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: Spekulatius who wrote (44429)	9/22/2011 12:50:23 PM
From: reno4	Read Replies (3) \| Respond to of 78648

OT: I've been reading about Ray Dalio of Bridgewater - very interesting guy and incredible long term record (over 30 years with 15% return and manages over 100 billion dollars). I thought the following article was very eye opening. hedgefundletters.com There's more info at his website and with a google search. If he is right, we are basically in a depression and I am wondering if just trying to buy cheap stocks is going to be enough. Specifically, I am interested in his concept of having uncorrelated return streams. As an individual investor I feel it's hard to find an investments that are uncorrelated with the stock market. Some uncorrelated ideas that I can come up with are: Gold/precious metals Commodities - I am not sure whats the best way to play this. Oil? Farming? Boswell is interesting but it's seems like a black box. mortgage REIT - NLY, still correlated to debt market Pharma - somewhat uncorrelated to general economy/stock market I would be very interested in knowing what other people thought about this article and his investing approach.

To: Spekulatius who wrote (44429)	10/23/2011 2:40:47 PM
From: Spekulatius	Respond to of 78648

re UBS - I have been following the news about UBS after the trading scandal. I am interested in a long position, at the right price - target price is about 10$. The trading scandal has lead to leadership changes and the new CEO Sergio Ermotti plans to dramatically reduce the investment banking arm (as I suspected earlier). This will make UBS essentially a wealth management institution with some Swiss and international retail banking. Essentially it should be a much lower risk (and lower return) operation. For now, they are targeting a 10-15% ROE which would be around 1.5-2$/share. I think they should be able to generate higher returns going forward but they need to repair the damaged wealth management operation first which is suffering from outflows since the financial crisis.