Nevada’s public employee pension fund invests passively and beats peers (2016) • Hacker News Board

Re: Nevada’s public employee pension fund invests passively and beats peers (2016)

#491

Post by _Tev » Thu, Jul 18, 2024, 9:16 AM UTC

throwaway2037 wrote: post #484

JamesBarney wrote: post #353

Earlier quoted context omitted.

It's unrealistic for people who have no money to invest. But the top 5% in the US make 300k+. If you can't save anything making 300k you have a spending problem. Honestly I'd you're making 100k can can't save you have a spending problem.

It is interesting that you cofounded two points from my point to assume that I meant the top 5% of earners in the US. No, I have see personal finance Q&A from all income levels where people have out of control spending. I think this is the norm in the US.

The confounding is natural - If you even think about investing, then having a financial cushion is the best investment to de-risk your life.

If you don't, you are screwed either way.

Re: Nevada’s public employee pension fund invests passively and beats peers (2016)

#492

Post by xenadu02 » Thu, Jul 18, 2024, 9:02 PM UTC

grepLeigh wrote: post #272

Disclaimer: I'm not a financial advisor. Whenever I'm tempted to buy individual high performing tickers (e.g. NVDA, TSLA, AMD), I restrict the purchase to no more than 2% of my portfolio and I only allow myself to bet on 2-3 "race horses" at a time. I think this fulfills the desire to gamble a little and see 100-200% YoY returns. NVDA cracked 300% cost basis when I finally sold, which is wild. The reason I can do thi…

Similar here. My $4k in TSLA's IPO was just a gamble that EVs would not die (per conventional wisdom) but were here to stay.

A few years ago I sold $100k of TSLA and retained the other $100k which is worth more now.

It was just a gamble. I'm not silly enough to think I can pick winners like that all the time.

Re: Nevada’s public employee pension fund invests passively and beats peers (2016)

#493

Post by wslh » Thu, Jul 18, 2024, 9:38 PM UTC

gamepsys wrote: post #463

wslh wrote: post #306

Earlier quoted context omitted.

1000% but when it is the right time (per fundamental analysis). For example around the subprime crisis companies such as Microsoft had a low PE ratio and the average person thought that Microsoft was a loser vs. Apple and Google. Microsoft has a resilience track record that would be the envy of most companies and .NET was a real thing. I also remember other companies such as Globant that has a lower PE price vs. simi…

Rule of thumb, the more people are talking about a stock the more weary you should be that your insight is ahead of the curve.

Completely, is linked to the Warren Buffet insight watching people playing at the Casinos [1].

[1] https://money.com/warren-buffett-stock-market-casino/

Re: Nevada’s public employee pension fund invests passively and beats peers (2016)

#494

Post by chrisaiv » Fri, Jul 19, 2024, 5:57 PM UTC

Great tool for bypassing paywalled articles. https://routinehub.co/shortcut/19150/

Re: Nevada’s public employee pension fund invests passively and beats peers (2016)

#495

Post by Findeton » Wed, Jul 24, 2024, 10:42 PM UTC

p_j_w wrote: post #451

Findeton wrote: post #187

Earlier quoted context omitted.

Yes some people might do it by chance. Some other people, they do it by knowledge.

How do you tell one from the other?

You learn enough about value investing to know who is actually following that framework and then you just hope it works. Note: it works.

Re: Nevada’s public employee pension fund invests passively and beats peers (2016)

#496

Post by jacobsimon » Fri, Jul 26, 2024, 4:15 AM UTC

Etheryte wrote: post #489

jacobsimon wrote: post #467

Earlier quoted context omitted.

Sorry I know what you mean - I’m just having trouble finding any data source / website that shows useful comparisons going back that far - what website are you looking at? These are the 10 year returns I’m seeing according to S&P: S&P 500: 11.1% S&P 500 Top 50: 13.2% S&P 500 Top 10: 18.1% The trend is pretty clear, at least in the last decade. My other point was that the historical data may not be as relevant because…

I use IBKR for data, but you could also get ticker data from Yahoo Finance or other similar sources, albeit manually since they don't have an API afaik. A simple although simplistic way to backtest ideas like this is Portfolio Visualizer [0], you need an account, but a free one should work. I've uploaded a screenshot of a sample run where the top company in SP500 was held for a year and then swapped out if needed on…

Thanks for following up - just saw this!