Education Where do investors currently see best value (rebalancing)

Discussion in 'Share Investing Strategies, Theories & Education' started by oracle, 3rd May, 2019.

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Where do investors currently see best value if investing new funds.

This poll will close on 3rd Jul, 2019 at 12:26 PM.
  1. US Market eg IVV, VTS

    7.1%
  2. Australian Market eg VAS, STW

    33.3%
  3. Developed Large Cap (incl US) eg. VGS

    7.1%
  4. World Market excl US eg. VEU

    9.5%
  5. Emerging Market eg. VGE

    11.9%
  6. Emerging Asia Pacific excl Japan eg VAE

    28.6%
  7. Other (please specify)

    4.8%
  8. Bonds

    4.8%
  9. I see no value in any market. Prefer holding cash

    23.8%
Multiple votes are allowed.
  1. oracle

    oracle Well-Known Member

    Joined:
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    Just for education and bit of fun

    If investors had funds to invest or were looking to rebalance their portfolio where would they be looking to invest.

    I have kept poll open for 2 months and allowed multiple choices.

    Based on valuations my money would be in emerging market/asia (VGE/VAE) but since I already have enough I would most likely invest in VAS even though it's not cheap but not expensive either.

    Cheers,
    Oracle.
     
  2. Islay

    Islay Well-Known Member

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    Wish my crystal ball was working! I tipped a whole lot of dollars into short term Term Deposit yesterday because I can not see value anywhere.
     
  3. Froxy

    Froxy Well-Known Member

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    For me VGE and VAE look the best based on P/E and Growth
     
    oracle likes this.
  4. The Falcon

    The Falcon Well-Known Member

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    NSW
    Rebalance to policy. Fixed SAA makes this easy. Had to do this other other day, took 10 mins and no thought. Hunting for global macro "value" based on P/E, P/B, PE10 etc I believe is a waste of time and doesnt fit with EMH which underpins index investing ;

    I choose to index as I dont believe active management works on risk adjusted basis after cost, but I know which countries/regions are going to outperform from this point forward - i.e. price is undervalued ...I have an edge the rest of the world doesnt.
     
    Last edited: 3rd May, 2019
  5. Shady

    Shady Well-Known Member

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    Sydney
    I like the emerging markets...ASIA, CNEW & FEMX
     
  6. KinG3o0o

    KinG3o0o Well-Known Member

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    786
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    Sydney
    rebalacing = ato make money, broker make money, you lose money.
    let ur winner run

    just dont do anything unless its gone pear
     
  7. SatayKing

    SatayKing Well-Known Member

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    You don't necessarily have to sell and incur CGT in order to re-balance. Direct fresh funds to preferred allocation.
     
    rizzle, Burgs, Snowball and 5 others like this.
  8. The Falcon

    The Falcon Well-Known Member

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    Correct. Rebalancing should be done from either portfolio income or new capital, or alternatively selling down bonds or cash into equities during market sell off.
     
    Summer of George, number 5 and Islay like this.
  9. Fargo

    Fargo Well-Known Member

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    If nothing has changed, and your thesis is in tact, the business is strong, management fine, why wouldn't you top up, when you get those irrational dips ? If it is not worth buying more you should sell. And if you have gotten overweight why wouldn't you sell a few, to offset a loss, or sell enough just so you can take advantage of the tax free threshold. Rebalancing doesn't mean ato make something. Generally if the ATO is making money, you should be making money too. Perhaps you need a good accountant. Brokerage is SFA.
     
    Froxy likes this.
  10. essendonfan

    essendonfan Member

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    Would prefer to cut a cheque to the ATO than have a carry forward balance
     
  11. Fargo

    Fargo Well-Known Member

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    Depends on what you call value, what 90% think is value is poor value, Revenue growth of over 30% makes what appear expensive, cheap very quickly. Small cap Tech stocks on the ASX, Med Tech, Fin Tech on the ASX, Companies that are ignored by the large fund managers because they are too illiquid for the large funds to invest in, and too small to list on the large exchanges. Which is the reason they list on the ASX .
     
  12. Zenith Chaos

    Zenith Chaos Well-Known Member

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    My super allocations say EM then ASX. Cape Shiller agrees StarCapital AG - Disclaimer

    Rebalancing is decided by strategic asset allocation.
     
    Froxy likes this.
  13. Fargo

    Fargo Well-Known Member

    Joined:
    23rd Jun, 2015
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    Location:
    Vic
    Talking long term, one I haven't liked much before but has been popular here, but after its pull back SOL., and ASIA with the weakness because of fears over a tech tradewar, which will pass.
     
    Froxy likes this.
  14. Froxy

    Froxy Well-Known Member

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    22nd Sep, 2018
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    Location:
    Sydney
    SOL appeals to my contrarian side. Down 25% when everything else is up and looks frothy. New hope and TPG are out of favor but long term still seem like decent bets.
     
  15. SatayKing

    SatayKing Well-Known Member

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    Australia
    Bought some more SOL in early April. Was probably too early in the disenchantment phase but that's the way it goes. Assisted with a re-balance in the OZ/OS split with my personal holdings which was my main objective.