Tell Your Financial Adviser "F' Off for 2016"

Man - it never stops amazing me how people just like you will give away money for free and trust some asshole who couldn't care a less about making you a profit with your hard earned money. 

Once again the wonderful world of USA Hedge Fund Managers have once again come out with a loss for 2015 and the only thing their clients get is an "I'm Sorry". Think about it for one second. If you are lucky enough to be a credited investor and can get into a hedge fund you would think you would at least trail the S&P. But not these assholes this year. Once again you lose they win and worse yet, if we see redemption calls ramping up like I think they will, the entire market gets screwed and these assholes running these hedge funds make out like bandits. 

It is amazing that hedge funds like Greenlight Capital, Pershing Square and Glenview are missing the easy calls and losing money for their clients. I continue and will continue to preach that if you are going to invest in the stock market no matter how big or small, do your damn homework. Don't ever assume some financial adviser is going to give two shits about your return once you hand over your hard earned money. Stand up for your hard earned money and learn how to invest in the stock market. I have preached for years that you if are going to enter this market you will need know your investments and watch your money like a hawk. There is absolutely no reason you need a financial adviser unless your are wealthy enough to plan tax break investing, etc... http://video.cnbc.com/gallery/?video=3000442307&play=1

Fire your financial adviser this year and take control of your own money. Stick to what you know. Avoid all mutual funds (high ass fees) and pick stocks that you know have value and provide products and services that people want and use. Recently a young investor asked me what to invest in and I turned the question back to him and said what do you believe in? He could not answer this simple and easy question. What do you believe in? What companies do you find value in and use their products or services? 

For me and the Bonehead Investor community I stand by my investments in companies that provide world class products and services. For me companies like Apple http://www.apple.com/ and NetFlix are amazing investments for now and the future! https://www.netflix.com/

Stand up and take back your financial freedom! Don't be a sucker for Wall Street! Be a Bonehead Investor! 

 

Careful Out There! Sharks are in the water......

Constant data is coming out that 2014 is going to be another "resilient" year. Take this write up from USA Today - Can mighty Wall Street Bull keep charging in 2014? or this recent work from Forbes - Will the Bull Market extend in 2104?. As much as I would like to say and  make money in a Bull market, I am more concerned that we will see a very rocky market built on Algorithmic Trading - Algorithmic Trading that kills the normal investor.

If you are a Bonehead Investor you know my motto - Day Trading is great for the day... But trying to time the market with computers doing the work now, you will get killed. This goes back to my picks for 2104. I am hell bent on VNQ and EDF to protect my money in this kind of a rocky market. (VNQ & EDV). I pick these two positions to protect in the event of a market pull back and more important a Federal Reserve surprise. If we look at the data on housing today and the true unemployment number you can quickly see why I have protected my money in these investments. Housing Market - February Housing. Unemployment - Unemployment.

Don't get caught up in the noise of the talking heads and  your broker. Defend your money yourself with good education and an understanding of the market. Be a Bonehead investor and win!

The Bonehead is BACK!

Well it has been a long couple of years but the The Bonehead Investor! is back! 2014 looks to be a great year for me in the market and I will continue to share my investment advice and picks. Just so we can level set let's take a look at my total returns for the past couple of years while I have been away. So here is how I have made out for the past few years.

1-Year	3-Year	5-Year
36.47%	28.35%	26.14%

2014 already looks to be off to a good year for me. I am going long as of 2/14/2014 with: 

Oracle - Oracle Chart

Cisco - Cisco Chart

Vanguard REIT ETF - Vanguard REIT

Vanguard Extended Duration ETF - Vanguard Extended Duration ETF

NPS Pharmaceuticals - NPSP (Note I went in on NPSP in early 2013 at $14 dollars a share)

iShares Gold Trust ETF - IAU

I will follow up later this week on some comments of the market. Good luck Boneheads! Enjoy the picture from my new office location. 

A $900 Billion Shit Sandwhich for the United States Taxpayers...

As I sit outside in lovely Atlanta I have a cold streak running down my spine. Our Federal Reserve has decided and not unanimously to bail out our economy once again with a repurchase of $900 billion of treasuries. Wow, ain't that nice. So who will benefit from this move?

It is pretty easy to see that this is just yet another shame move by our government to bail out the "to big to fail" banks. Let's start with the easy banks who will benefit first, Bank of America, JP Morgan Chase and Wells Fargo. Clearly B of A is the leader of the pact with a disastrous balance sheet that really should be called a comic book. B of A has good will write offs of well over $2.8 billion dollars and a stock falling faster than a speeding rocket. B of A is screaming "help again" to the Fed's....And the Fed's have heard the screams for help...Welcome QE2

With the approval of QE2 we now have a stock market on fire (thanks to computer trades) and a dollar sinking like the Titanic. Let's not forget that we are also pissing of the Chinese and Brazil with QE2. More excitment to help with this coming US economic disaster. We have taken the first step on the slippery slope and the next step looks like the creation of an avalanche. The US consumer is tapped out, unemployment is well of 20% and job creation in the US is non existent. So how does this story of QE2 play out?

We will see a bounce in the markets through the end of 2010 on computer trades and institutional trades. We will continue to see dismal dollar investing into 401k's by those that do have jobs due to fear of the markets and not being able to pay rent or mortgage. We will bypass inflation and head straight to deflation and then and only then will the Fed's state they are "out of bullets" and we do what should have been done long ago, let the capital markets work out events on their own....

I am out of the market now going majority cash and some gold. Other than that the rest of this market looks like the making of a huge shit sandwich that we the US tax payers will have to bail out...Good luck...