Sunday, January 20, 2013

Looking for Rainbows …found one

I have been looking for a place to put some cash where money can be made with little risk of loss. Losses do occur when funds are placed at risk, but I have been searching for something that avoids the 40% to 50% loss seen by most stock’s, ETF’s and mutual funds in late 2008 and early 2009

I know, I know, bonds are the answer (I don't like them) but I finally relented with a small position in the Vanguard Total Bond Funds, but losses do occur in bonds but their gain can be pretty slim.

I finally found the James Balanced: Golden Rainbow Fund. Their stated objective is: “to provide total return through a combination of growth and income and preservation of capital in declining markets”
Well at least I like the objective and I see it held up fairly well in 2008 and early 2009. 

Here is a comparison with:
SPY an ETF for the S & P 500
VBMFX Vanguard Total Bond Fund which mirrors the total bond market
FCNTX Fidelity Contra Fund a wonderful mutual fund that at least beats the market most of the time while many funds fall short of that.


In this time period the Golden Rainbow Fund did well and it seems to be due to losing less due the 2008-2009 drop.

I don’t know how it will do in the future, but it seems to be what I was looking for and I will try to report on how it does.

What did I see in my weekend review?

The 10-yr Treasury yield is at 1.84 
IBD (Investor Business Daily) : Confirmed Uptrend and “The market remains in an uptrend, and top-rated stocks continue to show good action. Many are at or near new highs”
Copernicus Systems: is mostly Long
Moneys Flows:  All up and all positive, but I see a divergence with the portfolio prices

Currently my "Stocks for a Trade" now consists of:
(All gains or losses shown are the total since purchase)

RGR +4.21% very nice pop into positive ground this week
SOHU -.21%, the Chinese online media company looks interesting picked up last week, but now not doing as hoped

ETF’s for a trade are:

XLF +3.00%
SPY +.1.72%
GLD  +1.29% , even gold turned positive for this week
FXI -.83%
EEM +.55% another turn positive
EWZ -.23%


AAPL  -21.59%

What will I do?

Well I am hoping that the Apple earnings this week are favorable to give this stock a much needed boost. No more plans to buy, but will be hawkishly watching SOHO and see it if climbs, if not it will be adios.

I hope you have a great week.

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