In every other issue of my investment newsletter, The Validea Hot List, I look in detail at one of the computerized guru models on run on Validea.com. In this week’s issue, I outlined the strategy from the famous growth oriented investor, Martin Zweig. Below you will find an excerpt from the newsletter along with a [...]
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Archive | March, 2009
O’Shaughnessy in Buying Mode; Sees S&P 900 this Year
March 6, 2009
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James O’Shaughnessy, the fund manager whose study of four-plus decades of stock market returns may be the most extensive ever done, is seeing good times ahead for U.S. stocks. In an interview with Reuters, O’Shaughnessy says that the S&P 500 is now selling at such depressed levels that it is likely to return 7.3 percent [...]
Read moreShiller: It’s The Psychology, Stupid
March 5, 2009
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Don’t underestimate the impact psychology has on the stock market and economy — that’s the message Yale economist and housing crisis predictor Robert Shiller recently gave during a lecture at The New School, the video of which is now available on Fora.tv. “Psychology really matters,” said Shiller, whose new book, Animal Spirits, co-written with George [...]
Read moreEven Buffett Makes Mistakes — and You Can Learn from Them
March 4, 2009
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In his latest Wall Street Journal column, James B. Stewart examines some of the mistakes Warren Buffett acknowledged making in Berkshire Hathaway’s 2009 letter to shareholders, and explains what average investors can learn from “The Oracle of Omaha’s” mistakes. Most interesting is Stewart’s discussion of Buffett’s decision to buy $7 billion in ConocoPhillips shares last [...]
Read moreDorfman: Market Performance after Waterfall Declines – up 24% Over Next 12 Months
March 3, 2009
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Value investment manager and Bloomberg columnist, John Dorfman, provides some historical stock performance statistics after periods of dramatic market declines (or what he calls, “waterfall declines”). According to Dorfman, “market action during and after ‘waterfall declines’ — sudden drops of 20 percent or more in a few days or weeks — tend to follow a [...]
Read moreValue Stocks: They’re Riskier Than You Think
March 2, 2009
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This interesting Wall Street Journal article points out that value stocks, or value investing strategies, have been some of the hardest hit during this bear market and often times underperform during recessions. According to the author, “since the market peak in October 2007, an iShares exchange-traded fund designed to mimic value stocks in the S&P [...]
Read moreBuffett, the Long-Term Optimist: “America’s Best Days Lie Ahead”
March 2, 2009
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Berkshire Hathaway published its long awaited annual report on Saturday. Warren Buffett, CEO of Berkshire, penned the first 20 pages or so. For those who haven’t read the letter yet, we encourage you to take a look as it provides Buffett’s thoughts on a host of issues, including the performance of Berkshire, the mistakes Buffett [...]
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