Many a time we have seen people talking about losses in investing world and hence people seek to invest in low risk fixed income instruments such as the ongoing tax-free bonds. No doubt it is a good idea to invest in the ongoing long term tax free bond issues such as India Infrastructure Finance Company Ltd (IIFCL), given the lower risk of default and a possibility to earn capital gains over the next couple of years as the interest rates are expected to come down. But that does not mean one should bet his all monies on one such idea. It has been observed that investors redeem money from equities as they obtain the cost of buying shares with rising markets, which they subsequently invest in bonds.
Such a tendency can be counterproductive if it is contradicting the ideal asset allocation of an investor. Consider an example, if an individual aged 30, who plans to retire at the age of 60, is redeeming all his money from equity mutual funds and parking it in tax-fr ee bonds. This is not a wise idea. It is better to stick to asset allocation and keep rebalancing it at regular interval, let’s say once in a year.
If you are young, and has some appetite for risk you should ideally have some exposure to equities. It is better to consider investing at least 50% of money in equities with the long-term view. An aggressive individual may have up to 75% of his money in equities, whereas a conservative investor may choose to keep his equity exposure to 10% of total portfolio value. Whatever be the case an allocation to equity is a must along with fixed income exposure.
An important point to note here is to understand that volatility in markets are but violent waves in a sea which rise and go, but eventually subside giving tranquility of mind. So, one should not be much affected by intermittent volatility in the equity markets. One should learn to live with it. Fixed income as an asset class can offer you predictabl e returns in short to medium term with a little volatility a! s compared to equity, but in the long term it can generate almost nil returns when adjusted to inflation.
Also fixed income investors should never forget the time-tested wisdom in the financial markets: it is difficult to predict interest rates in the long-term but it is easy to predict long-term expected returns from equities. If you are investing for the long-term, typically more than five years, do not go overboard on fixed income.
Top Asian Companies To Buy For 2015: iShares S&P 500 Value Index Fund (IVE)
iShares S&P 500 Value Index Fund (the Fund) seeks investment results that correspond generally to the price and yield performance of the Standard & Poor’s 500/Citigroup Value Index (the Index). The Index measures the performance of the large-capitalization value sector of the United States equity market. It is a subset of the Standard & Poor’s 500 Index, and consists of those stocks exhibiting the strongest value characteristics in the Standard & Poor’s 500 Index, representing approximately 51% of the market capitalization of the Standard & Poor’s 500 Index.
The Fund uses a representative sampling strategy in seeking to track the Index. Barclays Global Fund Advisors (BGFA) serves as an advisor to the Fund.
- [By David Fabian]
In addition, this sector has likely benefited from the rotation out of high-beta growth stocks and into value-oriented segments that are more defensive in nature. The energy sector is the second largest allocation in the iShares S&P 500 Value ETF (NYSE: IVE), with more than 15 percent of the underlying holdings.
Top Asian Companies To Buy For 2015: Janus Capital Group Inc (JNS)
Janus Capital Group Inc., and its subsidiaries (JCG), incorporated on January 23, 1998, provide investment management, administration, distribution and related services to financial advisors, individuals and institutional clients through mutual funds, other pooled investment vehicles, separate accounts and sub advised relationships (collectively referred to as investment products) in both domestic and international markets. JCG provides investment management competencies across a range of disciplines, including fundamental the United States and global equities (growth and value), mathematical equities, fixed income and alternatives through its subsidiaries, Janus Capital Management LLC (Janus), INTECH Investment Management LLC (INTECH) and Perkins Investment Management LLC (Perkins). JCG’s investment products are distributed through three primary channels: retail intermediary, institutional and international.
The institutional channel serves the United States corporations, endowments, foundations, Taft-Hartley funds and public fund clients and focuses on distribution direct to the plan sponsor and through consultants. As of December 31, 2012, assets in the institutional channel totaled 24% of total Company assets under management. The international channel primarily serves professional retail and institutional investors outside of the United States, including central and local government pension plans, corporate pension plans, multi-managers, insurance companies and private banks. International products are offered through separate accounts, sub advisory relationships and Janus Capital Funds Plc, a mutual fund trust. As of December 31, 2012, assets in the international channel totaled 11% of total Company assets under management. JCG operates international offices in London, Paris, Milan, Munich, Frankfurt, The Hague, Dubai, Zurich, Singapore, Hong Kong, Tokyo, Melbourne and Taipei. The retail intermediary channel serves financi al advisors, third-party intermediaries and retirement platf! orms in the United States. In addition, this channel serves existing individual investors who invest in JCG products through a mutual fund supermarket or directly with JCG. As of December 31, 2012, assets in the retail intermediary channel totaled 65% of total Company assets under management.
Janus manages primarily growth equity portfolios. As of December 31, 2012, Janus managed 63% of total Company assets under management. The Janus Overseas Fund is included in the assets managed by Janus and represented approximately 6% during the year ended December 31, 2012.
INTECH has managed institutional portfolios. INTECH’s investment process is based on a mathematical theorem that seeks to add value for clients by capitalizing on the volatility in stock price movements. As of December 31, 2012, INTECH managed 26% of total Company assets under management.
Perkins has managed value-dis ciplined investment products. With its fundamental research and careful consideration for downside risk, Perkins has established itself as a value manager. Perkins offers value equity investment products across a range of the United States asset classes and global equity. As of December 31, 2012, Perkins managed 11% of total Company assets under management.
- [By Rich Bieglmeier]
As is it is every week, iStock found a company within the list of transactions worthy of further discussion. Today, we find some interest with Janus Capital Group, Inc. (JNS).
- [By Matt Jarzemsky]
“Valuations for many of these companies seem just as stretch as Internet stocks were back then,” asset management firm Janus Capital(JNS) writes in its latest monthly equities update. Some Janus funds rode high-flying technology and communications stocks to big gains during the 1990s, but saw those bets sour as the tech bubble burst.
- [By Dan Caplinger]
Who wants in on the action?
All that said, plenty of mutual fund companies have seen the writing on the wall and are eager to come to market with active ETFs. Mutual fund giants Fidelity, Franklin Templeton (NYSE: BEN ) , Janus Capital (NYSE: JNS ) , and Legg Mason (NYSE: LM ) are just some of the companies looking to follow in PIMCO’s footsteps with active ETFs. Each of these companies owes a huge portion of its profits to management fees on the billions in assets that it holds, and each recognizes the need to defend its turf by reaching into the ETF space. For Legg Mason and Franklin Templeton, which already offer closed-end mutual funds that trade on exchanges, moving to ETFs is an even shorter step.
Top Asian Companies To Buy For 2015: Astoria Financial Corp (AF)
Astoria Financial Corporation, incorporated on June, 14, 1993, is the unitary savings and loan association holding company of Astoria Federal Savings and Loan Association (Astoria Federal). The Company’s principal business is the operation of its wholly owned subsidiary, Astoria Federal. Astoria Federal’s primary business is attracting retail deposits from the general public and investing those deposits, together with funds generated from operations, principal repayments on loans and securities and borrowings, primarily in one- to four-family mortgage loans, multi-family mortgage loans, commercial real estate loans and mortgage-backed securities. Astoria Federal also invests in consumer and other loans, the United States Government, government agency and government-sponsored enterprise (GSE), securities and other investments.
The Company’s loan portfolio consists primarily of mortgage loans. As of December 31, 2012, 74% o f its total loan portfolio was secured by residential properties and 24% was secured by multi-family properties and commercial real estate. The remainder of the loan portfolio consists of a variety of consumer and other loans, including commercial and industrial loans originated in 2012 through its business banking initiatives. As of December 31, 2012, its net loan portfolio totaled $13.08 billion, or 79% of total assets. The Company originates mortgage loans either directly through its banking and loan production offices in New York or indirectly through brokers and its third party loan origination program. It also originates mortgage loans for sale. The Company’s primary lending focus is on the origination and purchase of first mortgage loans secured by one- to four-family properties that serve as the primary residence of the owner.
The Company also originates multi-family and commercial real estate loans. As of December 31, 2012, multi-family mortgage loan s totaled $2.41 billion, or 18% of its total loan portfolio,! and commercial real estate loans totaled $773.9 million, or 6% of its total loan portfolio. At December 31, 2012, $264.1 million, or 2%, of the Company’s total loan portfolio consisted of consumer and other loans which were primarily home equity lines of credit. The Company also offers overdraft protection, lines of credit, commercial loans and passbook loans. Consumer and other loans, with the exception of home equity and commercial lines of credit, are offered primarily on a fixed rate, short-term basis.
At December 31, 2012, the Company’s securities portfolio totaled $2.04 billion, or 12%, of total assets. The Company does not use derivatives for trading purposes. Its securities portfolio consists primarily of mortgage-backed securities. At December 31, 2012, its mortgage-backed securities totaled $1.94 billion, or 95%, of total securities, of which $1.92 billion, or 94%, of total securities, were real estate mortgage investment conduits (REMIC) and collateralized mortgage obligation (CMO) securities, substantially all of which had fixed rates. Of the REMIC and CMO securities portfolio, $2.35 billion, or 98.7%, are guaranteed by Federal National Mortgage Association (Fannie Mae), Federal Home Loan Mortgage Corporation (Freddie Mac) or Government National Mortgage Association (Ginnie Mae) as issuer. At December 31, 2012, its securities available-for-sale totaled $336.3 million and its securities held-to-maturity totaled $1.7 billion. At December 31, 2012, it had no investments in repurchase agreements and federal funds sold.
Sources of Funds
The Company’s primary source of funds is the cash flow provided by its investing activities, including principal and interest payments on loans and securities. Its other sources of funds are provided by operating activities and financing activities, including deposits and borrowings. The Company offers a variety of deposit a ccounts with a range of interest rates and terms. It offers ! passbook ! and statement savings accounts, money market accounts, negotiable order of withdrawal (NOW) and demand deposit accounts, liquid certificates of deposit (Liquid CDs), and certificates of deposit, which include all time deposits other than Liquid CDs. Liquid CDs have maturities of three months, require the maintenance of a minimum balance and allow depositors the ability to make periodic deposits to and withdrawals from their account. At December 31, 2012, its deposits totaled $10.44 billion. Of the total deposit balance, $1.28 billion, or 12%, represented individual retirement accounts during the year ended December 31, 2012. It held no brokered deposits at December 31, 2012. Core deposits represented 53.3% of total deposits at December 31, 2011. Reverse repurchase agreements are accounted for as borrowings and are secured by the securities sold under the agreements. At December 31, 2012, borrowings totaled $4.37 billion. It also obtains advances from the Federal Home Loan Ba nk of New York (FHLB-NY).
In addition to Astoria Federal, the Company has two other subsidiaries, AF Insurance Agency, Inc. and Astoria Capital Trust I. AF Insurance Agency, Inc. is a life insurance agency. Through contractual agreements with various third parties, AF Insurance Agency, Inc. makes insurance products available primarily to the customers of Astoria Federal. Astoria Federal’s wholly owned subsidiaries include AF Agency, Inc., Astoria Federal Savings and Loan Association Revocable Grantor Trust, Astoria Federal Mortgage Corp. (AF Mortgage), Fidata Service Corp. (Fidata), Marcus I Inc. and Suffco Service Corporation (Suffco). AF Agency, Inc. makes various annuity products available to the customers of Astoria Federal through an unaffiliated third party vendor. AF Mortgage is an operating subsidiary through which Astoria Federal engages in lending activities outside the State of New York through its third party loan origination program. Fidata mortgage loans totaled $5.09 bi! llion at ! December 31, 2012. Suffco serves as document custodian for the loans of Astoria Federal and Fidata and certain loans being serviced for Fannie Mae and other investors.
- [By Namitha Jagadeesh]
International Consolidated Airlines Group SA (IAG) and Air France-KLM (AF) Group rose with as a gauge of travel stocks as oil prices fell after Iran’s accord. PSA Peugeot Citroen gained 3.7 percent after people familiar with the matter said its chief executive officer plans to step down next year. Fresenius Medical Care AG surged the most in five years after U.S. regulators scrapped a plan to cut Medicare payments next year.
- [By Jonathan Morgan]
Air France-KLM Group (AF), Europe’s second-biggest airline by sales, retreated 2.8 percent. Mediaset SpA climbed 2.8 percent after Credit Suisse Group AG raised its price target on the Italian broadcaster. Serco Group Plc added 2.7 percent after predicting that its revenue growth in the first half will exceed its previous estimates.
Top Asian Companies To Buy For 2015: Plantronics Inc.(PLT)
Plantronics, Inc., together with its subsidiaries, engages in the design, manufacture, and marketing of lightweight communications headsets, telephone headset systems, and accessories for the business and consumer markets under the Plantronics name worldwide. It also offers specialty telephone products, such as telephones for the hearing impaired and other related products for people with special communication needs under the Clarity brand name. The company?s products are designed for specific markets and applications, such as offices; contact centers; mobile devices comprising mobile phones and smart phones; computer and gaming; and residential applications, as well as for other specialty applications. It sells its products through a network of distributors, retailers, wireless carriers, original equipment manufacturers, and telephony service providers. The company was founded in 1961 and is headquartered in Santa Cruz, California.
- [By Lee Jackson]
Plantronics Inc. (NYSE: PLT) is a global leader in audio communications for businesses and consumers. It has pioneered new trends in audio technology, creating innovative products that allow people to simply communicate. From unified communication to Bluetooth headsets to gaming solutions, it delivers uncompromising quality, an ideal experience and extraordinary service. Plantronics is used by every company in the Fortune 100, as well as 911 dispatch, air traffic control and various mission critical applications for those on the frontline. Investors are paid a small 0.9% dividend. The J.P. Morgan target price is $49, and the consensus is set higher at $54.14. Plantronics closed Tuesday at $45.79.
- [By Sean Williams]
Can you hear me now?
Unlike YRC, which I consider to be in awful shape, audio communication solutions maker Plantronics (NYSE: PLT ) is merely a sell in my book based on its recent share price appreciation.
Top Asian Companies To Buy For 2015: Vail Resorts Inc. (MTN)
Vail Resorts, Inc., through its subsidiaries, operates resorts in the United States. The company operates in three segments: Mountain, Lodging, and Real Estate. The Mountain segment operates eight ski resort properties, including the Vail Mountain, Breckenridge Ski, Keystone, Beaver Creek, Heavenly Mountain, Northstar, Kirkwood Mountain, and Canyons resorts; and two urban ski areas, such as Afton Alps and Mount Brighton Ski areas, as well as provides ancillary services, primarily ski school, dining, and retail/rental operations. Its resorts offer various recreational activities comprising skiing, snowboarding, snowshoeing, snowtubing, sightseeing, mountain biking, guided hiking, children’s activities, and other recreational activities, as well as ski and snowboard lessons, equipment rental and retail merchandise services, dining venues, and private club services. This segment also leases its owned and leased commercial space; and provides real estate brokerage services. Th e Lodging segment owns and/or manages a collection of luxury hotels under the RockResorts brand, and other lodging properties; various condominiums located in and around the companys ski resorts; destination resorts; and golf courses, as well as offers resort ground transportation services. This segment operates approximately 5,100 owned and managed hotel and condominium rooms. The Real Estate segment owns, develops, markets, and sells real estate properties in and around the companys resort communities. Vail Resorts, Inc. was founded in 1997 and is based in Broomfield, Colorado.
- [By WWW.DAILYFINANCE.COM]
Slow but steady — that seems to be the new mantra here on Wall Street. The Dow Industrials and the S&P 500 plowed further into record territory on Friday. The catalyst for today’s advance was the monthly jobs report, which showed the total number of people employed finally topped the 2008 peak it hit just before the Great Recession took hold. The Dow Jones industrial average (^DJI) gained 88 points, the Standard & Poor’s 500 index (^GPSC) rose 9, and the Nasdaq composite (^IXIC) gained 25 points. Financial stocks helped lead the advance. Goldman Sachs (GS) and American Express (AXP) both gained more than 2 percent. Bank of America (BAC) rose 1 percent on reports that it’s in talks with the Justice Department to settle another set of probes into the bank’s handling of mortgages leading up to and during the financial crisis. News reports say the company could pay more than $12 billion, which is more than it earned in all of 2013. But this could allow Bank of America to finally put this long-running problem behind it. Its stock has been virtually flat over the past 6 months. Amazon (AMZN) posted a strong gain for second straight day, rising 2 percent, on indications that it’s about to enter the smartphone business. And Sears (SHLD) gained nearly 2 percent on a Reuters report that the company’s chairman has held talks with outgoing Ford (F) CEO Alan Mulally, sparking rumors that he might head the retailer’s turnaround effort. Elsewhere, Hertz (HRZ) drove into a ditch, sliding 9 percent after saying it will restate earnings from 2011 through 2013 because of accounting issues. Diamond Foods (DMND) fell 11 percent. Its quarterly loss widened, due to higher wholesale prices for nuts. But Vail Resorts (MTN), Men’s Wearhouse (MW), and VeriFone (PAY) all gained after beating expectations. Vail was up 6 percent; Men’s Wearhouse rose 5½ percent; and VeriFone jumped 9 percent. Demand for its merchant payment systems has been helped by growing con
- [By Marc Bastow]
Ski lodging and operations holding company Vail Resorts (MTN) raised its quarterly dividend 100% to 41.5 cents per share, payable April 16 to shareholders of record as of April 1. That increase ties FAF for the biggest increase on this week’s list of dividend stocks.
MTN Dividend Yield: 2.37%
- [By Laura Brodbeck]
Notable earnings released on Wednesday included:
Williams-Sonoma, Inc (NYSE: WSM) reported fourth quarter EPS of $1.38 on revenue of $1.47 billion, compared to last year’s EPS of $1.34 on revenue of $1.41 billion. Express, Inc (NYSE: EXPR) reported fourth quarter EPS of $0.57 on revenue of $715.90 million, compared to last year’s EPS of $0.75 on revenue of $728.71 million. Vail Resorts, Inc. (NYSE: MTN) reported second quarter EPS of $1.60 on revenue of $452.70 million, compared to last year’s EPS of $1.65 on revenue of $422.45 million. Krispy Kreme Doughnuts, Inc. (NYSE: KKD) reported fourth quarter EPS of $0.12 on revenue of $112.70 million, compared to last year’s EPS of $0.09 on revenue of $118.14 million.
Top Asian Companies To Buy For 2015: Rubicon Minerals Corp(RBY)
Rubicon Minerals Corporation, a mineral exploration company, engages in the acquisition, exploration, and development of mineral properties in Canada and the United States. It primarily explores for gold and base metal deposits. The company?s key asset is the Phoenix Gold Project located in the Red Lake gold camp, in the Province of Ontario. As of March 31, 2010, it controlled approximately 65,000 acres of prime exploration ground in the prolific Red Lake gold district of Ontario, Canada, as well as approximately 380,000 acres surrounding the Pogo Mine in Alaska and approximately 225,000 acres in northeast Nevada. The company was founded in 1996 and is headquartered in Vancouver, Canada.
- [By Sean Williams]
Another reason this fund looks attractive (at least to me) is that Rubicon Minerals (NYSEMKT: RBY ) is one of its largest holdings at 6.02% of its assets as of May 10, 2013. Rubicon is in the late stages of the development process for the F2 Gold System, which has yielded drilling assessments as high as 767 grams/ton. F2 appears to be just as bountiful in gold well below the surface as it is near the surface, which could mean a very long and profitable mine life for Rubicon.
Top Asian Companies To Buy For 2015: Central Securities Corp (CET)
Central Securities Corporation is a non-diversified, closed-end management investment company. The Company’s primary investment objective is growth of capital. Central Securities Corporation invests primarily in common stocks, but it may invest in bonds, convertible bonds, preferred stocks, convertible preferred stocks, warrants, options real estate, or short-term obligations of governments, banks and corporations.
The Company, from time to time, invests in securities, the resale of which is restricted. Central Securities Corporation invests in various sectors, including insurance, Semiconductor, Technology Hardware and Equipment, Diversified Industrial, Energy, Software and Services, Banking and Finance and other.
- [By Joe Eqcome]
Highest Positive Spread: ING Emerging Markets High Dividend Equity Fund (IHD)Focus Stock: Central Securities Corporation (CET)Last Week’s Focus Stock: Central Securities Corporation
Junk Bonds Debacle: The $85 billion monthly bond-purchase program has produced a selloff for "junk" bonds. The U.S. Treasurys jumped 0.18% to 4.39% on Wednesday. The benchmark 10-Year Treasury note has risen 0.5% in the past month.
Top Asian Companies To Buy For 2015: Ur Energy Inc(URG)
Ur-Energy Inc., an exploration stage junior mining company, engages in the identification, acquisition, evaluation, exploration, and development of uranium mineral properties. The company has 13 projects located in Wyoming and Nebraska, the United States; and 3 exploration projects located in the Northwest Territories and Nunavut, Canada. Its landholdings cover approximately 90,000 acres in the United States and approximately 140,000 acres in Canada. The company was founded in 2004 and is headquartered in Littleton, Colorado.
- [By John Udovich]
Small cap nuclear fuel stock USEC Inc (NYSE: USU) is up some 300% this week – meaning its worth taking a closer look at the company along with the performance potential uranium or nuclear stock peers Uranium Resources, Inc (NASDAQ: URRE), Denison Mines Corp (NYSEMKT: DNN), Ur-Energy Inc (NYSEMKT: URG) and Uranerz Energy Corp (NYSEMKT: URZ).
- [By Bryan Murphy]
If you listened to my bullish calls from December 27th and/or February 24th about Uranerz Energy Corp. (NYSEMKT:URZ), Uranium Resources, Inc. (NASDAQ:URRE), and Ur-Energy Inc. (NYSEMKT:URG), then congratulations – you’re now up as much as 50%, depending on when you stepped into a trade, and which stock you chose. Now get out. See, as well as URZ and URG have done and are doing (URRE not so much), it looks like the short-term rally I first spotted a little more than a couple of months ago has fully run its course, and now these names are setting up a pullback.