Barron's: Time to Buy the Commodities Bear

By SIMON CONSTABLE

The collapse in commodities prices since summer has some investors wondering whether the complex has any place in their portfolios. The answer depends on the time horizon.

The Thomson Reuters/Jefferies–CRB Index, which tracks a basket of commodities, has fallen about 22% since June 20, according to data from SIX Financial Information. U.S. oil prices are off 46% over the same period, while gold has slid about 7%, on top of a substantial retreat over the prior 18 months. See original story here.

Photo by Pete Nuij on Unsplash

WSJ: What Is Window Dressing?

By SIMON CONSTABLE

To most people the holiday season means decorations at home and at work, but it also
can mean “window dressing” in your mutual fund.

This somewhat disparaging term is used to describe the practice of a mutual fund
making cosmetic changes to its portfolio just before the end of each calendar quarter.
It’s done because funds publish their exact holdings of securities four times a year
based on what they own at the end of each quarter. See original story here.

WSJ: Will the "Presidential Cycle" Boost Stocks in 2015?

By SIMON CONSTABLE

As President Obama gears up for his penultimate year in office, it could be time to cast
a ballot for stocks.

That suggestion has nothing to do with the administration’s policies or whether
investors agree with them. Rather, it’s about history.

Specifically, we’re talking about the so-called presidential stock cycle, which suggests
that stocks do better on average in the president’s third year in office (regardless of
whether it is a first or second term) than in any other year. The pattern has held with
remarkable consistency. See original story here.

Barron's: How USAA Finds Stable Growth

By SIMON CONSTABLE

When you look at the $1.2 billion USAA World Growth fund. you Might think you’re seeing double. First, there are two portfolio managers, David R. Mannheim and Roger Morley. They work for USAA’s subadvisor, MFS Investment Management, which is where the second part of the double vision kicks in. The pair also run the MFS Global Equity fund (ticker: MWEFX), which is “modeled after,” or is substantially the same as, the USAA fund (USAWX). USAA’s World Growth has expenses of 1.19%, versus 1.29% for the MFS version. See original story here. 

Photo by AbsolutVision on Unsplash