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Strategies & Market Trends : Value Investing

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From: Grommit9/25/2015 8:35:41 AM
   of 78911
 
good point here:

It doesn't matter how well the companies in your portfolio are doing, chances are they are heading lower, Jim Cramer told his Mad Moneyviewers Thursday. Don't take it personally, Cramer confided. It's not that you haven't picked great stocks, the market just stinks and is acting irrationally.

(me: unless you picked the wrong sector -- like energy stocks this year.)

And as I wrote to the few friends and relatives who's accounts I guide:

And my point is that gain/loss on your account is not the same as cash flow. this is true in up or down markets. our cash flows are 5% to 6% per year, and we also deserve a price (value) increase of 2% to 4% based on underlying profit growth. anything + or - to that is just random movement. i'll also add that at times you can find a particular stock that is undervalue compared to where it should be priced -- and if it's true you get another % gain when the market catches on. offsetting that, at times you pick a stock that develops issues.

#########

My accts are now acceptably flat for the year.

Thanks for the posting on J Clark. I remember that he was eager to call me and chat, but I had nothing more to offer other than what I was posting.

grommit
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