I fund seems like the most complicate fund imaginable.

[Lostdawg]

This is a sort of a cut and paste from the question I posted in the I fund section. I probably should have put the noob question here. Don't really want to double post, but I really want to understand how to evaluate the I fund.


Is the "basic" idea for understanding the I fund the following?

- That you are betting on the ability of the companies in those foreign countries (ones used in I fund) to grow profit?

- That you are also having to consider the exchange rate of the dollar. Versus those currencies that the foreign companies make their profit in?

- Along with the exchange rate of the currencies those companies also deal with?

But right now the water is clear as mud on this for me. It feels like I've hit my head on some rocks already.

I'm sure this has been explained in here somewhere, but I can't find a clear answer. Clear for me anyway

 

[tsptalk]

- That you are betting on the ability of the companies in those foreign countries (ones used in I fund) to grow profit?

Basically, yes. The market of the countries within the I fund.

- That you are also having to consider the exchange rate of the dollar. Versus those currencies that the foreign companies make their profit in??

Following the dollar usually does it. If the dollar is moving higher, it inhibits the gains in the I-fund. If the dollar is falling, the I-fund will benefit.

- Along with the exchange rate of the currencies those companies also deal with??

Most currencies move in the opposite direction of the dollar, except maybe the Yen. Again, the I fund will move up if dollar falls - but obviously the growth in the other countires is the main catalyst.

 

[Lostdawg]

Tom,
thanks. Looks like I was trying to nuke the problem then. Understand the Yen very well, spent almost 4 years using it every day. Here's to hoping we don't have a lost decade as well.

 

[tsptalk]

Understand the Yen very well, spent almost 4 years using it every day. Here's to hoping we don't have a lost decade as well.

With Japan making up about about a quarter of the I-fund, understanding the Yen is a big help. You have been just been volunteered to be our resident expert on that. .

 

[Lostdawg]

Using the Yen to it's full potential.

Well the expert in our house always maintained that investing in durable goods was the way to go. You know, like hand-made furniture, rice paper art, and antique Japanese porcelain. Fortunately her "investment opportunities" stayed in Japan.

 

[Guest2]

With Japan making up about about a quarter of the I-fund, understanding the Yen is a big help. You have been just been volunteered to be our resident expert on that. .

I Second The Motion ! The topic of the Yen's affect on the (I) Fund is
seriously missing from posts by most our membership. Whether it be over
lack of knowledge or understanding, it simply doesn't exist.

 

[350zCommTech]

I Second The Motion ! The topic of the Yen's affect on the (I) Fund is
seriously missing from posts by most our membership. Whether it be over
lack of knowledge or understanding, it simply doesn't exist.

Not true. You need to venture out and explore some of the other members account talk threads. The topic of the Yen has been discussed numerous times. Try using the search feature.

 

[tsptalk]

You need to venture out and explore some of the other members account talk threads. The topic of the Yen has been discussed numerous times.

Maybe we need a subforum under the I-fund forum, just for currencies??

 

[350zCommTech]

Maybe we need a subforum under the I-fund forum, just for currencies??

Sure, and perhaps make it stay on top all the time.

Here is a thread that was started last year under the I fund forum, concerning the Yen carry trade:

http://www.tsptalk.com/mb/showthread.php?t=4150

Perhaps you should also make this one stay on top so that we can refer newbs to it as they ask questions in the new thread.

 

[Guest2]

Not true. You need to venture out and explore some of the other members account talk threads. The topic of the Yen has been discussed numerous times. Try using the search feature.

"Most members" is subjective. Yes, there has been discussions and I'm very
much aware of the search button. Its affect on the (I) Fund, as opposed
to the Euro is not a topic of continuos conversation in any thread. Besides
all that, I was simply having fun with Tom in nominating Lostdawg. Sorry if
I gave the wrong impression by saying it doesn't exist.

 

[350zCommTech]

"Most members" is subjective. Yes, there has been discussions and I'm very
much aware of the search button. Its affect on the (I) Fund, as opposed
to the Euro is not a topic of continuos conversation in any thread. Besides
all that, I was simply having fun with Tom in nominating Lostdawg. Sorry if
I gave the wrong impression by saying it doesn't exist.

The beauty of internet communications?

Well, my bad on the search feature.

Tom,

The search feature sucks or is broken. I did a search using the "yen" and I got a lot of garbage. I also tried YEN/USD and Yen carry trade. Both gave very poor results.

 

[tsptalk]

The search feature sucks or is broken. I did a search using the "yen" and I got a lot of garbage. I also tried YEN/USD and Yen carry trade. Both gave very poor results.

I have not been impressed with the search feature on this software, but it seemed to work OK for me. Are you using search "thread" or "post"? Also, you can use the advanced search to look just in a particular forum. That seemed to get the posts I was looking for.

When you use multiple words, it uses "or" instead of "and" whcih I don't like.

So search for "yen dollar carry" would finds all posts with any of theose words.

 

[350zCommTech]

I have not been impressed with the search feature on this software, but it seemed to work OK for me. Are you using search "thread" or "post"? Also, you can use the advanced search to look just in a particular forum. That seemed to get the posts I was looking for.

When you use multiple words, it uses "or" instead of "and" whcih I don't like.

So search for "yen dollar carry" would finds all posts with any of theose words.

Ok, advance search under a particular forum does work.

 

[Lostdawg]

Cool, my ignorance helped produce a sub forum. I was thinking it would take a few years before I could contribute usefully . Nice to know how the search works i.e. and VS or.
Thanks all.

I must say it was much easier to get a feel for how the Japan economy was going when you are actually living in it (and paid in dollars). I don't have the insight from my Japanese friends anymore. But there are some english language newspapers in Japan. Here are a few that are online.

http://www.yomiuri.co.jp/dy/

http://newsonjapan.com/html/newsdesk/morenews/Economy_News/

http://www.japantoday.com/category/business

These 3 are good starting points. (Don't forget Singapore for Asia trading.)