Michael,
Again thanks for the thorough response. I am just going to keep asking questions, and if you get tired, just tell me to shut the hell up <g>, and I will.
>>>I think some grasp of macro economics is vital to understand the bond market, and some grasp of the bond market is vital to understand the stock market. How much? I think a reading of a couple of general books would be enought. <<<
Any suggestions?
Also, have you ever thought about maybe making the 90 part of your 90/10 portfolio be like the capapp portfolio? I know it would be much more risky, but also with better returns. For instance, if DBRSY got under $12 or if SLB got back down to $40, it seems like a safe strategy, albeit more risky than money market funds, to put 90% of my money in those stocks and have 10% in high risk/high reward options.
Re: biotechs. I was under the impression that historically, smallcaps have only outperformed the largecaps after bear markets. And most biotechs (GZTR, SANG, XOMA) are smallcaps. Are you not afraid that these will be "swept away with the tide" when the market returns to reasonable valuations?
Re: options. Do you ever use the VIX to determine buying points? |
