Education Where do investors currently see best value (rebalancing)

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.

 

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.

 

For me VGE and VAE look the best based on P/E and Growth

 

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.

 

I like the emerging markets...ASIA, CNEW & FEMX

 

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

just dont do anything unless its gone pear

 

You don't necessarily have to sell and incur CGT in order to re-balance. Direct fresh funds to preferred allocation.

 

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.

 

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.

 

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

 

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 .

 

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

Rebalancing is decided by strategic asset allocation.

 

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.

 

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.

 

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.