on April 26, 2017.

(Its previous high of 1,414,82 was reached on March 1, 2017.)

 

-Mutual funds

The year-to-date return for the average U.S. Diversified Equity Fund had a good performance week. At the close of business on Thursday, May 25, 2017 it stood at 6.70% That’s up a tidy sum from the previous week’s figure of 4.77%.

Large-Cap Growth Funds continued to lead the way, up 15.59%. Close behind it were Equity Leverage Funds, up15.26% followed by Multi-Cap Growth Funds, up 14.17%.

Lots of pluses and minuses in the Sector Funds world with the average fund under this broad heading up 4.77%. Those invested in Global Science/Technology Funds enjoyed an average return of 24.73% while Commodities Energy Funds’ had an average return of -13.72%.

But it’s World Equity Funds where things continue to be going well as the average fund under this heading was up 15.01%.

Visit www.allaboutfunds.com for more information about how various equity and fixed-income funds have rewarded investors over the short-and long-term, based upon Lipper data. Short-term meaning weekly and monthly performance returns; longer-term includes quarterly, year-to-date, 1-yr, 2-yr, 3-yr and 5-yr returns.

 

  • What’s behind “Sell in May and go away”

Some of the they’s on Wall Street are saying that because this market has been so confounding and difficult to call that this time it’s different. Time will tell if the they’s have it right. Or, they don’t.

In the meantime, here’s what history has taught us about the May-November six-month investment strategy that coined the “Sell in May and go away” saying.

From a recent Reuters.com story comes this: “In the last 20 years, a $100 investment in the S&P from November through April would have become $343 while a $100 investment in May through October in the same years would have slipped to $98.50, according to Bespoke Investment Group…”

“From 1928 to 2017 the $100 would have become $4,270 from November through April but would only be worth $257 from investing from May through October,according to Bespoke…”

 

-30-

POCKETBOOK: Week ending Oct.8, 2016

img_1539

•A makes-sense corporate tax idea that works for all of America

It’s no secret that plenty of US companies keep huge amounts of cash overseas because bringing it home would cost them plenty in taxes. Apple, for example, has the most moola outside of the U.S: over $200 billion.

But what if there was a creative way to get corporations to bring some of that money back into America that, by the by, would make life here at home safer and better for all of us?

Well, there is: Bonds.

In a Marketwatch.com story published on October 10, 2016, Standard & Poor’s suggested that companies, instead of paying big time tax bills on all of the money they have parked outside of the country, be allowed to commit “15% of it to investments in interest-bearing infrastructure bonds that would be issued by state and local governments…”

That’s a great idea given that more than $2trillion dollars is parked outside of America. And, that our country’s roads, bridges, etc. are in desperate need of repair given that little has been appropriated to improve them over the past 40 years.

Beth Ann Bovion, U.S. chief economist at S&P Global Ratings, said that there is plenty of “bipartisan support, including from the presidential candidates, to address our country’s infrastructure problems…”

I’m gonna guess there would be plenty of support from plenty of Americans for this idea too. It offers a simple solution to a much needed but overlooked problem that challenges each of our lives on a daily basis.

  • Market Quick Glance

One week into the last quarter of 2016 and the market index scores were more sour than sweet.

Below are where the weekly and 1-year performance results for four popular stock indices stood at the close of business on Friday, Oct. 7, 2016, according to Bloomberg,

-Indices:

-Dow Jones +6.88  YTD down from last week’s 7.22%

  • 1yr Rtn +9.65% way off from last week’s 14.13%

-S&P 500 +7.19%  YTD off from last week’s 7.85%

  • 1yr Rtn +10.30 % down from last week’s 13.56%

NASDAQ +6.81% YTD off from last week’s 7.18%

  • 1yr Rtn +11.06 down over 4% from last week’s 14.38%

Russell 2000 +10.14% YTD down from last week’s 11.45%

  • 1yr Rtn +7.73% about in half of last week’s 14.05%

 

-Mutual funds

Year-to-date average returns for U.S. Diversified Equity funds changed direction during the week.

At the close of business on Thursday, Oct. 6, 2016, their average YTD return was up 6.15%, according to Lipper.

Take a broader view and of all equity funds that Lipper tracks—there are 15,128 of them—the average year-to-date return was 6.94% as of Oct. 6th.

Moving into the land of taxable fixed-income funds, the average year-to-date return for the 4,943 funds that Lipper tracks was 6.78%.

I bet you thought the spread between equity funds and taxable fixed-income funds would be larger. But it’s not.

The top three fixed-income fund performance winners include Emerging Markets LC Debt Funds, up 15.22% on average; Emerging Markets HC Debt Funds, up 13.69%; and High Yield Funds, on average up 11.83%.

Make sure to take advantage of the wonderful world of mutual fund performance figures Lipper makes publishes. Use their YTD returns as a guideline for how your individual fund(s) are performing. For instance, Lipper reports the average stock fund is up about 6.79 percent so far this year. Are your stock funds doing better or worse than that?

Visit www.allaboutfunds.com for weekly updates to see how various equity and fixed-income funds have rewarded investors over the short-and long-term, based upon Lipper data. Short-term meaning weekly and monthly performance returns; longer-term includes quarterly, year-to-date, 1-yr, 2-yr, 3-yr and 5-yr returns.

Lipper’s weekly performance figures for stock and fixed-income funds are at www.allaboutfunds.com in the left column on the home page.

  • Donnie, sex talk and corporate America

I know a number of Donald Trump fans who believe because Trump is a business man, and is rich, that his business acumen makes him the perfect choice to lead America.

Trouble is, if Donnie held any upper level position at a public company in America today—whether that position is a  lower level management one or one up the ranks to president or CEO—  would be ousted from his job because of his dirty talk and  penchant for obscene sexual suggestions.

Even corporate America, where the bottom line carries a lot of weight, doesn’t stand for that kind of behavior.

-30-