Dedicated to Deposits: Deals, Data, and Discussion
Featured Savings Rates
Featured Accounts

Big Foreign Funds Are No Longer A Must For Portfolios

Thursday, July 5, 2012 - 5:37 AM
From USA Today
Conventional wisdom has held that you should keep between 10% and 20% of your stock portfolio in international funds. Perhaps it's time to rethink that.

Read more

I alway find it interesting how many times conventional wisdom changes in the investment world.
3
Ken TuminKen Tumin5,468 posts since
Nov 29, 2009
Rep Points: 125,029
1. Friday, July 6, 2012 - 2:06 PM
Recency bias. It'll spawn silly articles and poor investing decisions. Go back to July, 1999, and read all the articles on why anything less than 100% in equities makes no sense. Indeed, read the articles on "the beauty of margin investing: leverage your way to wealth". Or not (chuckle). Back in 2005 - 2006, it was real estate. Last year it was gold. This year it's corn, and next year? I'm guessing pork bellies.
1
BozoBozo137 posts since
Feb 14, 2011
Rep Points: 937
2. Friday, July 6, 2012 - 2:47 PM
Conventional wisdom or abnormal silliness...

There were the majority of "experts" several years ago who advocated 80% or 100% in international funds.  It may be the same group of stupid (and boring, and noisy) people who now advocate 0% in international funds.

The rest of us, who are the "relatively smart" people will simply ignore this artical (and all others). 

Fool me once, shame on you; fool me twice, shame on me:D

My Summer wish is that all these people will smartly shut up. 

 
1
51hh51hh1,476 posts since
Jan 16, 2010
Rep Points: 6,426
3. Friday, July 6, 2012 - 2:59 PM
Wondering if anyone got the "pork bellies" joke. Eddie Murphy, "Trading Places", 1983.
1
BozoBozo137 posts since
Feb 14, 2011
Rep Points: 937
4. Friday, July 6, 2012 - 3:00 PM
Wondering if anyone got the "pork bellies" joke. Eddie Murphy, "Trading Places", 1983.

Yes, I did get it:D

1
51hh51hh1,476 posts since
Jan 16, 2010
Rep Points: 6,426
Reply