benson, yes, there is currency risk and most mutual funds do not hedge that risk. It is high for the Euro but it is low for the Yen right now.
As long as you have a diversified portfolio of companies (at least 20) you will remove most of the company risk which is much greater than currency risk and/or country risk as well as industry risk (these are statistical truths).
Additionally, as opposed to 10-15 years ago, most pf the companies that you are tallking about have SIZEABLE foreign business, oftentimes >50% (cf MCD) and are doing very well because of that.
I’m glad that you were there though in the 1990s and early 200s when I was managing international mutual funds to support my numerous trips to Asia for “hands on” research!!!!! Also, the lareg expat package I got when i lived in HK.
No, DIBS. That’s only if you’re shorting. The alternative is to wait until the smoke clears.
Same games were played in the 30’s. Had you NOT participated in the risky gambling on the way down (perhaps an outsider unlike Joe Kennedy) but waited for the smoke to clear, you’d have had plenty of time to get in and make a killing before the spike at the onset of WWII.
Shorts get slaughtered all the time. Most of them.
[lechecal- you funny. You forgot a lot of europe in your list of anti-gun-happy people. But I guess ‘england’ doesn’t look as scary as ‘north korea.’]
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By gemini10 on November 4, 2010 10:20 AM
What’s so great about the MCRibb?”
everything – it was sent to us directly from God!!
benson, yes, there is currency risk and most mutual funds do not hedge that risk. It is high for the Euro but it is low for the Yen right now.
As long as you have a diversified portfolio of companies (at least 20) you will remove most of the company risk which is much greater than currency risk and/or country risk as well as industry risk (these are statistical truths).
Additionally, as opposed to 10-15 years ago, most pf the companies that you are tallking about have SIZEABLE foreign business, oftentimes >50% (cf MCD) and are doing very well because of that.
I’m glad that you were there though in the 1990s and early 200s when I was managing international mutual funds to support my numerous trips to Asia for “hands on” research!!!!! Also, the lareg expat package I got when i lived in HK.
But we’re getting a bit too close to real life so not going to debate online. Will do so happily in person sometime!
What’s so great about the MCRibb?
there was some 20/20 segment saying that 401K’s are actually scams.
*rob*
No, DIBS. That’s only if you’re shorting. The alternative is to wait until the smoke clears.
Same games were played in the 30’s. Had you NOT participated in the risky gambling on the way down (perhaps an outsider unlike Joe Kennedy) but waited for the smoke to clear, you’d have had plenty of time to get in and make a killing before the spike at the onset of WWII.
Shorts get slaughtered all the time. Most of them.
***Bid half off peak comps***
No, I agree with Canada’s decision re POT.
the mcribb is back at mcdonalds today! yayyyyy!