Which mutual funds (not ETF's) are good bets now?
I have a brokerage link account tied into my 401k to trade mutual funds-but not etf's--and am mostly in natural resources, oil and energy services, natural gas, which have gotten pouned lately.
What a good funds now?
Answers
278 points
ThaDRAGN answered one year ago …
When you say, "pounded lately", what do you mean exactly?
Oil/energy or anything related should've been doing EXTREMELY well for you over the last few months. All of the oil, energy and oil services companies have seen their stock prices rise dramatically.
It seems like you're in a good place if we expect crude prices to continue to rise.
I'd avoid any mutual funds that are too overly diversified as well...for that, just buy a low-cost index fund and avoid the fees.
2775 points
Oldman answered one year ago …
I'd make sure that any mutual funds you buy don't have limits on sales or excessive redemption fees. The Fidelity Selects are my choice, because there aren't a limited number of "in" vs. "out" trades/yr, as there are with their other funds.
I do believe Oil Services are a longer term hold, because, even with a bouncy energy (oil) price, there's a longer term shortage of pipe, transport of crews and equipment to rigs, deep water drilling rigs, etc. And, even if the yields are declining, the necessity to pump displacement substances or fracture small gas pockets will keep the services busy for years.
I do hold Select natural resources, gold, energy services + other types of oil, mining and exploration securities. There are other vendors in these mutual fund areas, whose funds have higher M* ratings, but those 'Selects' have been my long-term trades...I seldom sell, but buy when they offer a meaningful correction over the decades.
103 points
Blackswan answered one year ago …
Cash or short term govt treasuries will outperform this market. Why pay fees for a fund that will probably lose money over the next 6 months+? If you think the bear market is over ignore my advice and if you make money in a fund congrats you called the bottom and one of the shallowest and shortest recessions in history. I don't think we will be that lucky. A long term buying signal is the 20W and 50W moving average cross on a weekly S&P chart. When these averages cross by more then 1% it is time to get out of stocks. When the market is at a bottom and these averages cross by more then 1% it is time to get back into stocks. This simple chart that only needs to be checked every week or two would protect you from viscious bear market selloffs while keeping you in the market during the majority of bull markets. There are very few false signals. Here is a video.
http://www.tickerforum.org/cgi-ticker/akcs-www?post=39911&page=1
99% of fund managers lost money this year.
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