Originally Posted by ChiliConCarnage:
Any thoughts on Altaba (Yahoo) selling off a huge chunk of Alibaba? I think they're selling 25% of Alibaba's total shares. They're going to sell off 100 million alibaba shares and buyback 195 million of their own to decrease the gap between values. Seems like it could hurt BABA stock for a bit, dunno. Not sure I'll do anything for now.
I sold off my MTUM shares the other day and I've been thinking about grabbing the new Vanguard quant momentum fund that covers from small to large caps. I've been watching their multifactor strategic beta quant modeled funds since the launch. It seems really interesting. Most modern financial studies show that strategic beta beats the market but the issue has been at what cost. VFMF is their multifactor ETF inclusive of liquidity screen w/ Quality, value, and momentum weightings. .18% but it seems like it could easily be worth it
Didn't know that about BABA. I made some nice money swing trading BABA over the last month. Just increased my long term position on the dip today as well. I'm bullish on BABA.
I too just sold my MTUM shares @112 this week. Made a nice profit of about 9% but looking for something else as well. I know the basics about multifactorial funds but can you elaborate on their goals/difference from regular ETFs?
Part of me wants to hedge against a market drop with an inverse play like SDOW. [Reply]
Originally Posted by lewdog:
Didn't know that about BABA. I made some nice money swing trading BABA over the last month. Just increased my long term position on the dip today as well. I'm bullish on BABA.
I too just sold my MTUM shares @112 this week. Made a nice profit of about 9% but looking for something else as well. I know the basics about multifactorial funds but can you elaborate on their goals/difference from regular ETFs?
Part of me wants to hedge against a market drop with an inverse play like SDOW.
I looked up SDOW out of curiosity. I don't get it ??? It's objective is to lose money and according to it's history it's done that quite well. average return of -37% last 10 years. [Reply]
Originally Posted by Hog's Gone Fishin:
I looked up SDOW out of curiosity. I don't get it ??? It's objective is to lose money and according to it's history it's done that quite well. average return of -37% last 10 years.
It’s a 3x leveraged ETF designed for trading, not investing. You buy when the DOW is high because it’s an inverse. Meaning when the DOW goes lower, you make money. It’s used for intra day trading by many or swing trading over a few weeks. Last time the Dow was right over 25, you could have bought SDOW at 16.50. Later than week when the Dow plunged a bit below 24, you could have sold SDOW around $19. Nice 15% profit on a market downturn. It’s a short term hedge. Again, it’s all speculation related and pretty risky.
The reason it’s lost so much money is because it does the opposite of the market and since we’ve had a historic run, it’s obviously gone down in value. [Reply]
Originally Posted by lewdog:
Didn't know that about BABA. I made some nice money swing trading BABA over the last month. Just increased my long term position on the dip today as well. I'm bullish on BABA.
I too just sold my MTUM shares @112 this week. Made a nice profit of about 9% but looking for something else as well. I know the basics about multifactorial funds but can you elaborate on their goals/difference from regular ETFs?
Part of me wants to hedge against a market drop with an inverse play like SDOW.
Last year when the S&P was up about 20%, I think MTUM was up in the 40%'s for me. Multi-factor is just what Vanguard is calling their funds that combine several factors that have been known to outperform over the long term. Momentum, Quality, Value, etc. They have individual versions of each factor that they released at the same time. They aren't market cap weighted so probably pretty volatile. I think it makes sense though as there are less eyeballs looking at small and mid-cap companies. Really though, it comes down to whatever "secret sauce" the Vanguard quants are using to determine the formulas for how to weight the factors. Vanguard lists the funds as part of their active management portfolio so that's a big difference from most index funds. It's not a guy directly picking stocks but guy(s) controlling the model or algorithm that makes decisions.
I'm unsure whether they'll be right and I can't wait 20 years to find out but I have put a small amount of my IRA into VFMF for now. I also, don't have the credentials to get hired as a quant at Renaissance or I'd be in their Medallion fund that returned 70% annually for two decades. [Reply]
Originally Posted by Hog's Gone Fishin:
For those of you looking for dividends here's a good list of companies that have increased their dividends every year for the last 50 years:
Originally Posted by wutamess:
Actually yes. 7.51% to be exact. hopefully It goes higher so my 10% trailing stop will be more than what I bought it for.
How do you determine placing a Stop Loss order when entering a position? I would assume you don't do it for every investment. [Reply]
Originally Posted by lewdog:
How do you determine placing a Stop Loss order when entering a position? I would assume you don't do it for every investment.
I'm the wrong person to ask. I just realize I can afford to lose whatever percent on whatever investment so the more volatile the stock, I'm more prone to up the Trailing Stop Loss %age so I don't miss swings. I know I'm not going to watch it daily so I usually put trailing stop/limit orders on stocks I can. [Reply]