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Strategies & Market Trends : Value Investing

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To: E_K_S who wrote (39923)11/4/2010 9:22:37 PM
From: Madharry  Read Replies (1) of 78673
 
Surprisingly enough there is evidence to support that gold for example does best when real interest rates are low, and when real interest rates are high it does not do so well so as the long term us bond goes to 7% and beyond- people turn around and go- i can get 7% in treasuries and be set for life why should I hold gold?

My strategy of being in mostly in udervalued ( i hope ) commodity plays has worked very well in 2010. It would be presumptuous to think it will work as well in 2011. However undervalued growing cash flow always works well over time.

as far as hi yield bond funds, I just dont see them as any better than equity except that for now they are supposed to pay a dividend. I would rather own MLPs, bdcs, and foreign reits or a solid company that pays a growing dividend.
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