Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (29623)	1/9/2008 3:50:12 PM
From: Jurgis Bekepuris	Read Replies (1) \| Respond to of 78752

I own IGE instead of XLE. I liked IGE since IMO it is better diversified than its brothers that hold a market-cap proportional holdings of XOM and other big oils. E.g. XLE is 20% XOM, 13% CVX. IGE is much more balanced and diversified. XLE has outperformed IGE by very minor percentage points so far though. Regarding EWZ - how do you know that you are not late to the party? The index and country has such a tremendous runup that any hiccup in Latin America may send it crashing down. I have been recommended Brazil last year, but I just can't make myself to buy it. BTW, except for VCP that I hold, most Brazilian companies - including Petrobras - IMO are not bargains.

To: E_K_S who wrote (29623)	2/18/2008 2:24:40 PM
From: Jurgis Bekepuris	Read Replies (2) \| Respond to of 78752

Just a cautionary note for all investors in EWZ. Before investing take a look at its holdings and remember that 30% of the EWZ is Petrobras (2 different share classes) and 20% is Companhia Vale do Rio Doce (RIO) (again 2 different share classes). In total 50% of the fund is 2 companies. Of course, after realizing this, think about the PBR / EWZ decoupling in the last couple months, considering that RIO continued to follow EWZ. For this to occur the remainder of EWZ had to drop A LOT, since PBR continued to go up... Not sure what this really means. Possibly the rest of EWZ is now much more attractive. Possibly not. :) I hold a tiny position in EWZ, no positions in PBR or RIO.