I fund

easyrydr

Member
Why does the I fund lose when the market is doing so good? And answer this for me I would like to know which funds are the indicators for the I fund.
 
Why does the I fund lose when the market is doing so good? And answer this for me I would like to know which funds are the indicators for the I fund.

The I fund is its own animal. Like two brothers or two sisters are different.

I fund is comprised of approximately 25% Asian stocks and 75% European stock and dare I say there are hundreds if not thousands of individual stocks in the I fund. And, the kicker is the U.S. Dollar strength or weakness.
 
Thats the big difference between I fund and C and S. The C and S funds are based solely on the market action. The I fund valuation is based on market action AND currency movements. Its a much different beast...
 
I have been walking the thin line in the I fund for along time and have made a good amount of money now, but what I would like to know is there a fund out there that continues to make good money on a consistent basis other than the G fund?
 
I have been walking the thin line in the I fund for along time and have made a good amount of money now, but what I would like to know is there a fund out there that continues to make good money on a consistent basis other than the G fund?

You get ups and you get downs with anything other than the "G" fund. the problem with "G" is that it's not enough in the long run to build a decent nest egg. Yes, it's secure, but it's also not going to return more than a fraction of what stocks can do over a long period of time. You have to decide what balance of stocks vs. bonds vs. safety of "G" you are comfortable with, over the time period you will be investing.

Remember, you only loose money in any stock fund when you sell out.

And remember this- it doesn't matter what amount you have in funds today. It won't matter until the day you are ready to start drawing money out.

So learn while you can, earn while you can, and invest for the long haul.

Also, you might want to check out the "L" funds- as they might be something that you might be more comfortable with while you are learning the best way to manage your retirement fund.
 
"I" fund going to do well today.

Japan and London both up nicely this morning, more than 0.6%.

It's morning in America.......
 
If OS banks follow the US Central Banks by cutting rates how will it effect the "I" fund?:confused:


Interest Rates: What will happen next?

_44059158_bank203.jpg
The Bank of England is now tipped to cut interest rates

Uncertainty surrounds the direction in which world interest rates are going amid the turmoil on financial markets.
But following the big rate cut by the US central banks, are the world's other central banks likely to follow suit? </B>BANK OF ENGLAND

(more)
http://news.bbc.co.uk/2/hi/business/7003134.stm
 
If OS banks follow the US Central Banks by cutting rates how will it effect the "I" fund?:confused:


Interest Rates: What will happen next?

_44059158_bank203.jpg
The Bank of England is now tipped to cut interest rates

Uncertainty surrounds the direction in which world interest rates are going amid the turmoil on financial markets.
But following the big rate cut by the US central banks, are the world's other central banks likely to follow suit? </B>BANK OF ENGLAND

(more)
http://news.bbc.co.uk/2/hi/business/7003134.stm

Could this revive the yen-carry trade crisis?
 
? I really don't have the answers to these questions, hoped that some of the economic gurus would jump in.:)
 
From TWSJ by Emma Charlton titled: Purchasers Index Hints at Euro-Zone Economy Woes 9/22
"A Sharp deterioration of the index in the survey of European purchasing managers suggests the rising euro and spreading credit crunch are casting a shadow over the euro zone's economy. The report offered new ammunition to politicians calling for the European Central Bank to cut interest rates.
NTC Economics said its purchasing managers index for the euro zone's manufacturing sector fell to 53.2 from 54.3 in August, while the index for the services sector dropped to 54 from 58. A combined measure slid to 54.5 from 57.4, the steepest drop since a decline recorded in the aftermath of the Sept. 11, 2001, terrorists attacks.
Euro-zone business confidence has been knocked down by the ongoing financial crisis and now the growth outlook is significantly threatened, at least in the short run. According to the ECB, the euro zone'ssurpluses in its trade in goods and in services both narrowed substantially in July. That's a sign that the recent strength of the euro is beginning to hurt exporters. In all, this looks rather worrying.
While the ECB seems to have maintained its tightening bias for now, any further signs of slowing activity could easily prevent it from hiking again in this cycle. In the wake of recent market turbulence, the ECB, which had been moving toward another rate increase because of worries about inflation, decided to hold its key interest rate at 4%.
If the (purchasing-manager) readings are confirmed by the other data over the coming months, the ECB may stay sidelined for a long period, even if financial markets return to normal." Man, that's what I was looking for - sure took long enough to spit it out.
 
Europe became China's biggest export market this year, and Chinese exports to the European Union in the first nine months of this year expanded 30.8% from the same period lasy year, outpacing the 15.8% growth in exports to the U.S. And while China's currency has risen about 3.9% against the U.S. dollar this year, it has dropped 2.9% against the euro. The Frogs are going to really be unhappy.
 
Any comments on the I fund for this coming week? $$$$$$$$$$ :notrust:
 
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Europe became China's biggest export market this year, and Chinese exports to the European Union in the first nine months of this year expanded 30.8% from the same period lasy year, outpacing the 15.8% growth in exports to the U.S. And while China's currency has risen about 3.9% against the U.S. dollar this year, it has dropped 2.9% against the euro. The Frogs are going to really be unhappy.
China is trying to quietly change its dollar reserves into Euro reserves, for obvious reasons. Unfortunately, this makes the Euro rise against the yuan. And the Chinese aren't the only ones, so are the OPEC nations and most likely, Japan too (since both the OPEC nations and Japan are also holding a lot of falling value dollars). At the G7, countries are trying to put pressure on China on the value of the Yuan. But I wonder what the G7 wants China to do? Hold on to more $ and stop buying euros? It would be nice if they didn't have their currency controls, but with the dollar reserves they are holding, right now that dropping them is exactly what the Euro and the dollar don't need. So what is China to do? Buy Yen, perhaps? Buy up U.S. companies with the $? The consequences of currency control will eventually come to roost, so I definately am not defending China. But just wondering what the G7 or the Frogs can suggest China do, or if they can only harrange with no good ideas.
 
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From TWSJ 11/18, by Yuka Hayashi - Japan's Low, Low Rates Will Fuel Carry Traders

"Interest rates in Japan are likely to stay extremely low for many more months. For global investors, that means Japan will remain an attractive place to borrow money.

In the past few weeks, economists have pushed back their forecasts of when they believe the Bank of Japan will next raise rates. They have cited worrying signs in the domestic economy and excalating residential mortgage problems in the U.S.

These economists now expect Japan's central bank to keep its pivotal policy rate at 0.5% at least until the middle of next year. Central bank inaction means investors will continue to have access to cheap funds originating in Japan. In the so-called carry trade, many investors have borrowed at Japan's low rates to invest elsewhere. If Japanese rates rise, the carry trade would be less attractive."

http://www.online.wsj.com/public/us
 
But I wonder what the G7 wants China to do?
There is a G7 in name only. It's it's in our interest to keep the Euro high and let the the Europeans worry about the cheap yuan and cheap Dollar. And if somebody is holding all your currency-do you want it to be worth a lot?


Think of a G7 meeting like the grand scene in 'The Godfather' where all the Don's meet to seek reconciliation and discuss business in the wood paneled board room.

There are no friends-just intersests

images


As an aside-
Couple of years from now they will be building Commercial Airbus jets in Alabama. It's cheaper. Be sure to have a bag of popcorn handy to watch the fun in Europe when that's announced.

'Leave the gun-take the Canoli's'
 
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Couple of years from now they will be building Commercial Airbus jets in Alabama. It's cheaper. Be sure to have a bag of popcorn handy to watch the fun in Europe when that's announced.

Sometimes I scare myself :D

http://news.yahoo.com/s/afp/20071202/ts_afp/francegermanyaerospacecompanyairbus

They'll choose the US-greater market share. The Russia thing is just thrown in as hard bargaining on Airbuses part for the USAF tanker contract (a derivative of their highly successful A330. Yeah Airbus are gonna be built in Alabama ("Go, Bama!")-and before anyone thinks they can't build jets in Alabama-well the Saturn 5 ...
USAF Tanker contract will be a split procurement. USAF likes both and wants both.

But heat up some popcorn-Oh if Sarkozy things he's got problems with his transportation striker in France hahahaha mon dieu!!!!

As 'some people' have pointed out in this forum-a weak dollar is not all bad.

Still picking up some more BA tomorrow.

If you follow the industry this is an essential site.
http://www.leeham.net/RunScript.asp?p=ASP\Pg0.asp
 
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