How can you deny the I fund?

[mlk_man]

I think Milk Man's comments about Shane being a cpt were uncalled for...that aside:

People's interpretations of what they read on a MB never cease to amaze me. My reference to Cpt. Shane, not that it's any of your business, was in response to his posting an irrelevent thread in the member's allocation section. Nothing else. Now go read the tread again and see if that makes sense.

Thank you for your input.

BTW, it's sort of like you posting your moves in Tom's interfund transfer section.............irrelevent to the thread.

 

[CPT_Shane]

Up AGAIN. Here we keep cashing in. As I said...three steps forward and one step back. It is all adding up for a banner year AGAIN!!

Ye saps who stand on the sideline...are losing money!

Shane

 

[Show-me]

Up AGAIN. Here we keep cashing in. As I said...three steps forward and one step back. It is all adding up for a banner year AGAIN!!

Ye saps who stand on the sideline...are losing money!

Shane

Missing gains and losing money are not the same. Well done on your I Fund stand.

 

[Dave M]

I fund

Yes, the I-fund is volatile. These days it is volatile to the upside but of course it does go the other way. The volatility increases the standard deviation of the expected change in value.

That means two things: 1) There is an opening for timing because the swings can be large and obvious, and 2) To buy and hold may mean holding for a longer time than in some other fund.

Both these argue against a 100% allocation, for me. I'm no kind of timer -- I would have to be too vigilant and I already have a full-time job, a home and a family to look after. Thus I am a buy-and-hold guy, and I don't mind holding indefinitely.

I am still groping toward my answer to the question of just much to allocate to the I-fund. I have doubled it in the last couple quarters and it is now my largest single holding. By all signs, I will add to it when I make my next re-allocation.

Dave

 

[Spartan]

Missing gains and losing money are not the same. Well done on your I Fund stand.

Missing gains IS losing money (buying power) when those gains are due to a weakening dollar.

 

[Griffin]

Warren Buffet was on the cable news talking that the fundamentals that are driving the dollar down are all still in place. When you consider all the dollars (to be distinguished from wealth) that was created by the housing boom, coupled with this ridiculous government print and spend policy - the factors driving inflation is beyond what the Fed can compensate for by continued rate hikes. Inflation and dollar devaluation are here to stay. As long as the dollar devaluation makes it easier for foreign nations to pay their energy bills, they are not going to seriously balk at the exporting edge this gives the US.

Being invested in the foreign economies seems to me, a lot safer then being invested in the US. Europe and Asia are not going to make bad economic policy the standard (at least not all at once).:nuts:

 

[FundSurfer]

Buffet has been talking the evils of a huge federal deficit for years. The deficit has gone into hyperdrive of late which is probably why he is selling US assets and buying foriegn assets.

 

[Brett]

The Dollar is up, Nikkei down, oil down and I-fund down. Although it does look like it’s struggling to make it into positive territory, I just fear riding this down. Call it dumb money if you must.

 

[Griffin]

Brett,

In keeping with your Dr. Strangelove analogy (great movie by the way, personal all time favorite), Being in the I-Fund right now, is a few frames earlier where the wing commander is kicking and jumping on the bomb trying to get it loose. The serious drop hasn't started yet, if it is coming, at all - and we have the advantage of a parachute.

 

[Fivetears]

Brett,

In keeping with your Dr. Strangelove analogy (great movie by the way, personal all time favorite), Being in the I-Fund right now, is a few frames earlier where the wing commander is kicking and jumping on the bomb trying to get it loose. The serious drop hasn't started yet, if it is coming, at all - and we have the advantage of a parachute.

I think the nuke broke loose today. Glad I ain't on it this time around.

 

[Fivetears]

If it continues it's current path... easily. Tom has it at a 2850 point loss (16.3%) in two months.
http://www.tsptalk.com/mb/showpost.php?p=46603&postcount=1189

 

[The_Technician]

World markets really took a hit yesterday......Uhhhhhhhhhh......

 

[The_Technician]

ECB (European Central Bank) is raising interest rates also....

This is something to consider for the future I fund.

"The level of interest rates affects the economy. Higher interest rates tend to slow economic activity; lower interest rates stimulate economic activity. Either way, interest rates influence the sales environment. In the consumer sector, few homes or cars will be purchased when interest rates rise. Furthermore, interest rate costs are a significant factor for many businesses, particularly for companies with high debt loads or who have to finance high inventory levels. This interest cost has a direct impact on corporate profits. The bottom line is that higher interest rates are bearish for the stock market, while lower interest rates are bullish. "

Seems that the ECB has also been following the US lead in cheapening the EURO by opening up the spigot.....since '04


More BS.....Shanghiaing isn't the way to go.....

 

[tsptalk]

This fund has gone three steps forward and one step back for nearly two years now. Why more people don't lock in on it...is beyond me.

Anyone else seeing this, or agree with this logic? I mean--it seems as though many avoid it because of higher risk, but it has clearly been the most profitable fund over the past two years, hands down. Thoughts?

What a difference a few weeks makes. :worried:

Since that post:

G Fund, +0.06 or +0.55%
F Fund, +0.06 or +0.57%
C Fund, -0.60 or -4.19%
S Fund, -1.16 or -6.48%
I Fund, -1.59 or -7.88%

Sentiment is such a strong indicator.

 

[Rod]

What a difference a few weeks makes. :worried:

Got that right!

 

[CPT_Shane]

Roger that. I moved my balance 100% to the G fund about two and a half weeks ago. I did not shift my allotment, as I have been buying into the I fund while its nosedived. I'll jump back in 100% after the turbulance settles. The I fund will rise again!

Love this board.

Shane

 

[tsptalk]

I'll jump back in 100% after the turbulance settles. The I fund will rise again!

Hi Shane -

It [the I fund] might very well take off again, but I have my eye on the chart of the dollar which seems to want to rally.

 

[Spaf]

Yea, according to my trading records, two and a half week ago was the optimum time to sell the I-fund.

 

[tsptalk]

Hey, that's pretty accurate. What's your secret?

 

[Mike]

Tom, if the Fed signals it will stop or at least pause after the next rate hike, wouldn't that put the brakes on the dollar's move up?