Comments on: Happy New Year to my Readers

By: David Merkel

David Merkel — Wed, 07 Jan 2009 04:58:20 +0000

Hi, Rose. My best to your family as well. I’m afraid my view of cash has degraded as our government has moved to guarantee much of the short term liabilities in the financial system. Bank deposits under the FDIC limits, gtd MMMFs, etc., are cash. T-bills don’t pay.

That said, I would also consider gold, yen and commodity currencies in this environment as stores of value.

By: Rose

Rose — Wed, 07 Jan 2009 03:15:04 +0000

Hi David,
Happy New Year to the entire Merkel crew! Your blog is extremely helpful (no surprise). I’m curious to know how you define “cash” in your current asset allocation and whether your definition has become more conservative in light of recent market developments.

Rose

By: matt

matt — Mon, 05 Jan 2009 22:08:53 +0000

I can’t wait to read your piece on mutual banks.

By: KevinMorrow

KevinMorrow — Mon, 05 Jan 2009 14:20:38 +0000

Mr. Merkel,
I’ve been an avid reader of your blob since picking up some of your thoughts from the Seeking Alpha site. Although I don’t always understand the comments (i.e. the recent FASB stuff) I enjoy reading them. Its good to be stretched.

As for the portfolio mentioned above, I’d be curious to read your compare /contrast between it and your “church portfolio” (from 17Dec08). The church portfolio seems to hedge the fact that the US economy is bicycle stable, while the portfolio above seems to be riding the bicycle. Obviously, you believe both can be successful so I’m curious under what circumstances each is successful.

By: Mcwop

Mcwop — Mon, 05 Jan 2009 04:49:02 +0000

Here are my current positions, most opened up in the past month. Cost basis in paren.

APPLE INC (91.85)
BANK OF AMERICA CORPORATION preferred L (655.13)
BOLT TECHNOLOGY CORP (7.11)
DYNAMIC MATERIALS CORP (15)
COLFAX CORPORATION (15.43)
DIODES INC (4.01)
GOOGLE INC (292.25)
ALTRIA GROUP INC (15)
MSFT JAN 2010 27.5 Call (2.45)
NATIONAL BANK OF GREECE SA (3.22)
NOVARTIS AG ADR (47.63)
TASEKO MINES LTD (0.59)
DIREXION SHARES ETF TRUST TNA (36.58)

I did take losses this year, but unwound positions, sat on cash, and recently put it to work. I am now cautiously bullish. I may short treasuries this week.

By: hmf

hmf — Sun, 04 Jan 2009 08:08:08 +0000

I thoroughly value your blog, your openness with your readers & if I represented an institution, I would feel privileged to be your first client. Best wishes to you & your family for a healthy & happy New Year.

By: GloomBoom

GloomBoom — Sat, 03 Jan 2009 19:39:08 +0000

Wow, that is quite a list of stocks to go through. Thanks for all of your insight, I really appreciate it and hope to continue to learn from you. Good investing in 2009!

By: RO

RO — Sat, 03 Jan 2009 13:45:10 +0000

Fascinating blog, and I have picked up intriguing insights, but I am not sure what to do with them. I minored in economics, but that was last touched 22 years ago, and I have not kept up with the technical details that you delve into. I have followed politics and economics from a more general perspective, so have some orientation there, but terms like TIPS (Treauries?) and GSE’s, etc are baffling. How about a glossary link we can jump to for decoding your acronyms?

TIA,
Rory

By: Daniel

Daniel — Sat, 03 Jan 2009 12:56:10 +0000

David,
I just want to emerge from lurkdom and say it’s been a privilege reading your “mutterings” over the past year or so. You’ve become one of my key educators, especially on credit, banking and insurance issues in the market.

Best of luck in 2009!