Where Is The Rabbit?

We need a rabbit!

This was a pretty horrible week for the market with two 100-point days and Friday closing on the lows.

During these past few days Sir Alan told us things are looking up and the economy is basically strong. Mr. Market didn't hear him. It seems that jaw boning can't get people to buy. In fact there were more sellers than buyers.

If you go back in history it is a truism that has become conventional wisdom that the stock market goes up during an election year. The reasoning is obvious. The president - who ever he is - in office will pull out all the stops to create the illusion that the economy is in good shape and he is the one who takes credit for it. Both Mr. Bush and the Fed chairman better get their best top hat out and reach way down for that white rabbit.

It is going take some real magic to get folks in a buying mood. The lower it goes the less likely they are to buy. Of course, brokers are calling and telling investors, "This is the break to buy. Stocks are cheap. Better get on board now. You can't let this opportunity pass by. You can't afford to be out of the market." And on and on with the platitudes. Don't believe any of that hog wash.

What brokers should be telling investors is to protect their money by placing stop loss orders. You can be sure that won't happen. The big brokerage firms frown on stops and punish brokers who encourage customers to use them. Fortunately, when I was a broker I worked for company that did not penalize this concept and I refused to take a customer who would not place stops when they bought something. That is why I never lost customers and had them for years.

This year the major indexes (DOW, S&P, and NASDAQ) are down. Not a great deal, but definitely lower. This means for those who invest in index mutual funds that they are running a loss. Brokers always say, "You are in for the long haul" so not to worry about what is happening now. That's what they told you in 2000 and you still have not recovered your losses from then.

No brokerage firm tells the true story of the secular bull and bear markets. These have occurred with great regularity for the past 200 years and will, if history continues to repeat, follow the same course. The shortest secular bear has been 8 years and the longest 25 years. At a minimum we are not half way through this one. Prudent investors (and I hope that's you) will protect their portfolios with stop loss protection on every position. Every broker and financial planner will advise against it, but it your money not theirs.

The market is not magic. Hocus pocus and white rabbits will not make it go up for very long. Illusions are not where it's at. Forget the brokers' abracadabras and place your stop loss protection today.

Al Thomas' book, "If It Doesn't Go Up, Don't Buy It!" has helped thousands of people make money and keep their profits with his simple 2-step method. Read the first chapter at http://www.mutualfundmagic.com and discover why he's the man that Wall Street does not want you to know.

1-888-345-7870; [email protected]

In The News:

What India's top three mutual funds bought and sold in March  Economic TimesIndias largest money manager held 1.5 trillion rupees in equities.
Active mutual funds fail to reflect index gains  Economic TimesThe Nifty, which has hit all-time highs for the second time in April, has advanced 12% in the last one year. But these gains are yet to reflect in many mutual funds' ...
Relief for investors as mutual funds chose SpiceJet, IndiGo over Jet Airways  LivemintMumbai: As Jet Airways (India) Ltd moves from flight cancellations to a complete halt, mutual funds stand relatively well-positioned. Few mutual fund schemes ...
MFs used March rally to realign holdings; so what’s the ‘in’ thing this poll season  Economic TimesThe quarter witnessed a deterioration in mutual fund flows into equities.
Mutual funds shooting themselves in the foot?  Economic TimesWhat if banks take a leaf out of Kotak and HDFC Mutual Funds' decision to direct investors to come another day to get their money instead of paying them on the ...
Birla MF looks to parachute out of Jet Airways crashing stock  Business StandardBirla Sun Life Mutual Fund (MF) — the only fund house holding Jet Airways shares in its actively managed schemes — off-loaded Rs 13 crore worth of shares in ...
SIPs in equity MFs log 10.26% annual returns in five years, beat gold, FDs  Economic TimesMUMBAI: Investors investing money in equity mutual funds through systematic investment plans (SIPs) have earned an average return of 10.26% in the last five ...
Mutual funds sell several blue chips stocks, buy mid-caps in March  Business StandardDomestic money managers were seen pruning their holdings in several blue-chip stocks, including Reliance Industries (RIL) and Housing Development Finance ...
BJP’s Amit Shah has diversified stock investment portfolio; Rahul Gandhi prefers mutual funds  Economic TimesShah held shares worth Rs 17.56 cr as of March 22, while Gandhi has MFs worth Rs 5.19 cr.
Consumer Stocks Could Be Good Bet Against Mutual Fund Crowd, Strategist Says  Barron'sGoing against the wisdom of the crowd, Savita Subramanian tells investors to build up sectors that haven't attracted as much hedge and mutual fund interest.
Mutual funds or direct equity investment – which is better?  Economic TimesOne big question that often dogs investors is which investing option should they opt for: mutual fund or direct equity? Katalyst Wealth's Ekansh Mittal ends your ...
Best ELSS funds to invest in FY 2019-20  Economic TimesHere are four ELSS schemes that are relatively new but have delivered superior risk-adjusted returns.
Mutual fund investments: Sector funds not always a safe bet  LivemintMumbai: While looking at mutual fund investment options, you might think that it is an easier bet to just pick a well performing sector that has delivered ...
Flows to equity mutual funds rebound as rally spurs risk appetite  Economic TimesStock funds took in about 118 billion rupees ($1.7 billion), the highest since October.
What is Smallcase? Should you invest in stocks via these?  Economic TimesOne invests in the market either by buying individual stocks through a broker or by putting money in equity funds or exchange traded funds. Brokerages are now ...
Growth Stock Mutual Funds Racked Up Impressive Returns In Q1 On Easy Fed And Better Data  Investor's Business DailyLarge-cap growth stock mutual funds had the upper hand among the top-performing stock funds in March, rising 2.43%. Midcap growth funds led in Q1 with a ...
Stock Mutual Funds Dominate List Of Best Funds For 2019  Investor's Business DailyWhen looking to add investments to your portfolio, you might want to start with the best stock mutual funds listed in the IBD Best Mutual Funds Awards for 2019.
Thematic funds are highly risky, not for everyone  LivemintExperts say retail investors should stay away from thematic mutual funds as they are highly risky, and require active involvement, knowledge.If you are interested ...
Here's what millennials can do to make money from equity market  Moneycontrol.comDirect equities may not be the best option for those who are starting out; stick to mutual funds' systematic investment plans.
Best Mutual Funds 2019 Awards Spotlight Top Market-Beating Funds Of All Kinds  Investor's Business DailyAre you looking for funds that beat the market recently and have great long-term returns too? Check out the winners of IBD's Best Mutual Funds 2019 Awards.
The Mutual Fund Show: Should You Invest In A Smart Beta Fund?  BloombergQuintAs stock markets evolve, so do the methods or ways to invest in them. A smart beta fund, often powered by computer algorithms, combines the benefits of ...
Mirae Asset India Equity Fund to be reclassified as large cap - What should investors do?  LivemintMirae Asset's flagship equity scheme, the ₹10,560-crore Mirae Asset India Equity fund is being reclassified from multi-cap to large-cap and will be known as ...
75% midcap, smallcap funds outperformed their benchmarks in 2018  Economic TimesDespite broader market facing challenging environment in 2018, around 75 per cent actively managed midcap and smallcap equity funds outpaced their ...
The Pinterest IPO Might Have Made You Richer—Even If You Didn't Buy the Stock Today  FortuneYou didn't necessarily need to buy stock in the Pinterest IPO to make money off the public market debut of the online scrapbooking company. It's often difficult for ...
Paytm Money Gets Approval For Stock Trading; Will This App Disrupt $2.3 Trillion Stock Market?  Trak.inPaytm Money has got the approval from SEBI to launch stock market trading on its platform; Mutual funds is already sold via Paytm Money.
7 No-Load Mutual Funds to Buy  Investorplace.comA mutual fund load is real nuisance because it goes to compensate a middleman These no-load mutual funds let you keep more of your money.
‘Non-transparent’ ETFs set to be a boon for fund managers  Financial TimesRegulators give nod to new tool that mimics active fund management.
The Top Index Funds for 2019  The Motley FoolIt's been almost 45 years since Jack Bogle founded the Vanguard Group and launched the very first index fund. The launch of the Vanguard 500 Index Fund ...
You can capture a dividend above 5% and still enjoy stock-market growth  MarketWatchJeff Jonas of Gabelli talks about a closed-end fund that invests in the health-care and consumer staples sectors.
Investing Insights: Stock Funds for Retirees, Bank Earnings  Morningstar.comOn this week's podcast, special guest Michael Kitces on finding an advisor you like, plus a preview of Big Pharma earnings and niche funds for your portfolio.
450 fund schemes own this priciest lender & red flag is up on valuation  Economic TimesThe stock is favourites among both funds managers and market analysts.
The Paradox of Skill Isn't Stock-Fund Managers' Only Problem  Morningstar.comTrouble With the Curve Michael Mauboussin of BlueMountain Capital Management released a paper about bond management, "Looking for Easy Games in ...
5 Best No-Load Mutual Funds of Q1  NasdaqIn the first quarter of 2019, the Dow, the S&P 500 and the Nasdaq rallied 11.2%, 13.1% and 16.5%, respectively. This marked the S&P 500's best quarterly rise ...
‘How is this possible?’ Analysts puzzle over stock market’s rally amid equity-fund exodus  MarketWatchU.S. stocks at the end of March posted their best quarter in nearly a decade, but they did so without help from investors in U.S. stock mutual funds and ...
TABLE-Investors jump back into U.S. stock market after two-week retreat  ReutersInvestors sent a net $6.2 billion into mutual funds and exchange-traded funds that hold U.S. stocks last week, ending a two-week retreat from the domestic stock ...
3 Northern Mutual Funds for Stellar Gains  NasdaqFounded in 1889, Northern Trusts manages assets worth over $1.1 trillion (as of Dec 31, 2018) based on assets raised in the country. The company.
Cramer: Overvalued stocks like Pinterest, Zoom could lead to a market peak  CNBCThe debuts of Pinterest and Zoom Video Communications on public markets also came with froth, which could lead to a market peak, CNBC's Jim Cramer said ...
VTI: The ETF Alternative To VTSAX  Seeking AlphaThe Vanguard Total Stock Market ETF is the ETF alternative to the world's largest mutual fund, VTSAX. VTI provides investors a simple, cost effective way to own.
7 Retirement Rules to Live By  The Motley FoolTake these rules to heart and act on them to make your retirement much more comfortable and secure.
7 stocks most favoured by mutual funds over last one year  Economic TimesAs the markets hit a speed bump, stocks favoured by mutual funds appear to be safer bets.
Can mutual funds give multibagger returns like stocks?  Economic TimesStocks can be multibaggers. They can offer extraordinary returns in a very short period. Can mutual funds ever do that? This was a question thrown at Rajeev ...
When mutual funds make more sense than ETFs  The Globe and MailAlthough sales and popularity of ETFs have been on a tear, there are times when mutual funds may be preferable for some investors.
Watch Out: 3 More TFSA Mistakes to Avoid  Yahoo Canada FinanceLast week, I went over three TFSA mistakes that investors need to avoid. With tax season wrapping up for most Canadians, it is worth going over three more ...
Govt tweaks rules, increases limit to disclose investment in stocks, mutual funds for employees  Economic TimesNew Delhi: The Centre has increased the over 26-year-old monetary limit on disclosure of investment in shares and mutual funds by employees to six months of ...
Larry Hungerford: When to retire: Typically, a tough decision  Winston-Salem JournalGiven the large number of baby boomers (people born between 1946 and 1964), about 10000 Americans turn 65 each day. More and more aging boomers are ...
Mutual funds bet big on these 30 stocks in November; do you own any?  Moneycontrol.comThe Indian equity market rose about 5 percent in November but what was more heartening to see was inflows into mutual funds. Investors pumped Rs 1.4 lakh ...
What top 5 money managers bought and sold in February  Economic TimesFebruary was the fourth consecutive month of decline in net investment into equity mutual funds.
Mutual funds may need smart bets on smallcap stocks to beat ETF show  Economic TimesSmallcap stocks could see up to ₹1 lakh cr inflow as fund managers look for potential winners: Analysts.
How stocks picked by mutual funds over 2014 to 2017 have performed  Economic TimesWhile the most wanted stocks of 2014 and 2015 have done well, the recent picks have disappointed.
Check out what top five mutual funds bought & sold during October selloff  Economic TimesNEW DELHI: Mutual funds stood resilient as industry's asset base increased to Rs 22.23 lakh crore in October in spite of a heavy correction in the domestic ...
Why it is a bad idea to always look for outperformers while investing in mutual funds  Economic TimesOne of the most important features that any investor, wealth adviser or anyone in the financial media looks for in an investment product is its track record in ...
Mutual Funds increase holding in ‘attractively valued’ oil & gas stocks  Economic TimesMUMBAI: Mutual funds have been adding shares of oil and gas companies such as GAIL, HPCL, BPCL and ONGC over the last few months, encouraged by ...
What top mutual funds bought and sold last month  LivemintMumbai: Inflows into Indian equity mutual funds in January were the smallest in two years as heightened market volatility and political uncertainty cooled ...
The 5 Best Vanguard Funds for Retirees  Kiplinger's Personal FinanceMost of Vanguard's offerings do right by investors, but these are the best Vanguard funds specifically for the retirement-minded.
When should you sell your mutual fund schemes? - Stocks and equity mutual funds are different  Economic TimesInvesting in an individual stock and equity mutual fund scheme is different. You must look at various parameters like key ratios while investing in a stock. Hence ...
What India’s top three mutual funds bought and sold in February  BusinessLineInflows into Indian equity mutual funds in February were the smallest in more than two years as savers held back investments amid market volatility and ...
Here are 30 stocks that fund managers bought & sold in February  Moneycontrol.comEven the month of February witnessed the lowest inflow in equity mutual funds in the last 2 years. Only Rs 5122 crore of *fresh* inflows took place in equity funds.
Quantum Mutual Fund uses cash pile to buy stocks cheap  Economic TimesQuantum Long Term Equity Value Fund, where value investing is the pronounced fund allocation theme, has brought down the level of cash at its plan to the ...
How income from stocks and mutual funds are taxed for an individual  Moneycontrol.comCapital gains from transfer of unlisted share are considered as STCG where period of holding is less than or equal to 24 months, and LTCG when holding period ...
27-year-old rule changed: Disclosure limit on MF, stock investment up for bureaucrats  Economic TimesGroup A and B officials had to intimate government if total transaction in shares or MFs exceeded Rs 50K.
Fund managers ready to go shopping after sharp correction in stocks  Moneycontrol.comDomestic fund managers are capitalising on the market fall and buying shares as they feel the valuations have become attractive after a sharp correction in the ...
Mutual funds' exposure to banks hits 3-month low of Rs 1.88 lakh crore in Sept  Economic TimesMutual funds' holding of banking stocks declined by over Rs 21,600 crore to Rs 1.88 lakh crore in September, driven by the correction in equity markets.
Why your core equity portfolio should be in index mutual funds  Economic TimesInvestors flock to the performing fund “after” it has beaten the index. Fund selection is not an exact science, and there will be hits and misses.
Is it a good time to invest in small-cap mutual fund schemes?  Economic TimesDespite the slide in the Nifty Smallcap100 index, fund houses seem to be placing faith in small-cap funds again. Should investors take the cue?
Mutual funds garner over Rs 65,000 crore in Jan  Economic TimesMUMBAI: The mutual fund industry added assets worth Rs 65,439 crore in January 2019, taking total assets under management to Rs 23.37 lakh crore.
Three large mutual funds opposed to L&T’s takeover of Mindtree  Economic TimesMUMBAI: Three large mutual funds holding shares of Mindtree are opposed to L&T's hostile takeover attempt of the mid-sized software company.
Why stock market volatility is beneficial for mutual fund SIP investors  Economic TimesWhile investing through systematic investment plans, you make more money precisely because the markets are facing volatility.
Should you shift from large-cap mutual funds to index funds?  Economic TimesThe index fund category of mutual fund schemes is slowly gaining traction among investors. The fortunes of index funds are changing as not only are they being ...
Why stopping mutual fund SIPs when stock market falls can jeopardise your financial goals  Economic TimesThe 806-point drop in the Sensex on Oct 4 was the fifth biggest single day loss in the past five years.
Gold, mutual funds, equity - where to invest in 2019?  Moneycontrol.comAs we enter 2019, the question on everyone's mind is: can we say goodbye to market volatility that 2018 unleashed upon us? The answer may not be that simple ...
How your mutual funds played the balancing act during stocks crash  Economic TimesAs with market cap allocations, equity funds seem to be maintaining their sectoral exposures.
Sebi issues new format for mutual funds' monthly report  Economic TimesFrom April 2019 onwards, AMCs will have to submit the MCR to Sebi in the new format by the third working day of each month.
Sebi seeks to make mutual funds' valuation process fairer  Economic TimesThe Sebi board approved easing of norms for raising of funds through instruments like real estate and infrastructure investment trusts.
Mutual fund investing for the conservative: Should you stick to largecap funds only?  Moneycontrol.comFinancial planners advocate investing in equity mutual funds to beat inflation and build a corpus that will cater to one's future needs, even if one is a conservative ...
Why HDFC Bank stock is among the top picks of mutual funds  Business TodayPrivate sector lender HDFC Bank, the third-largest Indian firm by market capitalisation, is among the favourite stocks in the portfolios of mutual funds. Despite ...
Are mid and small-cap mutual funds holding too many illiquid stocks?  Economic TimesIf your fund has too many illiquid stocks in its portfolio, it could really leave you in a spot.
Mutual funds that destroyed most investor wealth in the September selloff  Economic TimesThe recent selloff in the stock market has raised fears of a rush for redemption in mutual funds.​
Shall I buy the HDFC AMC stock or mutual fund?  LivemintThe HDFC Asset Management Co. Ltd stock closed 65% up on the first day of listing over its IPO price of ₹ 1,100 per share. Investors who sold on day one, saw ...
What India's top three MFs bought and sold in January  Economic TimesStock funds took in a net Rs 6160 crore, the least since January 2017.
Top fund houses are busy lapping up PSUs; what’s behind this new-found love  Economic TimesNEW DELHI: India's top three mutual funds, which manage over Rs 9 lakh crore in debt and equity assets, added a number of PSU stocks to their schemes in ...
Mutual fund houses push sell button on auto and construction sectors  BusinessLineBut stock up on IT scrips amid redemption pressure.
Motley Fool: Stocks are better for wealth-building than buying a home, plus this week's trivia  Dallas NewsThe Fool's SchoolThinking of your home as a critical real estate investment is often the wrong thing to do. Yes, it may be the biggest purchase you...
10 small equity mutual funds that have given very good risk-adjusted returns  Economic TimesMany small-sized funds have delivered handsome risk-adjusted returns. Find out why you should not ignore them.
Quant-based mutual fund schemes are coming. Should you invest?  Economic TimesMany mutual fund advisors believe quant-based mutual funds are the future of the Indian mutual fund industry.
Is it time to invest in mid cap and small cap mutual fund schemes?  Economic TimesMany market pundits believe this is the right time to enter in small cap and mid cap segments.
Planning To Invest Your Money? Here's A Beginner's Guide  NDTV NewsInvestment Tips For Beginners: One of the basic rules of investing is to start early so that time works in favour, experts suggest.
From Axis to ICICI: Mutual funds lap up private bank stocks ahead of rally  Business StandardDomestic money managers aggressively bought shares of private sector banks in February. Kotak Mahindra Bank and Axis Bank were the two most-bought ...
Flush with donor cash, Ellis uses stock market to pad campaign fortune  Houston ChronicleWhen the New York Stock Exchange closed on Dec. 17, Netflix's share price had tumbled to $262.80, nearing the end of a three-month slide. The tech stock ...
Picking the best mutual fund: Are past returns relevant after re-categorisation?  Moneycontrol.comJuzer Gabajiwala. Investors always give a lot of weight to the past performance of returns. In fact, most decisions are always made on the basis of returns.
Best small cap mutual funds to invest in 2019  Economic TimesHere is the monthly update on our recommended small cap mutual fund schemes. We are happy to inform you that there are no changes in the recommendation ...
The dangers of high mutual fund inflows  LivemintMutual funds have put ₹2.4 trillion into markets in the last two years.Equity mutual funds receive ₹8000 crore monthly through SIPs.
How do mutual funds help you to invest better?  Moneycontrol.comMutual funds can provide you products that can meet your financial goals with relatively lesser risk.
Managing Money with Moneycontrol | Where should you invest: Stocks or MF?  Moneycontrol.comPersonal finance expert Rohit Shah, Founder - Getting you Rich joins in to help us know what's better for investors.
Fund managers raised stake in 194 stocks in Dec quarter. Is it a good idea to follow them?  Moneycontrol.comFund managers raised stake in as many as 194 companies in the December quarter as compared to the previous quarter. Stocks of some these companies have ...
Top mutual funds still have Rs 8,650 crore exposure to DHFL & four group entities  Economic TimesAs skeletons tumble out one after another from the closets of highly leveraged companies, domestic mutual funds with exposure to such entities are finding ...
These stocks see mutual fund inflows for 8th straight quarter; are they worth a look?  Economic TimesAt least 20 listed stocks on the BSE have been major beneficiaries.
MFs bought select IT, bank stocks in Jan ahead of Budget, May polls  Economic TimesNEW DELHI: Mutual funds were seen churning their portfolios in information technology, consumption and private banking sectors during the month gone by, ...
Hot and Cold Stocks of Mutual Funds in November 2018  MoneylifeIn November 2018, Axis Bank and ICICI Bank were the most preferred stocks of Indian mutual funds.
Funds lap up select PSU stocks on valuation comfort  Economic TimesHere are five PSU stocks which have got large amount of buying from fund managers in Feb.
Is your mutual fund buying or selling stocks too much?  LivemintA mutual fund scheme's turnover ratio tells you how frequently its fund manager buys and sells the underlying stocks. Typically, higher the turnover ratio, more ...

Duct Tape

Did you run out to buy that duct tape yet?... Read More

Forecasting the Stock Market

Every day I see in the financial section of newspapers... Read More

How to Read an Annual Report

Every publicly traded company is required by the SEC(Securities and... Read More

Hold Em and Fold Em

When most analysts, financial planners, fund specialists and investors try... Read More

Stock Trading - Daddy, Why Arent We Rich?

One Saturday morning, while he was sitting at his computer... Read More

Boiler Room 7/17/00

On Friday or Saturday evening my wife gets a movie... Read More

You Wont Like This

Why? Because I am going to shatter your conventional wisdom... Read More

Play another Day

Money management starts with protecting your capital, realizing profits and... Read More

Rebalance And Diversify

The stock market has not been very kind to your... Read More

China Syndrome

There has been great condemnation recently because China has been... Read More

How We Eluded The Bear Of 2000

The date October 13, 2000 will forever be embedded in... Read More

Gold Fever

Right now there doesn't seem to be any "gold fever".... Read More

Pamplona, the Wild Investment Bulls

You remember (they show it on TV every year) the... Read More

War Market

There is no question that the stock market is being... Read More

Online Trading Strategy: Collecting Cash when Stocks Go UP - It PAYS to Know More than Others

When it comes to stock market trading it PAYS to... Read More

The Next Bull Market

We are already in it, but you can't see it.... Read More

Overvalued & Underbought

With all the bad news that has been dumped upon... Read More

Trading Tips No 2: The Big Lie in the Stock Market

It is commonly reported that the stock market averages about... Read More

Bollinger Bands Strategies

The Bollinger Band theory is designed to depict the volatility... Read More

Paddle Your Canoe

At some time in your life you have been on... Read More

Jack and Jill

Jack and Jill went up the hill to fetch a... Read More

How To Buy And Hold

One of the most believed bits of conventional wisdom from... Read More

Investment Attorneys and Garbage Stocks

How is it possible that trash Companies are posting less... Read More

Buying Stocks and the Importance of Correct Timing

An investor can find and research the best stock on... Read More

Where Is The Rabbit?

We need a rabbit!This was a pretty horrible week for... Read More