Robert Rodriguez Weathers the Stock Market

Written by Dr. Charlie Tian


Robert Rodriguez likes to buy stocks at their lows. When there are not enough stocks hitting new lows, he closes his fund and piles up cash. This is what he has been doing lately. His moves deserve attention for good reasons, his $1.7 billion FPA Capital Fund has averaged an annual total return of more than 17% overrepparttar last 20 years, net of sales charge, handily beating allrepparttar 143036 benchmarks by wide margins.

As Robert Rodriguez finds slim pickings inrepparttar 143037 stock market, his goal has changed to capital preservation. The cash position in his fund has been in steady increase. On March 31, 2005 , it is at 34%. As a reference, between 1984 and 1997, his cash level was rarely above 5% and most ofrepparttar 143038 time it was less than 2%. Now he is sitting on this big trunk of cash, awaiting opportunities. "You never knowrepparttar 143039 value of liquidity until you need it and don't have it." He said, “This is one of those times when it takes a great deal of patience, discipline, and conviction to maintain such a contrarian position, because ofrepparttar 143040 potential business and investment risk that it entails.”

Robert Rodriguez’ contrarian position in investment goes beyond adjustingrepparttar 143041 level of cash. He also reduces his fund’s weighting inrepparttar 143042 sectors or industries that he thinks are overpriced. He has done this before. The years of 1979 –1981 wasrepparttar 143043 time ofrepparttar 143044 second oil crisis, oil and gas prices were soaring. Many "experts" were forecasting oil prices of $100 per barrel within ten years. Energy stocks were being valued as growth stocks and represented nearly 31% ofrepparttar 143045 S&P 500's market capitalization. Robert Rodriguez went torepparttar 143046 contrary; he liquidated all his energy stocks and bought bonds. The oil mania resulted in large-scale capital destruction with virtually every bank inrepparttar 143047 state of Texas going bankrupt by 1987.

Robert Rodriguez’s contrarian investment style was tested again duringrepparttar 143048 peak ofrepparttar 143049 tech bubble. In March 2000, he analyzedrepparttar 143050 operating and stock market performances of Microsoft and Cisco Systems, made growth assumptions for them andrepparttar 143051 U.S. economy. He biased downrepparttar 143052 expected growth and valuation assumptions for each of these companies. The result was that Microsoft's market valuation would increase to 36% of nominal GDP. Cisco's expected market valuation would rise to 48% of nominal GDP. The combination of these two estimates would equal 84% of GDP by 2010. Apparently (now)repparttar 143053 odds of this happening were not great. In light of these trends, he reduced his Fund's exposure to technology stocks. We all know how that bubble ended.

A good dental insurance policy can make your smile brighter

Written by Raasha tandon


Dental insurance is a type of insurance in whichrepparttar beneficiary andrepparttar 143035 policy provider agree on a plan in whichrepparttar 143036 policy provider pays forrepparttar 143037 dental services used. This dental service can be fromrepparttar 143038 dentist, dental hygienist or any other person involved in dental health. In exchange forrepparttar 143039 insurancerepparttar 143040 beneficiary has to payrepparttar 143041 annual premium, co-payment, deductible, etc.

Dental insurance is broadly divided into two types based onrepparttar 143042 restrictions forrepparttar 143043 physicians that can be sought,repparttar 143044 payment method torepparttar 143045 physicians, etc. these two types are: Fee for service plan andrepparttar 143046 Managed care plan. These types of plans are more or less similar torepparttar 143047 general health insurance.

Fee for service plan: Inrepparttar 143048 fee for service planrepparttar 143049 beneficiary is supposed to pay forrepparttar 143050 services he has taken every time he / she takes those services. The beneficiary can choose any ofrepparttar 143051 doctors orrepparttar 143052 health care providers by himself and then submitrepparttar 143053 claim torepparttar 143054 insurance company. This is further subdivided into reimbursement plans andrepparttar 143055 indemnity plans. Inrepparttar 143056 former, you will claim forrepparttar 143057 bills incurred while having services fromrepparttar 143058 dental health care provider. This claim will be reimbursed irrespective ofrepparttar 143059 type of services sought. Inrepparttar 143060 latter, you will be reimbursed based onrepparttar 143061 based onrepparttar 143062 set amount thatrepparttar 143063 insurance company gives forrepparttar 143064 specific service. In both ofrepparttar 143065 cases it is you who is going to decide who should your doctor be.

Managed care plan: In this type of planrepparttar 143066 insurance company

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