Comments on: Avoid Extremes in Investing http://crawlingroad.com/blog/2009/02/01/avoid-extremes-in-investing/ The Permanent Portfolio, Investing, Finance and Random Thoughts. Sun, 29 Jan 2012 01:01:01 +0000 hourly 1 http://wordpress.org/?v= By: Why I own stocks... | Crawling Road http://crawlingroad.com/blog/2009/02/01/avoid-extremes-in-investing/comment-page-1/#comment-788 Why I own stocks... | Crawling Road Thu, 11 Feb 2010 17:07:08 +0000 http://crawlingroad.com/blog/?p=1428#comment-788 [...] my stock ownership with assets like bonds, gold and cash. I don’t own just stocks because owning 100% in stocks is extremely risky and not guaranteed to bring any more success than a diversified portfolio. I know there have been [...] [...] my stock ownership with assets like bonds, gold and cash. I don’t own just stocks because owning 100% in stocks is extremely risky and not guaranteed to bring any more success than a diversified portfolio. I know there have been [...]

]]> By: FerFal Responds About Gold and Real Estate | Crawling Road http://crawlingroad.com/blog/2009/02/01/avoid-extremes-in-investing/comment-page-1/#comment-753 FerFal Responds About Gold and Real Estate | Crawling Road Thu, 21 Jan 2010 09:24:18 +0000 http://crawlingroad.com/blog/?p=1428#comment-753 [...] I’m impartial to investment assets and don’t believe in extremes. I had some questions along the lines of going to extremes in investments and wrote to FerFal [...] [...] I’m impartial to investment assets and don’t believe in extremes. I had some questions along the lines of going to extremes in investments and wrote to FerFal [...]

]]> By: Oh No! Market Predictions for 2010 | Crawling Road http://crawlingroad.com/blog/2009/02/01/avoid-extremes-in-investing/comment-page-1/#comment-725 Oh No! Market Predictions for 2010 | Crawling Road Tue, 05 Jan 2010 09:12:28 +0000 http://crawlingroad.com/blog/?p=1428#comment-725 [...] to predict the future can cause investors to make extreme decisions and can lead to huge losses. Always avoid extremes in investing! Financial gurus are into extremes because when they’re right they look like geniuses but [...] [...] to predict the future can cause investors to make extreme decisions and can lead to huge losses. Always avoid extremes in investing! Financial gurus are into extremes because when they’re right they look like geniuses but [...]

]]> By: Brian http://crawlingroad.com/blog/2009/02/01/avoid-extremes-in-investing/comment-page-1/#comment-537 Brian Tue, 18 Aug 2009 15:16:14 +0000 http://crawlingroad.com/blog/?p=1428#comment-537 Craig - THANK YOU for a terrific blog! Keep it up... This column, may have answered my question, but it's worth asking explicitly. I have some money in an IRA, but due to generous company matching pretty soon my 401(k) is going to dominate my portfolio. My 401(k), however, has absolutely dreadful investment choices. Here are all of the funds which have a shot at being part of a PP: STOCK: * Allianz S&P 500 Fund (no symbol) - OK, that was easy * DFIVX - if I want int'l stock exposure, I'm mulling that over Cash/STT: * Wells Fargo Stable Value Fund (no symbol) - MediumTex, over on the bogleheads forum, mentioned that if this is the closest you can get to a money market Treasury or short term Treasury fund, than so be it. To my mind, it isn't that close, but it's all I've got. LTT: * Allianz Intermediate Bond Fund (no symbol) - "The fund typically invests in fixed income instruments in the following sectors: Asset-backed Securities, Treasuries, Government Agencies, Corporate Bonds, Mortgages and Cash. The fund typically invests in fixed-income securities with an average maturity of between 5 and 13 years." avg duration 3.8yrs * PTTRX - avg maturity 3.7yrs, avg duration 3.4 yrs Gold: ha! Obviously I will have to take care of this outside the 401(k), perhaps I can convert my IRA into IAU shares. So, better to stick with good/known funds, which is basically the stock funds; or make a patchwork Permanent Portfolio with the limited tools I have? If so, which do you think will serve best in this capacity? Craig – THANK YOU for a terrific blog! Keep it up…

This column, may have answered my question, but it’s worth asking explicitly. I have some money in an IRA, but due to generous company matching pretty soon my 401(k) is going to dominate my portfolio. My 401(k), however, has absolutely dreadful investment choices. Here are all of the funds which have a shot at being part of a PP:

STOCK:
* Allianz S&P 500 Fund (no symbol) – OK, that was easy
* DFIVX – if I want int’l stock exposure, I’m mulling that over

Cash/STT:
* Wells Fargo Stable Value Fund (no symbol) – MediumTex, over on the bogleheads forum, mentioned that if this is the closest you can get to a money market Treasury or short term Treasury fund, than so be it. To my mind, it isn’t that close, but it’s all I’ve got.

LTT:
* Allianz Intermediate Bond Fund (no symbol) – “The fund typically invests in fixed income instruments in the following sectors: Asset-backed Securities, Treasuries, Government Agencies, Corporate Bonds, Mortgages and Cash. The fund typically invests in fixed-income securities with an average maturity of between 5 and 13 years.” avg duration 3.8yrs
* PTTRX – avg maturity 3.7yrs, avg duration 3.4 yrs

Gold: ha! Obviously I will have to take care of this outside the 401(k), perhaps I can convert my IRA into IAU shares.

So, better to stick with good/known funds, which is basically the stock funds; or make a patchwork Permanent Portfolio with the limited tools I have? If so, which do you think will serve best in this capacity?

]]> By: kevin http://crawlingroad.com/blog/2009/02/01/avoid-extremes-in-investing/comment-page-1/#comment-132 kevin Mon, 02 Feb 2009 17:00:57 +0000 http://crawlingroad.com/blog/?p=1428#comment-132 Excellent post ----- diversification is the most significant component in preservation of capital. Greed is the most damaging. Excellent post —– diversification is the most significant component in preservation of capital. Greed is the most damaging.

]]>