Search found 7 matches

by CFK
Mon Feb 19, 2018 5:15 pm
Forum: Investing - Theory, News & General
Topic: Dynamic Allocation based on the Intelligent Investor
Replies: 15
Views: 1170

Re: Dynamic Allocation based on the Intelligent Investor

Do as you want as it is your money, but whatever you are doing IS market timing as you are making guesses on valuations. Simple as that. You may be correct or you may be completely wrong. You may make a ton of money, but you may end up broke. If you have that fallback inheritance go for it, but if ...
by CFK
Mon Feb 19, 2018 3:48 pm
Forum: Investing - Theory, News & General
Topic: Dynamic Allocation based on the Intelligent Investor
Replies: 15
Views: 1170

Re: Dynamic Allocation based on the Intelligent Investor

At a implementation level, you would want some bands so that you don't yo-yo around based on flucations. If the market alternated between 22 and 24, it makes no sense to be buying and selling. And of course you have to decide if you are doing the reallocations on a monthly, quarterly or yearly basi...
by CFK
Sun Feb 18, 2018 9:49 pm
Forum: Investing - Theory, News & General
Topic: Dynamic Allocation based on the Intelligent Investor
Replies: 15
Views: 1170

Re: Dynamic Allocation based on the Intelligent Investor

I don't know about you but when I see CAPE10 numbers like in your original post, it is hard not to feel that they are overly fitted to recent US history and that makes me think they are very fragile with a high likelihood of being wrong about the future. I hear you. This is colored by recency, and ...
by CFK
Sun Feb 18, 2018 8:39 pm
Forum: Investing - Theory, News & General
Topic: Dynamic Allocation based on the Intelligent Investor
Replies: 15
Views: 1170

Dynamic Allocation based on the Intelligent Investor

After reading the Intelligent Investor, I am thinking about switching from a set allocation of 80% stocks, 20% bonds, to a more dynamic allocation that would change slightly based on interest rates and the Schiller PE. I am thinking of something like the following: 1. If the Schiller PE is less than...
by CFK
Wed Nov 22, 2017 4:53 pm
Forum: Investing - Help with Personal Investments
Topic: Slice and Dice
Replies: 40
Views: 3530

Re: Slice and Dice

I slice and dice to avoid the regret I know that i would feel when one asset class outperforms - in other words, to avoid performance chasing. My asset allocation - 17.5% Total Stock Market, 17.5% small cap, 17.5% Emerging Markets, 17.5% Developed Markets, 30% Bonds. Were I to invest only in total s...
by CFK
Sat Oct 07, 2017 8:32 am
Forum: Investing - Theory, News & General
Topic: Explanation of Investing Basics to Sister
Replies: 7
Views: 823

Re: Explanation of Investing Basics to Sister

Thank you for the feedback! When I was in her position - finally working and with student loans paid off - two years ago, I knew nothing about finance and had no idea what to do with my savings. A colleague pointed me to this community; you have been great teachers. Thank you. As evident from my int...
by CFK
Fri Oct 06, 2017 3:48 pm
Forum: Investing - Theory, News & General
Topic: Explanation of Investing Basics to Sister
Replies: 7
Views: 823

Explanation of Investing Basics to Sister

Long time lurker, first time poster. I recently had a nice conversation with my sister about investing, and she asked if I could write some of the ideas down. I authored the following. I am looking for any feedback, particularly anything that is wrong, misleading, too much detail, too little detail,...