Northern Flicker,
Your thoughts on the following...
Even though any premium for moving into and out of an asset class should get washed out by that market you can still profit from being in the asset class based on fundamentals of the asset class at any particular time, correct?
For instance, if I invest in a high risk stock because I see something in the fundamentals the market hasn't picked up on I'm able to get in at rock-bottom and realize a premium when the earnings reversal occurs.
The late-comers don't get the premium but they still profit from future earnings, right?
Maybe it's the same with dynamic risk allocating. Maybe they hit things just right occasionally and they realize a premium but are they always looking for a premium? Maybe it's just a matter of time in and time out of the asset class, more accurately the changing allocation, any premium is icing on the cake.
Thanks.
Your thoughts on the following...
Even though any premium for moving into and out of an asset class should get washed out by that market you can still profit from being in the asset class based on fundamentals of the asset class at any particular time, correct?
For instance, if I invest in a high risk stock because I see something in the fundamentals the market hasn't picked up on I'm able to get in at rock-bottom and realize a premium when the earnings reversal occurs.
The late-comers don't get the premium but they still profit from future earnings, right?
Maybe it's the same with dynamic risk allocating. Maybe they hit things just right occasionally and they realize a premium but are they always looking for a premium? Maybe it's just a matter of time in and time out of the asset class, more accurately the changing allocation, any premium is icing on the cake.
Thanks.
Statistics: Posted by KEotSK66 — Sun Nov 17, 2024 6:05 am