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

To: Dale Baker who wrote (31373)	7/4/2008 12:51:18 PM
From: Jurgis Bekepuris	Read Replies (1) \| Respond to of 78476

Distributions should be factored into annualized performance numbers, but of course some sources may not do that. Funds themselves always do. Funds also usually have charts that include distributions but other sources do not include distributions in charts as far as I can tell. I somewhat agree with you though. I remember looking at 5-10 year returns of "great" value funds and seeing 10-15% annualized gains. Of course, Marty tells in plain text that his goal is 10% annualized gain independent of what market does. And Buffett said numerous times that people expecting 15-20% gains are deluded. I think he does not expect even 10% gains in broad market going forward. Last couple years the huge gains were mostly in energy and developing markets (BRIC, etc.). Now looking at macro level it's not even clear if BRIC or energy will have such great gains as before. Sure, it's still possible for small portfolios to outperform. And with current market drop, a lot of opportunities are starting to appear both in big well-known names and in international stocks. So IMHO it may be possible to get good gains from current level.