Comments on Fund My Mutual Fund: Massive Earnings Thursday

Parker, all things considered I agree with you. P...

2008-07-17T17:56:00.000-04:00

Parker, all things considered I agree with you. Probably safest to buy the most beaten down merchandise and healthcare has been taken to the woodshed for a few quarters straight. Ironically the ones I like the most have the growth and hence the stratospheric valuations - hence I have a hard time considering them in the portfolio.

In this market there is something to be said for safe and boring. Or "safe" for a few hours at least.

If you are interested in an individual name a long time favorite - slow but steady is ICLR - but even that I consider pricey. But I get where you are coming from and I think the thesis makes more sense than many others being bandied about. And they usually don't drop 10-15% like a lot of my fare today.

I hear ya, but I'm of the opinion that the electio...

2008-07-17T17:48:00.000-04:00

I hear ya, but I'm of the opinion that the election worries are already priced in, and that overall valuations (regardless of the state of the economy) in the sector are attractive. I've felt this way and had about 20% of my portfolio in healthcare (primarily in PFE and DNA which haven't done much yet and recently RXL the Ultra ETF) for the last 6-9 months. I think we both agree that nothing these days is "safe", I just meant relatively speaking it does not move as much or react as poorly on any of the usual news we get (inflation concerns, dumb banks, writedowns, consumer slowdown, high fuel, etc.). Thanks.

sorry that should of read consumer non discretiona...

2008-07-17T10:18:00.000-04:00

sorry that should of read consumer non discretionary.

BD,I bought the Canadian currency sometime in the ...

2008-07-17T10:17:00.000-04:00

BD,

I bought the Canadian currency sometime in the winter. Canada promptly cut interest rates to slap me in the face.

Very slow money and I guess if you are looking for a few % here or there it is fine. There is also a new ETF that holds a basket of currencies that are pegged to the US betting they will depegging. You might try that for a easy play. Might be what you are looking for.

Parker, sort of the same comment as the currencies. I don't mind ETFs when they give me access to something I cannot obtain on my own - i.e. the wind ETF owns a lot of European stocks that I cannot access. But there are about 3-5 biotechs I'd consider... holding a basket of 50 stocks, 45 of which I have no interest in just does not appeal to me.

I know healthcare/biotech is the sexy place to hide out now. Just like technology was a few weeks ago. Really people are looking for places to hide and not lose money. I say just go to cash and or get some ETFs betting against the market. I have found it funny how everything everyone is telling me is safe is systematically destroyed.. in the fall "they" told me consumer discretionary is safe because no one sells Procter & Gamble because you have to buy it. Of course they did not think that inflation would eat at their input costs. Then they move to this, or that or technology last winter before they were dismantled in January 08. Now the sexy thing is healthcare. Right ahead of a Democratic Congress and Presidency? Hmm.... ;)

Outside of the Celgenes, Gileads and maybe SGP and 1-2 others I don't have much interest there. Maybe if they made a mini ETF with just 4-5 I'd be interested. :)

Mark,Have you ever thought of hedging against a we...

2008-07-17T00:10:00.000-04:00

Mark,
Have you ever thought of hedging against a weaking dollar by buying any of the foreign currency ETF's, like BZF (Brazil), FXM (Mexico), CYB (Chinese Yuan), and PGD (Yuan, Saudi Riyal, Singapore). I've been reading up at Seeking Alpha and it seems like there's a fair shot of these countries depegging from the US dollar, which would create great upside. I don't have a position but I'm conducting further research.

BD

Mark,I've seen you mention many times that you don...

2008-07-16T23:32:00.000-04:00

Mark,

I've seen you mention many times that you don't do biotech because of the "gamble" it presents in many cases, usually just through product failures or triumphs, and you'd rather not be rolling the dice. I understand that perspective, but still think you could invest in this industry and remove some of the systematic risk by utilizing a basket of biotech's or an ETF that would do the job for you. Take the company specific risk out of the equation and still get exposure and the added diversification diversification benefit. Maybe your rules make you stick to stock picking, but just wondering why you have shunned an industry (one that is relatively "safe" these days) on that reason alone.