Tag Archives: Lipper performance

POCKETBOOK: Week ending Dec.31, 2016

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  • It’s all about the numbers

If you were in the stock market in 2016, odds are you made money.

According to CNNMoney, 77% of investors made money. How much? OpenFolio reported that the average investor enjoyed a 5% increase in the value of their investments.

Unfortunately, men’s portfolios outperformed those owned by the ladies, reports that same source. Which, BTW, is nothing new. That trend has been going on for the past three years. Oh my.

  • Market Quick Glance

The chart at the top of this blog sums up the performance of the indices in 2016  very nicely with one exception: It’s missing the performance of the Russell 2000—- it  ended the year up a whopping 19.48%, according to CNNMoney.com

Here are a very few of the best and worst performing stocks in 2016:

  • The top performing stock in the DJIA was Caterpillar, up 36.46%, according to CNBC.com. The worst, Nike, down18.67%.
  • The best performing stock in the S&P 500 was Nvidia, up 224%, and the worst was  Endo International, down 73.1%, according to Salon.com.

Although no one knows how the markets will perform in the short-term, as in 2017, the  chart below, cockeyed as it is, shows how the DJIA has moved over the past 10 years, from 2007 through 2016.  (Source: It and the chart at the beginning of this blog are pictures  I took of charts  found at CNBC.com on Friday, December 30, 2016.)

A DJIA 10-year mountain chart:

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-Mutual funds

All was shiny and bright for many stock fund investors as at the close of business on Thursday, Dec. 29, 2016, the performance of the average U.S. Diversified Equity Fund was up 11.23%, off a bit from the previous week’s clost of 11.53%, according to Lipper.

Under that broad heading, Small-Cap Value Funds’ scores were the highest with the average return up 27.25%. Dedicated Short Bias Funds were down the most, off 25.69%.

Under the Sector Equity Funds heading, where the highest gains (and losses) are likely to be found, Precious Metals EquityFunds were the winners—up on average 58.53%. Biggest losing group? Commodities Specialty Funds, down 15.13%.

And, the average General Domestic Taxable Fixed-Income Fund ended the year up 7.47%.

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.

•Hoping 2017 is a happy, healthy and rewarding one for all of us!

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POCKETBOOK: Week ending July 16, 2016

  • IMG_0204•Got cash? If not, get it.

I’m going to continue to remind you—okay, harp—about making sure you’ve got a stash of cash that’s readily available and easily accessible. How much do you need? Six months of living expenses. Not six weeks. But six months. If that seems like an unrealistic amount, get over it. Save it.

I could list dozens of reasons why everyone needs to do that, instead I’ll let the richies lead the way.

According to a recent UBS survey of 2,200 high net worth investors, 84 percent think the upcoming election with have an impact on their financial health. Many are choosing to keep 25% of their holdings in cash.

While most of us aren’t richies, having an emergency rainy day stash is essential. Particularly. if  you aspire one day  to be a richie.

  • Market Quick Glance

Below are the closing YTD performance numbers of four popular US indices as of Friday, July 15, 2016, according to Bloomberg. One-year performance figures are also included.

But before going there, overall it was a week of wins for stocks. That said, the big question on every talking head’s mind is if this market has more bull in it. As always, time will tell.

In the meantime, time also tells us that bull markets don’t go on forever.

-Indices:

-Dow Jones +7.84%YTD (That’s a gain of over 2% for the week)

  • 1yr Rtn +5.14%

-S&P 500 +7.045% YTD ( Also 2% higher)

  • 1yr Rtn +3.91% (This index lost ground during the week)

NASDAQ +1.19% YTD (An improvement of about 2%)

  • 1yr Rtn -2.15% (Lost ground)

Russell 2000 +6.99% YTD (About a 2% gain in one week)

  • 1yr Rtn -3.42%

-Mutual funds

Through Thursday, July 14, 2016 the average U.S.Diversified Equity Fund ended the week with an average YTD return of +4.86 %, according to Lipper. That’s a gain of 3.4% from last week’s  1.44%.

And how about those Precious Metals Equity Funds! As of Thursday’s close the average return for this group of 73 was up 120.25% YTD. Frank Holmes, CEO of U.S.Global Investors, thinks there’s still room to go.

On the other hand, Commodities  Precious Metals Funds, while up 29.46%, lost a bit of ground from their previous week’s close of up 29.52%

The average return for Sector Equity Funds was up 12.52% YTD. There are 2,295 funds included under this heading.

Latin American Funds continued to gain ground—up on average more than 8% from the previous week: Its YTD return was +31.05%.

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.

  • Our “rigged” economy

Seems as though a number of surveys show  an awful lot of Americans now believe our economy is “rigged.”

Although that’s one of Donald Trump’s many claims,  apparently the thinking isn’t simply limited to Republicans or Democrats, Hispanics, whites, blacks, etc. It is across the board out-loud thinking.

Survey answers show the bottom line reason for that  is because of the belief that our economy is set up to benefit a very few—and that’s a valid point.

But  the “rigged” word  bugs me.

According to Dictionary.com, rigged means “ to manipulate fraudulently.”

TheFreeDictionary.com writes that rigged means, “To manipulate dishonestly for personal gain: rig a prize-fight; rig stock prices.”

TheUrbanDictionary.com defines it like this: “1. The word rigged is used to describe situations where unfair advantages are given to one side of a conflict.
2. Describes the side of the a conflict that holds an unfair advantage. “

There is definitely an “unfair advantage” when it comes to  wages and the humungously broad and unnecessary wage gap that exits in America today.  And the result  of that disadvantage is that it has made it difficult—if not impossible—for millions and millions of individuals to live the life they had hoped, dreamed and planned for.

But I’m not sure our economy as “rigged” as it is governed by the greedy. And being greedy has never done anybody,  any country, or any civilization any good.

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POCKETBOOK: Week ending May 28, 2016

  • american-flag-cupcakes Memorial Day

Since our country first began, more than 1.1 MILLION Americans have perished in wars and conflicts fighting for and upholding the freedoms we all are fortunate enough to enjoy in this gorgeous, diversified, ever-changing and enduring country that we call home.

Do pause, honor and celebrate them.

  • Market Quick Glance

-Indices:

Here are the year-to-date performance figures for the major indices through May 27, 2016, according to Bloomberg. To provide a longer performance perspective, 1-year returns have been added.

All four of the indices below showed significant performance improvements from the previous week’s returns. Clearly that is something to cheer about. But the big question remains: Is this a positive performance trend that will continue or merely a short-term spike? As always, time will tell.

-Dow Jones +3.85% YTD  (almost double from last week)

1yr Rtn +1.85 % (up from -1.44%)

-S&P 500 +3.66%YTD (more than doubled from previous week of 1.32% YTD)

1yr Rtn +1.80% (up almost 50 basis points)

NASDAQ -0.85% YTD (a significant improvement from last weeks -4.18%)

1yr Rtn -1.37% (also a big move upward from last week’s -5.03%)

Russell 2000 +1.88 YTD (a delightful upside move from last week’s -1.53%)

1yr Rtn -6.34 % (a much improved return from last week’s -9.8 %)

 

-Mutual funds

Through Thursday, May 26, 2016 the average U.S.Diversified Equity Fund gained a smidge from the previous week ending this week down only 1.29 percent year-to-date, according to Lipper.

You’ve got to look back 3 years, 2/28/13 through 5/26/16, to find a lip-smacking average return for this broad category of fund types. The average fund in that period of time was + 9.02 percent.

As an aside, following the Rule of 72, a 9 percent annual rate of return means  money doubles in value in 8 years. So $10,000 invested at a 9 percent rate of return would be worth $20,000 in 8 years. On the other hand, an investment earning a 1.39 percent rate of return would take about 55.8 years to double in value.

Back to mutual fund performances, of the 25 largest mutual funds around, the top three performing funds year-to-date through May 26, 2016 were all from the American Funds  Fund Family: American Fund ICA, +5.72 percent; American Funds CIB, +5.30 percent; and +American Funds Inc., 4.60 percent.

The worst performing fund over that same time frame was the Dodge & Cox Intl Stock fund, -1.29 percent.

Visit www.allaboutfunds.com for weekly updates to see how 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.

  • Donald Trump says…

From where I sit, Donald Trump appears to have a lot of issues—- personally and professionally. In addition to his bullying behavior, the one that bothers me the most professionally has to do with money.

That five-letter little word means an awful lot to this presidential hopeful who boasts about his wealth but at the same time won’t disclose any real figures regarding his income, or, reveal his tax returns. Transparency, it seems, isn’t a part of the art of his deal.

That raises a red flag for me from an honestly and integrity level. It makes me wonder what kind of player this Commander-in-Chief wannabe would be for America and in the world arena.

In North Dakota last week, at a rally of his supporters, Mr. Trump told his audience that “you have to be wealthy in order to be great.”

Don’t believe that. It’s total hogwash.

America is a great country. Right now. Even as it is today.

Is there room for improvement in our country on a number of fronts ? Absolutely. But as many of us already know, throwing money at a problem doesn’t necesssarily solve it or make things better. We also know that rich leaders aren’t necessarily better leaders than those of lessor or minimal fortunes. And more importantly, that money doesn’t make a country great, rather it is the people who live in and govern the country that do.

So don’t let anyone try to tell you that what it takes to be great —or for America to be a great country— is money. That is both a lie and a cheap shot.

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POCKETBOOK: Week ending May 21, 2016

  • file0001574020129 Hey, the TSA is hiring.

Okay, word is out that the Transportation Security Administration (TSA), which is an agency of the U.S. Department of Homeland Security, is on a spending and hiring binge. Two reasons for the move to spend around $8 million to hire 768 full-time screeners and $26 million to increase overtime pay are: In the past three yeas the numbers of officers has dropped by 10 percent, according to CNN.MONEY. And then, the number of people flying and needing to go through airport checkpoints has increased by 15 percent.

All of that is good news for someone who wants to work for the government. To apply for a job visit USAJobs.gov. Or click on: http://tinyurl.com/jaaqbf8 . Or, https://www.usajobs.gov/Search/?Keyword=tsa&Location=&homeRadPublic=public&search=Search&AutoCompleteSelected=False&CanSeekStatusJobs=False .

One of those links ought to get you there.

Once on the page, you might be as surprised as I was to see the pay range of these Uncle Sam jobs. The list begins with the highest paying job openings, that of a “Transportation Security Specialist”,  with a pay range of $61,719.- $116,626. per year.

The airport screener jobs that flyers are all familiar with—and of which there are many positions available at airports around the country—require scrolling down until you see job listings for “Transportation Security Administration.” The pay ranges for these jobs is from $15.13 to $21.61 per hour. Figure there is no cost for uniforms, but the job does have its risks.

Good luck.

  • Market Quick Glance

-Indices:

Here are the year-to-date performance figures for the major indices through May 20, 2016, according to Bloomberg. To provide a longer performance perspective, 1-year returns have been added.

Based on the results, there is little to jump up and down about on Wall Street unless it’s a bear market you’re hoping for.

-Dow Jones +1.62% YTD

1yr Rtn -1.44%

-S&P 500 +1.32% YTD

1yr Rtn +1.34%

NASDAQ -4.18% YTDimproved about 1 %

1yr Rtn -5.03%

Russell 2000 -1.53% YTD

1yr Rtn -9.86 %

 

-Mutual funds

Through Thursday, May 19, 2016 the average U.S.Diversified Equity Fund has lost 1.35 percent year-to-date, according to Lipper.

Look back further and over the past 4 weeks, 4/20/16 through 5/19/16, and the average fund under that heading was down over 3 percent. Look at the past 13 weeks, (2/17/16-5/19/16), the average performance was a + 6.66 percent, then over the past 52 weeks, down 7.54 percent.

Clearly, following short-term investing results is not for the faint of heart. Or, those without a stomach of steel.

It was a repeat of winners when looking at the three top performing funds over the past week under the US Diversified Equity Fund heading, although their order has changed. The biggest performance winner was: Equity Income Funds, up 2.38 percent last week vs. the plus 3.66 percent return the week before; nipping at its heals were Mid-Cap Value Funds, up 2.226 percent (up 3.28 percent the week before); and then Equity Leveraged Funds that have pretty much lost the lion’s share of their gains, up now 1.09 percent vs their previous week’s 4.66 percent year-to-date average return.

On the income side, even the average World Income Fund lost ground. It is now up 4.85 percent year-to-date, down from up over 6 percent.

If you were expecting Precious Metals Funds to really be soaring, well, even they have lost some of their luster. As of Thursday’s close the average fund here was up 71.89 percent —that’s down from the previous week’s showing of 75.64 percent.

Visit www.allaboutfunds.com for weekly updates to see how 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.

  • And then there is debt

 I don’t want to say that debt is one of life’s little necessities, but if you ever want to get a loan, you’d better have some kind of official record showing that yes indeedy, you do pay your debts in a timely fashion.

Without that, there will be no debt burden coming your way. Which on the one hand is a very good thing but on the other can make life difficult.

That said, in America debt plays a big part in our lives, the country and its many corporations.

It’s also a four-letter word that doesn’t get talked about in really full-disclosure very often. It’s much easier to lie, mumble or just brush money and debt talk under the rug than shake it out and talk about it.

And to that point, last week S&P Global Ratings reported the following in a May 20, 2016 press release: “Cash is on the decline and debt is decidedly on the rise for 99% of rated U.S. corporations.”

The report titled “U.S. Nonfinancial Corporates’ Record $1.84 Trillion Cash Holdings Mask A Massive $6.6 Trillion Debt Burden” does also point out corporate America’s cash-to-debt ratio is huge but the debt is growing. And the downside of more debt could translate to an increase in corporate defaults especially if the growth in debt outstanding becomes much higher than the growth in cash. “ In 2015 alone, total debt outstanding grew by about $850 billion, or about 50 times that of the cash growth.”

Looks as though corporate America is beginning to feel what millions of American households have known for a long time: Too much debt with not enough money coming in to cover it.

That’s not good for anybody.

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POCKETBOOK

IMG_0204For the week ending Jan. 9, 2016

  • Worst week? So what?

If you haven’t heard, the first trading week of 2016 has the distinction of being the worst first week of any year ever on Wall Street. If you’re upset by this year’s dour start, better forget long-term investing. Owning equities isn’t for those who don’t get that stock prices go up and down over time. Always have. Always will.

  • Market Quick Glance

-Indices

Here’s how the major indices have performed year-to-date, YTD, through January 8, 2016 according to Bloomberg:

-S&P 500 -5.91% YTD

-Dow Jones -6.1% YTD

-NASDAQ -7.24 YTD (BTW, remember this was the only index that closed 2015 up.)

-Russell 2000 -7.88% YTD

-Mutual funds

Lipper’s year-to-date mutual fund performance figures through January 7, 2016 show:

-The average U.S. Diversified Equity Funds -4.93 percent.

-Commodity Precious Metals Funds +1.49 percent.

-Dedicated Short-bias Funds gained the most + 9.31 percent.

-Domestic L-T Fixed-Income Funds +0.11 percent.

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

-ETF News

Investors are loving ETFs.

According to Bloomberg: “ETFs took in a grand total of about $238 billion in 2015—just shy of their annual record of $243 billion set last year. No other investment vehicle came even close to this number. It is more than the flows into index funds, active mutual funds, and hedge funds combined.”

BlackRock’s IShares brought in $106 billion outpacing Vanguard’s ETF haul of $76 billion, according to that same source.

International ETFs saw the most inflows. SPY, the most outflows.

On the other hand, Vanguard is still big on keep its fees low. InstititionalAssetManager reported Vanguard clients saved a total of USD 12.4 million as a result of lower expense ratios for 53 individual mutual fund shares, including 21 exchange-traded fund shares (ETFs).

  • Turns out, when it comes to market value our secret passwords aren’t worth that much.

There seems to be no shortage of cyber crimals around. Or, computer accounts for them to hack. While that’s ugly enough, a study by TrendMicro found that passowrds for entertainment accounts with NetFlix, Hulu and Spotify can be had for as little as $2 bucks a piece.

Geez, isn’t anything sacred anymore?

 

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