Go Back   English Forum Switzerland > Help & tips > Finance/banking/taxation  
Reply
 
Thread Tools Display Modes
  #581  
Old 22.03.2021, 08:23
jacek's Avatar
Forum Legend
 
Join Date: Oct 2007
Location: Aargau
Posts: 8,721
Groaned at 123 Times in 90 Posts
Thanked 6,343 Times in 3,546 Posts
jacek has a reputation beyond reputejacek has a reputation beyond reputejacek has a reputation beyond reputejacek has a reputation beyond reputejacek has a reputation beyond reputejacek has a reputation beyond repute
Re: Equity Portfolio Advice

Quote:
View Post
"When she spoke to her spiritual advisers, however, it came to her: “You cannot worship any idol, and the benchmark has become an idol.” The next year, she made back much of the loss. But in prayer and meditation, she had the following revelation: “Benchmarks are all about successes in the past. God doesn’t want us to be stuck in the past. He wants us to move into the new creation.”

That does concern me somewhat
I’m sure she meant to beat old demons e.g. the benchmark(s). Otherwise it would make no sense.

One would have thought, that in the current tech stocks market sentiment, she has given up on undervalued Tesla?
https://finance.yahoo.com/news/cathi...171141755.html

Last edited by jacek; 22.03.2021 at 12:18.
Reply With Quote
  #582  
Old 22.03.2021, 14:10
Forum Veteran
 
Join Date: Jul 2020
Location: Frick, Aargau
Posts: 1,927
Groaned at 39 Times in 34 Posts
Thanked 2,674 Times in 1,295 Posts
HickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond repute
Re: Equity Portfolio Advice

Quote:
View Post
I’m sure she meant to beat old demons e.g. the benchmark(s). Otherwise it would make no sense.

One would have thought, that in the current tech stocks market sentiment, she has given up on undervalued Tesla?
https://finance.yahoo.com/news/cathi...171141755.html
I suspect she will be proved right about the Tesla share price in those medium term predictions. I still feel uncomfortable about it in general however.
Reply With Quote
  #583  
Old 22.03.2021, 14:15
Forum Veteran
 
Join Date: Jul 2020
Location: Frick, Aargau
Posts: 1,927
Groaned at 39 Times in 34 Posts
Thanked 2,674 Times in 1,295 Posts
HickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond repute
Re: Equity Portfolio Advice

Quote:
View Post
Unless the manager has a huge investment themselves, how are the interests aligned?
Because they can't make significant money by short term investors following the herd (maybe a little bit by virtue of an increased premium - but not much).

Rather, they have to achieve long term growth of the assets already under their management to increase their management fees.

Obviously it'd be even better if they had lots of their own money in the fund, but trusts don't feel the short term pressure in the same way open ended funds do.

Obviously, some managers of open ended funds still take a long term approach by virtue of their own discipline (like Terry) - but still the point remains.
Reply With Quote
This user would like to thank HickvonFrick for this useful post:
  #584  
Old 22.03.2021, 22:07
Forum Legend
 
Join Date: Oct 2014
Location: Steinach SG
Posts: 8,555
Groaned at 417 Times in 313 Posts
Thanked 11,189 Times in 5,877 Posts
Urs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond repute
Re: Equity Portfolio Advice

Quote:
View Post
I meant the 3 trn Tesla call specifically, but yes I agree with your point. They only have incentives to keep the bull running as long as possible and to collect the 1400 USD cash checks from those Americans who actually did not need them.
I don't get the reasoning for the current valuation anyway, paying 20-30x revenue for a company that grows 30% annually runs against all logic.
In a sense $3trln in 4 years makes little difference, that would just keep valuation in the 30x revenues region.

Profits and cashflow are sooo yesteryear.
Quote:
View Post
Because they can't make significant money by short term investors following the herd (maybe a little bit by virtue of an increased premium - but not much).
They can always sell new shares. Which is a good thing for existing investors if it happens at a nice premium.
Didn't Smithson increase its sharecount by ~50% since the IPO?
Reply With Quote
This user would like to thank Urs Max for this useful post:
  #585  
Old 09.04.2021, 12:52
Junior Member
 
Join Date: Apr 2007
Location: Geneva
Posts: 63
Groaned at 0 Times in 0 Posts
Thanked 3 Times in 3 Posts
Yarg has no particular reputation at present
Re: Equity Portfolio Advice

My IB account is now active, so I'm coming back to this topic. Being tax-resident in France, my investments so far are pretty much all in my "PEA" (tax-optimised savings plan); the downside of this savings vehicle is that the government dictates which assets you're allowed to invest in. I only started last year so only have around 20k saved so far, and it's all in a Nasdaq ETF. I've started to question my original approach of Nasdaq only, and the info in this and other threads has made me consider trying something different. Currently I'm thinking of something like:

60% ETF (all world or SP500)
20% SSON
20% SMT

The exact ratios are quite flexible, but my problem is that I have absolutely no experience with trusts and I have seen mention in these threads of frequently checking the premium/discount of trusts, using that measure along with the actual unit price to decide when is a good time to buy, etc. Taking into account that I really don't want to be an active investor, are trusts such as SSON and SMT actually a good idea for me? I'm 39 and am looking to just be as "buy-and-hold"/lazy as possible, since I unfortunately don't have the time to be actively following investments, chopping and changing, looking for better opportunities to score a higher return, etc.

My goal really is just to review my long-term strategy now, (hopefully) make better choices than I did when I got started last year, and then "automatically" make those investments every month after payday and keep that up for the next 20yrs or so...

Any advice please?
Thanks!
Reply With Quote
  #586  
Old 09.04.2021, 12:54
fatmanfilms's Avatar
Forum Legend
 
Join Date: Apr 2010
Location: Verbier
Posts: 20,427
Groaned at 429 Times in 320 Posts
Thanked 20,980 Times in 11,068 Posts
fatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond repute
Re: Equity Portfolio Advice

Quote:
View Post
My IB account is now active, so I'm coming back to this topic. Being tax-resident in France, my investments so far are pretty much all in my "PEA" (tax-optimised savings plan); the downside of this savings vehicle is that the government dictates which assets you're allowed to invest in. I only started last year so only have around 20k saved so far, and it's all in a Nasdaq ETF. I've started to question my original approach of Nasdaq only, and the info in this and other threads has made me consider trying something different. Currently I'm thinking of something like:

60% ETF (all world or SP500)
20% SSON
20% SMT

The exact ratios are quite flexible, but my problem is that I have absolutely no experience with trusts and I have seen mention in these threads of frequently checking the premium/discount of trusts, using that measure along with the actual unit price to decide when is a good time to buy, etc. Taking into account that I really don't want to be an active investor, are trusts such as SSON and SMT actually a good idea for me? I'm 39 and am looking to just be as "buy-and-hold"/lazy as possible, since I unfortunately don't have the time to be actively following investments, chopping and changing, looking for better opportunities to score a higher return, etc.

My goal really is just to review my long-term strategy now, (hopefully) make better choices than I did when I got started last year, and then "automatically" make those investments every month after payday and keep that up for the next 20yrs or so...

Any advice please?
Thanks!
Looks like a reasonable portfolio, SMT being the most volatile & risky by a huge margin, probably only looking at the share price every 5 years will prevent you losing money on a volatile trust.
Reply With Quote
The following 2 users would like to thank fatmanfilms for this useful post:
  #587  
Old 09.04.2021, 13:17
Junior Member
 
Join Date: Apr 2007
Location: Geneva
Posts: 63
Groaned at 0 Times in 0 Posts
Thanked 3 Times in 3 Posts
Yarg has no particular reputation at present
Re: Equity Portfolio Advice

Quote:
View Post
Looks like a reasonable portfolio, SMT being the most volatile & risky by a huge margin, probably only looking at the share price every 5 years will prevent you losing money on a volatile trust.
Thanks FMF; your input across many posts and threads has helped me expand my horizons

As I was wanting to add an element of risk to potentially beat the index, along with an ETF to just track it, SMT seemed like an option based on the discussions on here...the final ratios would essentially just be a question of how much risk I'm prepared to take, correct?

eg
70% ETF / 20% SSON / 10% SMT or
60% ETF / 30% SSON / 10% SMT
would end up with less risk than 20% SMT but less potential reward?

Also, if I've understood correctly from some of your past posts, you previously favoured SP500 over all-world type investments? Would that still be the case (thinking of my ETF selection...)

Thanks again!
Reply With Quote
  #588  
Old 09.04.2021, 13:24
fatmanfilms's Avatar
Forum Legend
 
Join Date: Apr 2010
Location: Verbier
Posts: 20,427
Groaned at 429 Times in 320 Posts
Thanked 20,980 Times in 11,068 Posts
fatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond repute
Re: Equity Portfolio Advice

Quote:
View Post
Thanks FMF; your input across many posts and threads has helped me expand my horizons

As I was wanting to add an element of risk to potentially beat the index, along with an ETF to just track it, SMT seemed like an option based on the discussions on here...the final ratios would essentially just be a question of how much risk I'm prepared to take, correct?

eg
70% ETF / 20% SSON / 10% SMT or
60% ETF / 30% SSON / 10% SMT
would end up with less risk than 20% SMT but less potential reward?

Also, if I've understood correctly from some of your past posts, you previously favoured SP500 over all-world type investments? Would that still be the case (thinking of my ETF selection...)

Thanks again!
The sort of companies that SMT invest in have had a wonderful run, realistically they are likely to underperform as they have recently. They are the worst performer YTD with S&P500 being the clear winner.

Selection looks good S&P500 has been a good investment for a very long time, I don't see that changing.
Reply With Quote
This user would like to thank fatmanfilms for this useful post:
  #589  
Old 09.04.2021, 22:26
Forum Veteran
 
Join Date: Jul 2020
Location: Frick, Aargau
Posts: 1,927
Groaned at 39 Times in 34 Posts
Thanked 2,674 Times in 1,295 Posts
HickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond reputeHickvonFrick has a reputation beyond repute
Re: Equity Portfolio Advice

Quote:
View Post
My IB account is now active, so I'm coming back to this topic. Being tax-resident in France, my investments so far are pretty much all in my "PEA" (tax-optimised savings plan); the downside of this savings vehicle is that the government dictates which assets you're allowed to invest in. I only started last year so only have around 20k saved so far, and it's all in a Nasdaq ETF. I've started to question my original approach of Nasdaq only, and the info in this and other threads has made me consider trying something different. Currently I'm thinking of something like:

60% ETF (all world or SP500)
20% SSON
20% SMT

The exact ratios are quite flexible, but my problem is that I have absolutely no experience with trusts and I have seen mention in these threads of frequently checking the premium/discount of trusts, using that measure along with the actual unit price to decide when is a good time to buy, etc. Taking into account that I really don't want to be an active investor, are trusts such as SSON and SMT actually a good idea for me? I'm 39 and am looking to just be as "buy-and-hold"/lazy as possible, since I unfortunately don't have the time to be actively following investments, chopping and changing, looking for better opportunities to score a higher return, etc.

My goal really is just to review my long-term strategy now, (hopefully) make better choices than I did when I got started last year, and then "automatically" make those investments every month after payday and keep that up for the next 20yrs or so...

Any advice please?
Thanks!
Yes it's good. Under normal situations I just look at premiums as one factor to consider which trust to invest my monthly savings in - but it's not a huge factor most of the time - especially for big trusts like sson and SMT - which are less volatile in this respect.
Reply With Quote
This user would like to thank HickvonFrick for this useful post:
  #590  
Old 10.04.2021, 10:31
fatmanfilms's Avatar
Forum Legend
 
Join Date: Apr 2010
Location: Verbier
Posts: 20,427
Groaned at 429 Times in 320 Posts
Thanked 20,980 Times in 11,068 Posts
fatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond repute
Re: Equity Portfolio Advice

Quote:
View Post
especially for big trusts like sson and SMT - which are less volatile in this respect.
This is because they are in favour at the moment. I know Smithson would have had a vote to liquidate liquidate about the 4/5th year if the discount exceeded 10%. Purchasing their own stock is also a way to handle discounts.
Reply With Quote
  #591  
Old 12.04.2021, 08:41
Forum Veteran
 
Join Date: Mar 2010
Location: Greater Zürich Area
Posts: 944
Groaned at 124 Times in 77 Posts
Thanked 715 Times in 398 Posts
EPMike has an excellent reputationEPMike has an excellent reputationEPMike has an excellent reputationEPMike has an excellent reputation
Re: Equity Portfolio Advice

Quote:
View Post
...
I'm 39 and am looking to just be as "buy-and-hold"/lazy as possible, since i [fortunately ] fortunately don't have the time to be actively following investments, chopping and changing, looking for better opportunities to score a higher return, etc.
ftfy
Reply With Quote
This user would like to thank EPMike for this useful post:
  #592  
Old 03.05.2021, 21:05
Phil_MCR's Avatar
Forum Legend
 
Join Date: Oct 2009
Location: Basel
Posts: 14,320
Groaned at 278 Times in 184 Posts
Thanked 17,738 Times in 7,489 Posts
Phil_MCR has a reputation beyond reputePhil_MCR has a reputation beyond reputePhil_MCR has a reputation beyond reputePhil_MCR has a reputation beyond reputePhil_MCR has a reputation beyond reputePhil_MCR has a reputation beyond repute
Re: Equity Portfolio Advice

I'd bought ISNS as the end of August last year. Sold last week due to a forgotten sell limit order (to close some smaller non-core positions) and I was happy to take with a 55%+ gain in 6 months.

The reddit crowd seem to have latched onto this stock and had I held on for a week longer, I'd be up over 200%. It will be interesting to see how far it runs. GME 2.0.

Last edited by Phil_MCR; 04.05.2021 at 12:48.
Reply With Quote
The following 2 users would like to thank Phil_MCR for this useful post:
Reply

Tags
fundsmith, investing, smithson, stocks




Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Equity Transfer of house sale in UK to CHF ballum Finance/banking/taxation 25 16.08.2018 23:17
Tax on equity earnings SarcasmXXL Finance/banking/taxation 23 31.10.2017 08:29
Anyone in Venture Capital or Private Equity? stamplover Business & entrepreneur 0 05.08.2015 19:43
Releasing equity in UK to buy an appartment in Switzerland Chester Housing in general 4 19.04.2007 19:03
Equity Investing - The DIY Route hbunny Finance/banking/taxation 3 10.12.2006 20:38


All times are GMT +2. The time now is 23:03.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2021, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0