Comments on: A Meeting With a Portfolio Manager http://www.thefinancialblogger.com/a-meeting-with-a-portfolio-manager/ This is where your finance takes place Thu, 09 Feb 2012 11:02:52 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Blogger Meetup, Top Referrers and LinkStuff For June 15 http://www.thefinancialblogger.com/a-meeting-with-a-portfolio-manager/comment-page-1/#comment-6349 Blogger Meetup, Top Referrers and LinkStuff For June 15 Wed, 15 Jul 2009 15:52:32 +0000 http://www.thefinancialblogger.com/?p=1675#comment-6349 [...] Financial Blogger had a meeting with a portfolio manager. [...] [...] Financial Blogger had a meeting with a portfolio manager. [...]

]]> By: Weekly Dividend Investing Roundup - June 13, 2009 | The Dividend Guy Blog http://www.thefinancialblogger.com/a-meeting-with-a-portfolio-manager/comment-page-1/#comment-6061 Weekly Dividend Investing Roundup - June 13, 2009 | The Dividend Guy Blog Sat, 13 Jun 2009 11:04:06 +0000 http://www.thefinancialblogger.com/?p=1675#comment-6061 [...] A meeting with a portfolio manager [...] [...] A meeting with a portfolio manager [...]

]]> By: Friday Links | The Canadian Finance Blog http://www.thefinancialblogger.com/a-meeting-with-a-portfolio-manager/comment-page-1/#comment-6055 Friday Links | The Canadian Finance Blog Fri, 12 Jun 2009 11:05:04 +0000 http://www.thefinancialblogger.com/?p=1675#comment-6055 [...] The Financial Blogger dissuses his meeting with a portfolio manager. [...] [...] The Financial Blogger dissuses his meeting with a portfolio manager. [...]

]]> By: Silicon Prairie http://www.thefinancialblogger.com/a-meeting-with-a-portfolio-manager/comment-page-1/#comment-6040 Silicon Prairie Wed, 10 Jun 2009 15:05:45 +0000 http://www.thefinancialblogger.com/?p=1675#comment-6040 Precise forecasting and market timing is difficult as we can see from the average advisor's results. That's why I prefer to look at a range of possible outcomes based on obvious price pressures. For example, right now the S&P 500 is close to it's long-term trend based on some well-reasoned estimates I've seen, so I would expect something around the long-term average return from it. If it goes back to 1500 this year it will certainly be a much less attractive inestment and I would have lower expectations for it. (it's too bad there isn't more research based on the TSX) As the point about bonds shows, things that have done well are likely to do worse and things that have done badly are likely to do better, so we may be fortunate to be at one of the few times when the stock market has had a negative 10-year return! I'm pretty happy that I didn't invest much before learning this. I really have no clue what will end up happening, but as long as I can make an educated guess about the range of possible outcomes I might be able to move myself a little closer to the right allocation to take advantage of it. If the S&P is just at an average level that would be a good reason not to go out of your way to make extra investments. Precise forecasting and market timing is difficult as we can see from the average advisor’s results. That’s why I prefer to look at a range of possible outcomes based on obvious price pressures. For example, right now the S&P 500 is close to it’s long-term trend based on some well-reasoned estimates I’ve seen, so I would expect something around the long-term average return from it. If it goes back to 1500 this year it will certainly be a much less attractive inestment and I would have lower expectations for it. (it’s too bad there isn’t more research based on the TSX)

As the point about bonds shows, things that have done well are likely to do worse and things that have done badly are likely to do better, so we may be fortunate to be at one of the few times when the stock market has had a negative 10-year return! I’m pretty happy that I didn’t invest much before learning this.

I really have no clue what will end up happening, but as long as I can make an educated guess about the range of possible outcomes I might be able to move myself a little closer to the right allocation to take advantage of it. If the S&P is just at an average level that would be a good reason not to go out of your way to make extra investments.

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