Comments on: My Annual Investment Portfolio Tune-up: Did I Beat the S&P 500 in 2007? http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/ Money Management and Personal Finance | The Dough Roller Sat, 21 Nov 2009 01:10:27 -0800 http://wordpress.org/?v=2.8.4 hourly 1 By: DR http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/comment-page-1/#comment-11876 DR Sat, 18 Apr 2009 01:51:12 +0000 http://www.doughroller.net/2007/12/28/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/#comment-11876 Sanjeev, that's a great question. In my view, a fund should be compared against the index that most closely matches its asset class. For large U.S. companies, that's typically the S&P 500. For mid-cap to small-cap companies, the Russell 3000 or Wilshire 5000 is the better comparison. Sanjeev, that’s a great question. In my view, a fund should be compared against the index that most closely matches its asset class. For large U.S. companies, that’s typically the S&P 500. For mid-cap to small-cap companies, the Russell 3000 or Wilshire 5000 is the better comparison.

]]> By: Sanjeev Bhadresa http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/comment-page-1/#comment-11858 Sanjeev Bhadresa Fri, 17 Apr 2009 00:27:45 +0000 http://www.doughroller.net/2007/12/28/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/#comment-11858 Just a more general question. Why do people compare their performance against the S&P500 specifically. Why not the Russell 3000 for example? Just a more general question. Why do people compare their performance against the S&P500 specifically. Why not the Russell 3000 for example?

]]> By: DR http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/comment-page-1/#comment-4290 DR Mon, 28 Jan 2008 02:48:05 +0000 http://www.doughroller.net/2007/12/28/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/#comment-4290 JJ, Interesting approach. But when it comes to investing, I strive for mediocrity. Striving for more usually results in a lot less. How have your investments performed over the past 15 to 20 years? Also, what were you invested in during 2007 that returned 30%? JJ, Interesting approach. But when it comes to investing, I strive for mediocrity. Striving for more usually results in a lot less. How have your investments performed over the past 15 to 20 years? Also, what were you invested in during 2007 that returned 30%?

]]> By: JJ http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/comment-page-1/#comment-4287 JJ Sun, 27 Jan 2008 23:24:35 +0000 http://www.doughroller.net/2007/12/28/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/#comment-4287 The S&P 500 increased 3.81% over 2007. My combined Roth and IRA was up 30.31%. My wife's, which I manage, were up 25.95%. The year before, our larger accounts were managed by a very big name, well known to anyone familiar with investing. While he beat the S&P which was up 13.62% for 2006, my wife's accounts were up 25.75%. For 2005, the figures were similar. S&P 3.69%, my wife's +14.01% After three years of kicking his butt, and other problems as well, I fired him and do it myself. I rode REITs, specifically FRESX, for five years, but when it got tired, I left for FIREX late in 2007, and then quickly sold FIREX for things like EWZ, OBCHX, and FXI. Portfolio diversification is terribly overrated. It ensures mediocrity. Nevertheless, all these previous successes did not avail me much during the past five months. The S&P 500 increased 3.81% over 2007.
My combined Roth and IRA was up 30.31%.
My wife’s, which I manage, were up 25.95%.

The year before, our larger accounts were managed by a very big name, well known to anyone familiar with investing. While he beat the S&P which was up 13.62% for 2006, my wife’s accounts were up 25.75%.
For 2005, the figures were similar. S&P 3.69%, my wife’s +14.01%

After three years of kicking his butt, and other problems as well, I fired him and do it myself.

I rode REITs, specifically FRESX, for five years, but when it got tired, I left for FIREX late in 2007, and then quickly sold FIREX for things like EWZ, OBCHX, and FXI.

Portfolio diversification is terribly overrated. It ensures mediocrity.

Nevertheless, all these previous successes did not avail me much during the past five months.

]]> By: DR http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/comment-page-1/#comment-4248 DR Sat, 26 Jan 2008 00:18:07 +0000 http://www.doughroller.net/2007/12/28/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/#comment-4248 mobajwa, absolutely. All returns are net not only of the expense ratio, but also of all trading fees the funds charge investors, which aren't included in the expense ratio. mobajwa, absolutely. All returns are net not only of the expense ratio, but also of all trading fees the funds charge investors, which aren’t included in the expense ratio.

]]> By: mobajwa http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/comment-page-1/#comment-4245 mobajwa Fri, 25 Jan 2008 22:27:27 +0000 http://www.doughroller.net/2007/12/28/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/#comment-4245 Just curious. do the return figures after factoring out the expense ratio's of the funds ? Just curious. do the return figures after factoring out the expense ratio’s of the funds ?

]]> By: Sunday Money Roundup - Busting Out All Over Edition. | My Two Dollars http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/comment-page-1/#comment-3927 Sunday Money Roundup - Busting Out All Over Edition. | My Two Dollars Sun, 06 Jan 2008 15:04:34 +0000 http://www.doughroller.net/2007/12/28/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/#comment-3927 [...] The Dough Roller answers the question “Did I Beat the S&P 500 in 2007?“. [...] [...] The Dough Roller answers the question “Did I Beat the S&P 500 in 2007?“. [...]

]]> By: Bookmarks Tagged Portfolio http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/comment-page-1/#comment-3882 Bookmarks Tagged Portfolio Sun, 30 Dec 2007 15:41:41 +0000 http://www.doughroller.net/2007/12/28/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/#comment-3882 [...] bookmarks tagged portfolio My Annual Investment Portfolio Tune-up: Did I Beat... saved by 3 others     Hisautumnrain bookmarked on 12/30/07 | [...] [...] bookmarks tagged portfolio My Annual Investment Portfolio Tune-up: Did I Beat… saved by 3 others     Hisautumnrain bookmarked on 12/30/07 | [...]

]]> By: DR http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/comment-page-1/#comment-3878 DR Sun, 30 Dec 2007 02:06:00 +0000 http://www.doughroller.net/2007/12/28/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/#comment-3878 Martijn, that's a very good observation. In fact, my international investments in general over the past several years have contributed a significant portion of my gains. The falling dollar has helped. Martijn, that’s a very good observation. In fact, my international investments in general over the past several years have contributed a significant portion of my gains. The falling dollar has helped.

]]> By: DR http://www.doughroller.net/investing/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/comment-page-1/#comment-3877 DR Sun, 30 Dec 2007 02:04:22 +0000 http://www.doughroller.net/2007/12/28/my-annual-investment-portfolio-tune-up-did-i-beat-the-sp-500-in-2007/#comment-3877 Debbie M, I couldn't agree more that you should compare individual funds with their respective benchmarks. Comparing an emerging market fund to the S&P 500, for example, would be pointless. You can follow the links I have for each fund to the Morningstar Snapshot, and it will show you how each fund has done versus the S&P 500 and the fund's category. In 2007, the Vanguard Emerging Mrkt fund beat its category and its benchmark, while the Vanguard REIT fund did not. As for the entire portfolio, the S&P 500 or some other "total market" benchmark is as good as any for a meaningful comparison. Debbie M, I couldn’t agree more that you should compare individual funds with their respective benchmarks. Comparing an emerging market fund to the S&P 500, for example, would be pointless. You can follow the links I have for each fund to the Morningstar Snapshot, and it will show you how each fund has done versus the S&P 500 and the fund’s category. In 2007, the Vanguard Emerging Mrkt fund beat its category and its benchmark, while the Vanguard REIT fund did not. As for the entire portfolio, the S&P 500 or some other “total market” benchmark is as good as any for a meaningful comparison.

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