'Deathtrap' on GM's naughty words list

GM warned employees to not use these words and phrases in memos.

NEW YORK (CNNMoney) "Deathtrap," "widowmaker," "rolling sarcophagus."

Those are a few of the words that General Motors asked its employees to avoid using in their internal communications.

A lengthy list of unacceptable terms appeared in a 2008 presentation given to GM (GM, Fortune 500) employees on how to communicate with each other regarding possible safety issues.

Besides individual words, certain phrases were also discouraged in the presentation. "This is a lawsuit waiting to happen," and "Unbelievable engineering screw-up" were among what the presentation described as "examples of comments that do not help identify and solve problems."

Rather, employees should use phrases like "Windshield wipers did not work properly. Would run for 3-4 seconds and then quit for the next 7-8 minutes... repeatedly."

Among the "Judgement words" employees were told to avoid: "Hindenburg," "powder keg," "Titanic," "apocalyptic," "You're toast," and "Kevorkianesque."

  GM's recall nightmare won't end

Less inflammatory words such as "safety," "safety related," "serious," "failure," and "defect" were also listed as words to be avoided.

GM fined $35 million for delayed recall

Such words and phrases were not to be used because they are "vague and non-descriptive" according to GM's presentation.

Instead of "Safety," an employee should write that something has "Has potential safety implications." Instead of "Defect," an employee should say that something "Does not perform to design." Instead of a "Problem," there is an "Issue, condition, matter."

As part of the evaluation process for new vehicles, automakers will often have company employees drive vehicles before they go into full production. The employees can then share any problems they might experience so issues can be resolved before the car, truck or SUV is released to the public.

Family asks to re-open GM recall

In the presentation, GM admonished employees to "Understand that there reall! y aren't any secrets in this company".

"For anything you say or do, ask yourself how you would react if it was reported in a major newspaper or on television."

National Highway Traffic Safety Administration Acting Administrator David Friedman criticized GM for the presentation during a press conference Friday. Friedman said that, in telling employees to avoid certain language when writing about safety issues, GM was discouraging open and free discussion of potential problems.

"We encourage employees to be factual in their statements and will continue to work with NHTSA to improve our safety processes," GM said in a written statement responding to questions about the presentation. "Today's GM encourages employees to discuss safety issues, which is re-enforced through GM's recently announced Speak Up for Safety Program."

In the "Speak Up for Safety" program, GM has said it will recognize employees who share ideas to make vehicles safer or who point out potential safety issues in vehicles.

Timeline - Steps to a recall nightmare

Prior to the new safety promotion program, which was introduced after a massive recall over ignition switches tied to 13 deaths, employees were told not to be "cute or clever," something that might be "especially easy to do in an e-mail, when there might be a temptation to use a casual tone to describe a potentially serious safety risk."

The presentation, which was released to the public on Friday by NHTSA, concluded with the warning to "Consider how documents will be interpreted by people outside of GM."

The presentation, labeled "GM confidential," was submitted to NHTSA as part of the agency's investigation into the automaker's delayed recall of the Chevrolet Cobalt and other cars due the ignition switch problem.

On Friday GM agreed to pay a $35 million fine -- the maximum possible for a single violation -- for not reporting the problem to NHTSA quickly enough.

Chipotle plans first price hike in 3 years

NEW YORK (AP) — Chipotle is feeling confident that customers are willing to pay more for its burritos, bowls and tacos.

The Mexican food chain said Thursday that it would raise prices for the first time in three years as its popularity continues to soar. Menu boards with the new prices should start rolling out in coming weeks and be in place at all restaurants by this summer.

Executives have said in the past they were considering a hike of about 3% to 5%. That translates to an extra 24 cents to 50 cents for an $8 burrito bowl.

Jack Hartung, Chipotle's chief financial officer, said during a conference call with analysts that price is not the main reason customers visit its restaurants anyway.

"Most of the value comes from the experience," he said.

Hartung also noted that the company had earned "permission" from customers to raise prices because of that experience. And if needed, he said Chipotle still had the leeway to further raise prices without scaring off customers.

"We've still got room," he said.

The decision comes as higher costs for beef, avocados and cheese have pressured profit margins for the chain, with net income for the first quarter coming in below Wall Street expectations. Still, Chipotle said sales at established locations rose 13.4% during the period and it raised its outlook for the year. It now expects the sales figure to grow in the high-single digits, before factoring in the price hikes.

The Denver-based chain's popularity has surged in recent years because people like that they watch as they tell workers what toppings to put on their orders. The chain has also invested in marketing to build up its reputation as higher-quality alternative to places like Burger King and Wendy's.

MORE: Chipotle shares sink on disappointing earnings

Those traditional fast-food chains have struggled to grow sales as customers increasingly flock to foods they feel are fresh or higher in quality. In contrast to Chipotle, for instance, McDonald'! s has said it needs to focus on underscoring the value it offers.

McDonald's CEO Don Thompson has also noted that there is a bit of "bifurcation" in the fast-food industry, with better-off customers heading to the new breed of chains that charge more.

For the three months ended March 31, Chipotle Mexican Grill Inc. said net income rose 8% to $83.1 million, or $2.64 per share. That's up from $76.6 million, or $2.45 per share, a year ago. Analysts expected $2.86 per share, according to FactSet.

Revenue climbed a stronger-than-expected 24% to $904.2 million.

Chipotle has also been expanding rapidly. It opened 44 restaurants during the quarter and plans to open 180 to 195 restaurants during all of 2014. It already has more than 1,600 locations.

Its shares fell $32.79, or 5.9%, to close Thursday at $519.61. Its shares are up almost 70% the past year.

Follow Candice Choi at @candicechoi

Americans Confident on Taxes but Clueless in One Big Area

A national tax study by BMO Harris Financial Advisors, released last week, found that although many taxpayers confidently prepared their own returns, they felt less smart about tax-efficient investing.

Forty-eight percent of those surveyed did their own tax returns, and 83% were confident that their completed tax returns would take advantage of all of the tax deductions, tax credits or other tax savings that might be available to them.

However, 45% of respondents admitted they didn’t know much about investment solutions designed to reduce overall tax liability, including protecting their investments from tax liability and transitioning them in a tax-efficient manner to the next generation.

Only 44% of survey respondents understood how capital gains were taxed, and 47% understood how dividend income was treated for tax purposes.

Pollara conducted the online survey of 1,000 Americans 18 and older between March 7 and March 10.

 “There’s a sense of confidence this tax season as Americans across the country prepare their tax returns in advance of the April 15 filing deadline,” Mike Miroballi, president of BMO Harris Financial Advisors, said in a statement.

“However, it’s critical that people have an appreciation of and basic knowledge about how tax rules impact all their assets, including their investments.”

Miroballi said a financial professional could work with clients to determine investment solutions that best fit their specific needs and goals, including reducing tax liability and transitioning assets to the next generation in a tax-efficient manner.

Indeed, a wide spectrum of investors seeks tax and estate planning advice, according to UBS Wealth Management Americas.

The BMO Harris study also found that those expecting a tax refund planned to do these things with the money:

5 Smartwatches You Can Buy Right Now

The rumors are growing that Apple is on the cusp of releasing its iWatch, but while investors are impatiently waiting for the company to enter the wearables market, Samsung (NASDAQOTH: SSNLF  ) , Sony (NYSE: SNE  ) , Qualcomm (NASDAQ: QCOM  ) and others are already firmly in the smartwatch space.

Flip through the slideshow below to check out some of the latest smartwatches on the market and the key features that make them stand out from the rest of the pack. The devices run the gamut from the top tech companies to crowd-sourced start-ups, and each have their own merits. Whether you prefer high-end cameras, special apps, or a budget conscious option, the following smartwatches are some of the best on the market.

The Motley Fool's top stock for 2014
There's a huge difference between a good stock and a stock that can make you rich. The Motley Fool's chief investment officer has selected his No. 1 stock for 2014, and it's one of those stocks that could make you rich. You can find out which stock it is in the special free report "The Motley Fool's Top Stock for 2014." Just click here to access the report and find out the name of this under-the-radar company.

 

20 Best & Worst Fund Families of 2013

In 2013, total mutual fund assets grew by nearly 20%, or $282 billion, largely thanks to to substantial asset growth in passively managed products, reports Cerulli Associates in its latest industry report, released Friday.

Equity products dominated the fund landscape last year, capturing flows of $232 billion, the research firm says. They jumped by $5 billion in December.

Last year, of course, the markets had a solid year.

While the major U.S. market indexes are down about 4% this month, they had a terrific 2013. The Dow Jones rose 29.65%, the S&P 500 32.39% and the NASDAQ 40.12%. Meanwhile the MSCI World Index Ex-USA has a total return of 21.57%.

The Barclays U.S. Aggregate Bond Index, however, dropped 2.02%.

“With few exceptions, the largest mutual fund managers continued to grow their asset bases over the course of 2013,” said Cerulli in its latest report.

(Check out: 12 Best & Worst Broker-Dealer 401(k) Plans: BrightScope)

Of course, there were clear winners and losers among the mutual fund families in terms of fund flows in 2013. These results, the consulting group’s research shows, are largely tied to the performance of certain key funds that investors either loved or despised last year.

10th Best

BLACKROCK (BLK)

BlackRock, owner of the iShares family of ETFs, had inflows of $11.4 billion last year. The latest Morningstar tally shows that fund had roughly $160 billion in total client assets. Its average fund performance was 11% in 2013, and its industry market share stayed steady over the past 12 months at 1.7%, Cerulli reports. 

9th Best

JOHN HANCOCK

John Hancock funds added roughly $11.6 billion in 2013. The group’s overall market share remained at 1.8%, and its funds had an average return of 14.3% last year. The company is part of Manulife Financial and is the main sponsor of the Boston Marathon.

8th Best

OAKMARK 

Oakmark increased its market share to 2% from 1.8% last year, thanks to fund inflows of $13.6 billion. Its funds had a strong average performance of 17.3% last year. The Oakmark International Fund (OAKIX), for instance, is ranked by Morningstar as the best performer in its fund category, rising more than 17% for the past 12 months and full-year inflows of $12.5 billion.

7th Best

MAINSTAY

MainStay Funds had inflows of $14.2 billion, increasing their market share to 2% from 1.9% in 2013. The MainStay Marketfield Fund (MFLDX) attracted $13.4 billion on net assets. The long/short equity fund had returns of 10.65% last year. As of late January, it is down about 0.6%, putting it well ahead of the S&P 500’s fall of over 3%, Morningstar says.

6th Best

GOLDMAN SACHS (GS)

Goldman Sachs funds attracted close to $15 billion in net inflows last year, giving it 3.8% market share vs. 3.6% a year earlier. The Goldman Sachs Strategic Income Fund (GSFAX) brought in over $11.5 billion fund flows. The fund, which has most of its holdings in short-term bonds, has a one-year performance of 4% and a three-year performance of nearly 5%.

5th Best

OPPENHEIMER FUNDS

Oppenheimer Funds, owned by Massachusetts Mutual Life, had fund inflows of over $16 billion in 2013, and its industry market share is close to 4%. Among its most popular products is the Oppenheimer Senior Floating Rate Fund (OOSAX), which had $11 billion of net inflows last year. The fund ticked up nearly 6% last year—nearly 6% ahead of most funds in its Morningstar category. 

4th Best

MFS FUNDS

MFS Funds attracted some $18 billion on net inflows in 2013. Its current market share is about 4.7%, down from roughly 6% in 2012. Some of its most popular products are the MFS Lifetime 2010 Fund (MFSAX) and the MFS New Discovery Fund (MNDIX), a small-cap growth fund that rose 26.8% in the past 12 months, nearly 5% ahead of the S&P 500, according to Morningstar.

3rd Best

JPMORGAN FUNDS (JPM)

JPMorgan Funds had a stellar 2013, drawing more than $21 billion in net assets. The group now has about a 10% industry market share. The JPMorgan Strategic Income Opportunities Fund (JSOSX) had inflows of over $10 million last year; this fund has about $25 billion in total assets and it jumped more than 2% last year, ahead of most bond-focused investments. Another popular fund in its lineup is the JPMorgan Core Bond (WOBDX).

2nd Best

DIMENSIONAL FUND ADVISORS

Dimensional Fund Advisors, or DFA, had net inflows of nearly $23 billion in 2013. This helped push its market share to 10.6% of the industry from 10.1% a year earlier. Some of its top-performing funds are the DFA Tax-Managed US Marketwide Value (DTMMX), which rose over 40% last year, and the DFA Tax-Managed US Marketwide Value II (DFMVX), which had similarly strong results.

BEST

VANGUARD

Vanguard had 17.5% of industry market share in late 2013, up from 16.9% a year earlier. Its inflows were almost $75 billion, roughly three times that of the second-best fund family (DFA).

Four of its funds were in the top-10 fund list, as ranked by asset flows in 2013. At the top, was the Vanguard Total International Bond Index Fund (BNDX, VTIBX)—with inflows of $18.7 billion. In the number-two slot last year was the Vanguard Total International Stock Index Fund (VXUS, VGTSX) with inflows of $17.9 billion. The third most popular fund was the Vanguard Total Stock Index Fund (VTI, VTSMX) at $17.5 billion.

The Vanguard Total Bond Market II Index Fund (VTBIX) attracted $9.6 billion in net inflows, putting in in ninth place for 2013.

10th Worst

DAVIS FUNDS

Davis Funds had outflows of $4.1 billion last year, according to Cerulli. The group is led by Christopher C. Davis, whose family started the firm in 1969. The family traces its roots to Shelby Cullom Davis, an advisor to governors and presidents and father of David Funds founder Shelby M.C. Davis.

9th Worst

ING RETIREMENT FUNDS

ING Retirement Funds experienced outflows of $4.8 billion in 2013. The portfolios can only be bought within variable insurance products and retirement programs. They include target date, target risk, fundamental equity, fixed income and real estate investments.

8th Worst

ROYCE FUNDS

Royce Funds’ outflows in 2013 totaled $5.1 billion. Founder Chuck Royce, who started the group in 1972, says the funds use a value-based approach to invest in companies with small market capitalizations.

7th Worst

DOUBLELINE

DoubleLine’s outflows were $5.8 billion last year. The firm, which is led by former TCW executive Jeffry Gundlach, specializes in fixed-income products, which had a tough 2013. It does offer investors U.S. equity products, as well, though Gundlach is bearish on how they will fare this year.

6th Worst

PERMANENT PORTFOLIO 

Permanent Portfolio’s products lost assets of $6.6 billion in 2013. Its flagship fund of the same name (PRPFX) lost 2% before taxes. The fund’s aim is to outperform the Citigroup 3-Month U.S. Treasury Bill Index, and its largest holdings are in gold, silver and U.S. Treasuries.

5th Worse

HARTFORD MUTAL FUNDS

Hartford Mutual Funds saw outflows of $9.3 billion in 2013. According to Morningstar, its average fund performance was 15% last year. The group appointed a new head of marketing a year ago, Jac McLean, formerly with Eaton Vance and MFS. It also expanded its relationship with sub-advisor Wellington Management.

4th Worse

JANUS FUNDS

Janus’ outflows were roughly $11.9 billion last year, about $6.2 billion moved out of the products in the last three months of 2013. Total assets under management were roughly $174 billion as of Dec. 31, up from $166.7 billion at Sept. 30, thanks to market gains. Janus CEO Richard Weil, who has led the firm since early 2010, has said the improving flows and results is "clearly the elephant in the room" as investors remain concerned with performance and portfolio manager changes.

3rd Worst

COLUMBIA FUNDS

Columbia Funds, led by Columbia Management Investment Advisers, lost roughly $12.1 billion in assets last year. The Ameriprise Financial (AMP) unit has seen several top executives depart in recent years, including its head of intermediary distribution and its U.S. asset management president. Its average fund return in 2013 was 13.4%, according to Morningstar.

2nd Worst

AMERICAN FUNDS

American Funds experienced over $19 billion in outflows in 2013. Its year-end assets were roughly $936 billion, Morningstar says, and its average fund return last year was 15.7%. Two of its funds, however, made the top-10 outflows list recently compiled by Cerulli: the American Fund Growth Fund of America, losing close to $10 billion of client assets to outflows, and the American Fund Bond Fund of America, losing $6.3 billion. 

WORST

PIMCO

The performance of many bond funds run by PIMCO, which just announced that its CEO and co-CIO Mohamed El-Erian will leave his posts in mid-March, moved down sharply last year, when the fund family had outflows of $30.4 billion. Its flagship PIMCO Total Return Fund had close to $40.5 billion in redemptions, while its PIMCO Real Return Fund saw $7.6 billion go out the door. 

-- Check out these stories on ThinkAdvisor:

Is Nokia a Buy Now?

With shares of Nokia (NYSE:NOK) trading around $8, is NOK an OUTPERFORM, WAIT AND SEE, or STAY AWAY? Let's analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

T = Trends for a Stock’s Movement

Nokia operates as a mobile communications company worldwide. It designs and develops mobile products and services; provides digital map information and related location-based content and services for mobile navigation devices, automotive navigation systems and Internet-based mapping applications; and provides mobile- and fixed-network infrastructure, communications, and networks service platforms, as well as professional services and business solutions to operators and service providers. Nokia operates in three segments: Devices & Services, HERE, and Nokia Siemens Networks.

The smartphone maker Nokia may not have officially revealed plans for making android devices, but rumors about the firm's first android based handset, thought to be codenamed Normandy, are buzzing again. Earlier, a report had claimed that the company might launch the Normandy in 2014 and described the Nokia Normandy efforts as full steam ahead. The report also revealed that the firm has been working on a forked or fully tailored version of android.

T = Technicals on the Stock Chart Are Strong

Nokia stock has been trending higher in the last several months. The stock is currently trading near highs for the year and looks set to continue this path. Analyzing the price trend and its strength can be done using key simple moving averages. What are the key moving averages? The 50-day (pink), 100-day (blue), and 200-day (yellow) simple moving averages. As seen in the daily price chart below, Nokia is trading above its rising key averages, which signal neutral to bullish price action in the near-term.

(Source: Thinkorswim)

Taking a look at the implied volatility (red) and implied volatility skew levels of Nokia options may help determine if investors are bullish, neutral, or bearish.

	Implied Volatility (IV)	30-Day IV Percentile	90-Day IV Percentile
Nokia options	42.76%	16%	13%

What does this mean? This means that investors or traders are buying a minimal amount of call and put options contracts, as compared to the last 30 and 90 trading days.

	Put IV Skew	Call IV Skew
January Options	Flat	Average
February Options	Flat	Average

As of today, there is an average demand from call buyers or sellers and low demand by put buyers or high demand by put sellers, all neutral to bullish over the next two months. To summarize, investors are buying a minimal amount of call and put option contracts and are leaning neutral to bullish over the next two months.

On the next page, let’s take a look at the earnings and revenue growth rates and the conclusion.

E = Earnings Are Mixed Quarter-Over-Quarter

Rising stock prices are often strongly correlated with rising earnings and revenue growth rates. Also, the last four quarterly earnings announcement reactions help gauge investor sentiment on Nokia’s stock. What do the last four quarterly earnings and revenue growth (Y-O-Y) figures for Nokia look like and more importantly, how did the markets like these numbers?

	2013 Q3	2013 Q2	2013 Q1	2012 Q4
Earnings Growth (Y-O-Y)	-91.96%	100.00%	13.64%	-87.10%
Revenue Growth (Y-O-Y)	-18.31%	-40.38%	-23.40%	-20.68%
Earnings Reaction	10.37%	-0.24%	-12.93%	-8.92%

Nokia has seen mixed earnings and decreasing revenue figures over the last four quarters. From these numbers, the markets have had conflicting feelings about Nokia’s recent earnings announcements.

P = Excellent Relative Performance Versus Peers and Sector

How has Nokia stock done relative to its peers, Apple (NASDAQ:AAPL), BlackBerry (NASDAQ:BBRY), Ericsson (NASDAQ:ERIC), and sector?

	Nokia	Apple	BlackBerry	Ericsson	Sector
Year-to-Date Return	98.89%	9.24%	-37.90%	21.40%	23.90%

Nokia has been a relative performance leader, year-to-date.

Conclusion

Nokia develops and delivers communications products to consumers and companies worldwide. The company might launch the Normandy in 2014 and described the Nokia Normandy efforts as full steam ahead. The stock has moved higher in recent months and is currently trading near highs for the year. Over the last four quarters, earnings have been mixed while revenues have been decreasing which has produced conflicting feelings among investors. Relative to its peers and sector, Nokia has been a year-to-date performance leader. Look for Nokia to OUTPERFORM.

5 Stocks Insiders Love Right Now

DELAFIELD, Wis. (Stockpickr) – Corporate insiders sell their own companies' stock for a number of reasons.

>>5 Rocket Stocks to Buy for a Santa Claus Rally

They might need the cash for a big personal purchase such as a new house or yacht, or they might need the cash to fund a charity. Sometimes they sell as part of a planned selling program that they have put in place for diversification purposes, which allows them to sell stock in stages instead of selling all at one price.

Other times they sell because they think their stock is overvalued and the risk/reward is no longer attractive. Some even dump their own stock because they have inside knowledge that a competitor is eating their lunch and stealing market share.

But insiders usually buy their own shares for one reason: They think the stock is a bargain and has tremendous upside.

>>5 Stocks Poised for Breakouts

The key word in that last statement is "think." Just because a corporate insider thinks his or her stock is going to trade higher, that doesn't mean it will play out that way. Insiders can have all the conviction in the world that their stock is a buy, but if the market doesn't agree with them, the stock could end up going nowhere. Also, I say "usually" because sometimes insiders are loaned money by the company to buy their own stock. Those loans are often sweetheart deals and shouldn't be viewed as organic insider buying.

At the end of the day, its large institutional money managers running big mutual funds and hedge funds that drive stock prices, not insiders. That said, many of these savvy stock operators will follow insider buying activity when they agree with the insider that the stock is undervalued and has upside potential. This is why it's so important to always be monitoring insider activity, but it's twice as important to make sure the trend of the stock coincides with the insider buying.

>>5 Dividend Stocks Ready to Pay You More in 2014

Recently, a number of companies' corporate insiders have bought large amounts of stock. These insiders are finding some value in the market, which warrants a closer look at these stocks. Here's a look at several stocks that insiders have been doing some big buying in per SEC filings.

Starbucks

One stock that insides are active in here is Starbucks (SBUX), a roaster, marketer and retailer of coffee operating in 60 countries. Insiders are buying this stock into notable strength, since shares are up 45% so far in 2013.

>>4 Big Stocks on Traders' Radars

Starbucks has a market cap of $58 billion and an enterprise value of $56 billion. This stock trades at a reasonable valuation, with a forward price-to-earnings of 24.47. Its estimated growth rate for this year is 17.3%, and for next year it's pegged at 20%. This is a cash-rich company, since the total cash position on its balance sheet is $3.23 billion and its total debt is $1.30 billion. This stock currently sports a dividend yield of 1.3%.

A director just bought 7,000 shares, or $535,000 worth of stock, at $76.43 per share.

From a technical perspective, SBUX is currently trending above its 200-day moving average and just below its 50-day moving average, which is neutral trendwise. This stock has sold off recently with shares falling from its high of $82.37 to its recent low of $75.91 a share. During that selloff, shares of SBUX have been making mostly lower highs and lower lows, which is bearish technical price action. That said, shares of SBUX have started to rebound off that $75.91 low and it's starting to move within range of triggering a near-term breakout trade.

If you're bullish on SBUX, then I would look for long-biased trades as long as this stock is trending above some near-term support at $75.91 and then once breaks out above some near-term overhead resistance levels at $78.50 a share to its 50-day moving average of $79.46 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 4.51 million shares. If that breakout hits soon, then SBUX will set up to re-test or possibly take out its 52-week high at $82.50 a share. Any high-volume move above that level will then give SBUX a chance to tag $85 to $90 a share.

Occidental Petroleum

Another stock that insiders are jumping into here is Occidental Petroleum (OXY), which engages in the exploration and production of oil and gas properties in the United States and internationally. Insiders are buying this stock into solid strength, since shares are up 22% so far in 2013.

>>5 Stocks Rising on Unusual Volume

Occidental Petroleum has a market cap of $75 billion and an enterprise value of $78 billion. This stock trades at a reasonable valuation, with a trailing price-to-earnings of 16.48 and a forward price-to-earnings of 12.93. Its estimated growth rate for this year is -0.60%, and for next year it's pegged at 2.8%. This is not a cash-rich company, since the total cash position on its balance sheet is $3.77 billion and its total debt is $7.56 billion. This stock currently sports a dividend yield of 2.8%.

A director just bought 5,000 shares, or about $456,000 worth of stock, at $91.32 per share.

From a technical perspective, OXY is currently trending above its 200-day moving average and just below its 50-day moving average, which is neutral trendwise. This stock has been uptrending strong for the last few weeks, with shares moving higher from its low of $90.13 to its intraday high of $93.88 a share. During that uptrend, shares of OXY have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of OXY within range of triggering a near-term breakout trade.

If you're in the bull camp on OXY, then I would look for long-biased trades as long as this stock is trending above some near-term support levels at $93 or at $92, and then once it breaks out above its 50-day moving average of $95.01 a share with high volume. Look for a sustained move or close above that level with volume that hits near or above its three-month average action of 3.64 million shares. If that breakout hits soon, then OXY will set up to re-test or possibly take out its next major overhead resistance levels at $97 to its 52-week high at $99.42 a share. Any high-volume move above those levels will then give OXY a chance to trend north of $100 a share.

Centene

Another stock that insiders are in love with here is Centene (CNC), which provides multiline health care programs and services in the U.S. Insiders are buying this stock into solid strength, since shares have spiked sharply higher so far in 2013 by 39%.

>>5 Stocks Under $10 Set to Soar

Centene has a market cap of $3.1 billion and an enterprise value of $2.79 billion. This stock trades at a cheap valuation, with a trailing price-to-earnings of 27.02 and a forward price-to-earnings of 15.86. Its estimated growth rate for this year is 48.9%, and for next year it's pegged at 27.2%. This is a cash-rich company, since the total cash position on its balance sheet is $863.91 million and its total debt is $520.98 million.

A director just bought 17,600 shares, or about $992,000 worth of stock, at $56.41 per share.

From a technical perspective, CNC is currently trending above its 200-day moving average and just below its 50-day moving average, which is neutral trendwise. This stock has been trending sideways for the last two months, with shares moving between $54.12 on the downside and $62.13 on the upside. Shares of CNC are now starting to spike higher just above its 200-day moving average of $54.58 a share. That move is quickly pushing shares of CNC within range of triggering a big breakout trade above the upper-end of its recent sideways trading chart pattern.

If you're bullish on CNC, then I would look for long-biased trades as long as this stock is trending above its 200-day at $54.58 or above more key support at $54.12, and then once it breaks out above some near-term overhead resistance levels at $59.13 to $62.13 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average volume of 612,491 shares. If that breakout hits soon, then CNC will set up to re-test or possibly take out its next major overhead resistance level at its 52-week high of $67.84 a share. Any high-volume move above that level will then give CNC a chance to tag $70 to $75 a share.

Kinder Morgan

One oil and gas player that insiders are snapping up a huge amount of stock in here is Kinder Morgan (KMI), which owns and operates energy transportation and storage assets in the U.S. and Canada. Insiders are buying this stock into modest weakness, since shares are up just 1.1% during the last three months.

>>5 Big Trades for Post-Taper Gains

Kinder Morgan has a market cap of $36 billion and an enterprise value of $71 billion. This stock trades at a cheap valuation, with a trailing price-to-earnings of 34.37 forward price-to-earnings of 24.22. Its estimated growth rate for this year is 40.8%, and for next year it's pegged at 113%. This is not a cash-rich company, since the total cash position on its balance sheet is $930 million and its total debt is a whopping $36.09 billion. This stock currently sports a dividend yield of 4.7%.

The CEO just bought 828,324 shares, or about $27.64 million worth of stock, at $33.05 to $33.86 per share.

From a technical perspective, KMI is currently trending above its 50-day moving average and just below its 200-day moving average, which is neutral trendwise. This stock has been uptrending strong for the last few weeks, with shares moving higher from its low of $32.30 to its intraday high of $35.77 a share. During that uptrend, shares of KMI have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of KMI within range of triggering a big breakout trade.

If you're bullish on KMI, then I would look for long-biased trades as long as this stock is trending above its 50-day at $34.82 or above more near-term support at $33, and then once it breaks out above its 200-day at $36.57 a share to more key overhead resistance levels at $36.75 to $37.86 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average volume of 5.82 million shares. If that breakout hits soon, then KMI will set up to re-test or possibly take out its next major overhead resistance levels at $39.58 to $40.60, a share or even its 52-week high at $41.49 a share. Any high-volume move above those levels will then give KMI a chance to tag $45 a share.

NuStar Energy

One final name with some big insider buying is NuStar Energy (NS), which is engaged in the terminalling and storage of petroleum products, the transportation of petroleum products and anhydrous ammonia, and asphalt and fuels marketing. Insiders are buying this stock into decent strength, since shares are up 19% so far in 2013.

NuStar Energy has a market cap of $3.9 billion and an enterprise value of $6.3 billion. This stock trades at a premium valuation, with a trailing price-to-earnings of 110.61 and a forward price-to-earnings of 27.18. Its estimated growth rate for this year is 46.6, and for next year it's pegged at 73.8%. This is a cash-rich company, since the total cash position on its balance sheet is $24.52 million and its total debt is $2.47 billion. This stock currently sports a dividend yield of 8.8%.

A director just bought 102,100 shares, or about $5 million worth of stock, at $49 per share.

From a technical perspective, NS is currently trending above both its 50-day and 200-day moving averages, which is bullish. This stock has been uptrending strong for the last three months and change, with shares soaring higher from its low of $35.25 to its recent high of $53.69 a share. During that move, shares of NS have been making mostly higher lows and higher highs, which is bullish technical price action.

If you're bullish on NS, then look for long-biased trades as long as this stock is trending above some near-term support at $48.01 or above its 50-day at $46.67 a share, and then once it breaks out above some near-term overhead resistance levels at $51.08 to $53.69 a share and above its 52-week high at $54.95 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 589,697 shares. If that breakout triggers soon, then NS will set up to enter new 52-week-high territory above $54.95, which is bullish technical price action. Some possible upside targets off that breakout are $60 to $65 a share.

To see more stocks with notable insider buying, check out the Stocks With Big Insider Buying portfolio on Stockpickr.

-- Written by Roberto Pedone in Delafield, Wis.

RELATED LINKS:

>>3 Biotech Stocks Spiking on Big Volume

>>3 Hot Stocks to Trade (or Not)

>>4 Under-$10 Stocks to Trade for Breakouts

Follow Stockpickr on Twitter and become a fan on Facebook.

At the time of publication, author had no positions in stocks mentioned.

Roberto Pedone, based out of Delafield, Wis., is an independent trader who focuses on technical analysis for small- and large-cap stocks, options, futures, commodities and currencies. Roberto studied international business at the Milwaukee School of Engineering, and he spent a year overseas studying business in Lubeck, Germany. His work has appeared on financial outlets including

CNBC.com and Forbes.com. You can follow Pedone on Twitter at www.twitter.com/zerosum24 or @zerosum24.

Dutch bank fined $1.1B in Libor investigation

The scandal over manipulation of an international financial benchmark widened Tuesday as authorities fined a Dutch global bank nearly $1.1 billion for rigging the closely-watched rate.

Rabobank became the fifth firm penalized for manipulating Libor — the London Interbank Offered Rate that's used to set the rates on trillions of dollars of mortgages, car loans, student loans and some complex financial derivatives. Libor rates cover multiple currencies worldwide for varying time periods. The bank also rigged rates for Euribor, a similar financial benchmark.

The rates are set each business day by the London-based representatives of global banks based on estimates of what they would expect to pay for short-term loans from each other in various monetary currencies.

In the U.S., the Department of Justice and the Commodity Futures Trading Commission joined the United Kingdom's Financial Conduct Authority and the Dutch public prosecutor's office in imposing the costly settlement penalties against the Utrecht-based bank.

The bank's chairman, Piet Moerland resigned in the wake of the penalties, saying "I wish to send a strong message on behalf of the bank and on behalf of the executive board: we sincerely apologize for, and strongly condemn, this inappropriate behavior." Moerland will be succeeded by Rinus Minderhoud, a member of the bank's supervisory board.

The Department of Justice action involves a deferred-prosecution agreement that requires Rabobank to admit responsibility for its misconduct, maintain cooperation with investigators and upgrade legal compliance programs.

Swiss banking giant UBS, Royal Bank of Scotland, England-based Barclays and ICAP, the world's largest inter-dealer broker, collectively paid earlier paid fines and settlements that totaled approximately $2.6 billion for similar manipulation allegations.

"For years, employees at Rabobank, often working with traders at other banks around the globe, illegally manipulated four different interest rates �! �� Euribor and LIBOR for U.S. dollar, Yen, and Pound Sterling – in the hopes of fraudulently moving the market to generate profits for their traders at the expense of the bank's counterparties," said Acting Assistant Attorney General Mythili Raman of the Justice Department's Criminal Division.

According to authorities, Rabobank's rate-rigging took place from at least mid-2005 through early 2011. The bank's traders engaged in hundreds of manipulative acts that moved the financial benchmarks up or down in a bid to help bank traders' financial positions, investigators said. As a result of the manipulation, some borrowers may have paid rates that were too high or too low on their loans.

U.S. investigators said Rabobank traders used emails and electronic chats to carry out the scheme. For instance, a Rabobank yen derivatives trader sent an incriminating Sept. 21, 2007, email message to a bank co-worker responsible for setting the Libor rate on Japanese yen.

"Wehredo you think today's libors are? If you can, I would like 1mth (month) libors higher today," the trader wrote.

"Bookies reckon 1m sets at .85," the co-worker responded.

"I have some fixings in 1 mth so would appreciate if you can put it higher mate," the trader urged.

"No prob mate let me know your level," the co-worker wrote.

"Wud be nice if you could put 0.90% for 1mth cheers," the trader instructed.

At the end of the exchange, the co-worker brushed off concerns that the manipulation might prompt complaining phone calls. "Don't worry mate — there's bigger crooks in the market than us guys!"

According to authorities, Rabobank's one-month yen Libor submission that day was 0.90, an increase of seven basis points from the bank's previous position. In contrast, other banks yen submissions decreased by approximately half a basis point on average.

In addition to the banks snared in the scandal, the worldwide Libor investigation has also generated charges in Great Britain and the U.S. against! Thomas H! ayes, a former Citigroup and UBS yen trader allegedly at the center of the manipulation. Two other traders have also been charged in the continuing investigation.

Wealth Management for Wild Markets

Think of Commonwealth Financial Network, and practice management guru Joni Youngwirth probably comes to mind, or behavioral specialist Kol Birke, or maybe even Wayne Bloom, Red Sox fanatic and CEO of the Waltham, Mass.-based broker-dealer giant.

One other area, wealth management, is of course a critical offering, and one that’s receiving more attention of late.

“Wealth management in general involves a lot of different components, so our wealth management platform involves a lot of different areas; asset management, investment research, annuity research, retirement consulting and advanced planning,” explains vice president Gavin Morrissey, who is responsible for all as well coordinating interdepartmental efforts across the firm’s platform. (He has also contributed to ThinkAdvisor).

Noting the broad yet consultative nature of the group, he says that it tries to be proactive about conditions or events that would affect the client’s portfolio.

“Of course, we’re reactive as well,” he adds. “When our advisors bring us a case, we are comprehensive and collaborative and have the full team working on it and approaching it from different angles, so nothing happens by itself or in a silo.”

The firm claims 1,500 recurring fee advisors, but Morrissey emphasizes that how an advisor (or rep) affiliates with Commonwealth “will not affect how we serve you, recognizing there are some compliance issues, of course.”

Morrissey graduated from Lafayette College with a major in economics before earning a law degree at Thomas Jefferson School of Law in San Diego and his LLM in taxation at the University of San Diego School of Law. With Commonwealth for the past 15 years, he’s worked in various departments, gaining what he says is a broad-based knowledge of the internal workings of a full-service broker-dealer. This allows him to provide a bridge between wealth management concepts and operational implementation.

Of course, wealth management increasingly involves the use of alternative investments. In the wake of the Medical Capital and Provident Royalty scandals that spelled doom for a number of competitors, is he conservative about what he allows on the platform?

“With our alternative investment offerings, I wouldn’t say we’re conservative; a more accurate term would be diligent,” he responds. “We have an entire due diligence team dedicated to ensuring products are appropriate. I know some firms will say ‘absolutely not.’ The issue is that high-net-worth clients, while not naming them as alternative investments, are demanding those types of strategies. Education, of course, has to go along with that to ensure advisors know how they should be used.”

As for current events in Washington, and how he sees them affecting advisors' clients and their portfolios, Morrissey is direct. “If you’re waiting on Congress to do something that makes you scratch your head, you won’t have to wait long and you’ll have plenty to work with,” he quips. “When a political event happens we tell our advisors how we see it working out and how it will affect them and their clients, whether it’s the health care law, the repeal of the Defense of Marriage Act, or anything else.”

He concludes by noting current volatility, and how it might compare with past periods of market turmoil.

“Is it a volatile time in the markets? I don’t know how to answer that. I’m sure you could look back at market history and see plenty of crazy times,” he diplomatically states. “I will say this, Washington seems to have much more of an effect; by that I mean people used to invest based on fundamentals, which is how it should be. No longer; they have to carefully watch what Congress is doing, because it seems to have so much more of an impact.”

---

Check out Gavin Morrissey's ThinkAdvisor contributor page.

Fidelity Favorites: Focused and Leveraged

With a cloud of uncertainty hanging over the equity markets, investors' appetites for certain varieties of stocks have turned on a dime. Below are updates on two of our model portfolio holdings, notes John Bonnanzio of Fidelity Monitor & Insight.

Fidelity Focused Stock (FTQGX:US)

With its sky-high turnover of 248%, its hard to pin down what manager Steven DuFour is doing from one month to the next.

After all, by that measure, about 20% of its shares are traded monthly. (If you're worried about trading costs, the fund's expenses are a competitive 0.93%, and are capped at 1.00%.)

That's all the more remarkable because, true to its name and charter, Focused has a concentrated portfolio of about 50 stocks.

And, if something sounds familiar about that, Focused is a clone of DuFour's other fund called Fifty (which is closed to new investors).

As for what he's been up to, the answer is "much of the usual"—though with a twist. Many high-frequency traders are agnostic about a company's fundamentals, and essentially buy and sell on such technicals as momentum.

But DuFour is actually a so-called GARP investor, meaning he likes growth stocks that trade at a reasonable price. "If a holding reaches its full price or my investment thesis for it changes," he says, "I immediately rotate out."

Case in point: of the fund's top ten holdings at the start of 2013, only two (Google and Biogen) remain. With a performance that runs hot and cold, DuFour has made hay from the energy and technology sectors, which account for only about 20% of assets.

Held in our Unique Opportunities Model, Focused is benchmarked against the S&P 500, which is up 19.8% this year. The volatile Focused has, so far, returned 25.7%.

Fidelity Leveraged Company Stock (FLVCX:US)

Although China's recent economic woes may have been overstated, manager Tom Soviero has done his level best this year to avoid stocks that might be hurt by that juggernaut's seeming slowdown.

And, like us, he's kept his portfolio US-centric, building a case for a renaissance in US manufacturing on cheap American oil and gas and "from a labor market that has seen virtually no wage increases during the past ten years."

How is this thesis playing out in the fund? Most prominently, Tom has made consumer discretionary stocks a double-weight (26%) relative to his benchmark, the S&P 500.

Among his top holdings are Ford (F) and GM (GM), which have benefited from exceptionally low interest rates plus the normal replacement cycle of cars, which had been disrupted by the recession and falling home prices.

Having played cat-and-mouse with the S&P 500 this year (up 19.8%), through the third quarter, Leveraged Co. Stock has gained 24.4%.

Subscribe to Fidelity Monitor & Insight here…

More from MoneyShow.com:

Large Cap Growth: Best of Breed

Low-Risk Value ETF

Floating Rate Favorites

Tortoises Win The Retirement Race

The race to the finish line—the time between an empty nest and retirement—is tightening. A major generational shift has taken place, and it's having a huge impact on when and how we save and plan.

Most older baby boomers like myself had children in their 20s and empty nests by age 50. They used that time to accumulate enough money to retire. When my children were in high school, their friends' parents were in their late 30s or early 40s. It was unusual to run across 50-somethings at a PTA meeting or high school basketball game.

I don't need a bunch of expensive research to confirm what I see with my own eyes: Couples are marrying later in life, having children later, and even spacing them out more. My own unscientific survey confirmed this. My oldest son just turned 50, and his two children are 14 and 12. My stepdaughter is 36, and she has a nine-year-old and four-year-old. They're right in line with their peer group.

So, assuming our grandchildren go to college, my children could easily be in their early 60s before their kids are off their payroll. Even if they push retirement back to 68, the time allotted for their race to the finish line has been cut by about 50%. If they had followed in their parents' footsteps and waited until the nest was empty to get serious about retirement, they'd damn sure have to be world-class sprinters.

On top of that, two-income households have become a virtual necessity just to make ends meet. Among folks my age, many mothers reentered the work force as their children went off to high school. The second income was a luxury, and the extra money could be used to jump-start capital accumulation for retirement. Today, a second income seems to be necessary just to meet current expenses.

Then there's that pesky issue of debt. For many of us, there's some lag time between both spouses committing to a debt-free life and wealth accumulation. It can easily take 3-5 years to pay off debt, and only then can one actually start socking away money. I remember wishing I had money to invest when I was younger. However, while I could have had $10,000 in my brokerage account, I would have also had a $10,000 credit-card balance with 18% annual interest. Simple math told me I was better off getting out of debt and staying that way.

So, let's imagine a couple whose nest is finally empty at age 62. At that point, they get serious about paying off debt and accumulating wealth. If it takes three years to become debt-free, that leaves just three years to stockpile money for retirement, if they retire at 68. This couple could save 100% of their salary for those three years, and they still would not have nearly enough to retire.

The Long Jog to the Finish Line You might be thinking something like, "Well, Dennis, I'm 50. There's not much I can do about marrying and having had kids at 35 now." And you'd be right. Frankly, there are many advantages to marrying and having children at a later age, and I certainly don't want to harp on folks who made that decision. It does, however, mean you have to plan differently than the generation immediately before you.

So what can younger baby boomers do?

Get on with the job. I know I've said it before, and I'll say it again: the time to start planning for retirement is today. Younger boomers have to run a different race than I did, but they still need to start, regardless of other drains on their resources.

Reprioritize wealth accumulation. It's easy to give yourself a nice reward every time you get a raise, but it's much tougher to save a portion of that raise or use it to pay off debt. For me, that meant acknowledging that I had survived before I got a raise, so I didn't really need the extra money. I don't recommend being a scrooge; go ahead and reward yourself with a small portion of any raise, but you know where the rest goes: your 401(k), IRA, or other retirement savings account. If you're not contributing the maximum amount to tax-deferred retirement accounts, start now.

Don't buy the biggest house on the block. I have noticed that younger boomers are becoming more attuned to needs versus wants. Up until 2008, folks were buying the biggest house they could afford because real estate was an "investment." Houses weren't just homes, they were moneymakers—or so we thought. If you've opened a newspaper in the last five years, you know that's no longer true.

My son and his wife just bought a new house—a nice home that meets their needs well. They really liked another model that cost $25,000 more because it had one more bedroom. A spare bedroom would have been convenient when grandparents visited, but then again the house would have been too big in ten years or so.

They made the right decision. They saved the $25,000 as well as the interest on a higher mortgage, as they had already made the maximum down payment they could afford. They'll be just fine without the spare bedroom; that's what air mattresses and hotels are for.

Use some common sense. I've made this same mistake more than once: I'd decide to get serious about diet and exercise and go way overboard. On day one, I'd exercise to the point of exhaustion and cut my caloric intake in half. By the second day, I could hardly move, and I was starving to death (at least it felt that way). By the third day, my commitment would vanish. Had I paced myself, I would have been a lot more successful.

The same principle holds true for paying off debt and saving. For most folks, the best way to start is by withholding incremental amounts from their paychecks. Many employers will do this automatically and put the money in your 401(k) or IRA. Tackle debt the same way: cut up your credit cards and start paying a little extra on your regular payments. It is amazing how quickly you can make progress.

Become an educated investor now. It is easy to think, "Why do I need to learn about investing when I don't have any money to invest?" There are two responses to that question. First, you don't want to wait, because from day one you want to take what little capital you can start with and invest it wisely. And second, I found that the more I read about investing, the more motivated I became to have money to invest. The thought of my money working for me instead of the other way around sounded quite appealing. After all, isn't the goal to accumulate enough money and invest it wisely so we don't need to work at all?

One of the fun parts about being a grandparent is reading bedtime stories to the little ones. It is wonderful one-on-one time, and the little guy always gets to pick the book from the stack. Darned if one of my grandkids didn't pick The Tortoise and the Hare for me to read during a recent visit. As I read him the book, I realized how much the fable applies to us. Both the Tortoise and Hare want to get to their goal, but their approaches are quite different. It looks like a lot of baby boomers who became parents later in life will have to start slowly and steadily plod along. We all know who wins the race in the end.

Some of my regular readers are already retired, and some are a few years out. The retirees look to us to help them make their money outlast their lives. One of the quickest ways to learn how is by watching our timely video event—America's Broken Promise: Strategies for a Retirement Worth Living.

Some of today's top minds discuss how to make sense of the challenges facing savers and seniors alike. They also give you actionable recommendations on how to make your retirement about thriving, and not just surviving… no matter how old you—or your kids—are.

The presentation is hosted by my colleague, David Galland of Casey Research, and features John Stossel, formerly on ABC's 20/20 and now with Fox Business Network, David Walker, former Comptroller General of the United States, Jeff White, President of American Financial Group, and me of course.

This is the one event you must see to ensure you retire on your own terms. Use this link to find out more and to sign-up.

Top Insider Trades: MVC VRX WBMD PACW

span.style4 {font-size: 10px; font-weight: bold; } span.style5 {font-size: 10px}

By Jonathan Moreland, founder of Insider Insights and author of Profit From Legal Insider Trading.

NEW YORK (TheStreet) -- It is a victory for common sense. Tracking the trading behavior of company executives, directors and large shareholders in the stocks of firms they're registered in as "insiders" has proven to be profitable, according to both academic studies and (more importantly) the experience of professional investors.

Below are lists of the top 10 mainly open-market insider purchases and sales filed at the Securities and Exchange Commission Tuesday, Sept. 17, 2013 as ranked by dollar value. Please note, however, that these are only factual lists, not buy and sell recommendations. Dollar value is only one metric to assess the importance of an insider transaction, and, frankly, often not even the most important metric that determines if an insider transaction is significant. At InsiderInsights.com, we find new investment ideas just about every day using these and more intricate insider screens to determine where we should focus our subsequent fundamental and technical analysis. And while stocks don't (or shouldn't) move up or down based on insider activity alone, insiders tend to be good indicators of when real stock-moving events like earnings surprises, corporate actions, and new products may be in the offing. So use these regular Top Insider Trades columns as the initial research tools they are meant to be, and click the links in the tables to analyze a company's or insider's full insider history. Also feel free to contact us with any questions on our proprietary insider data, and how it is best analyzed.

Sprint (S) SoftBank BO 1,954,015 13,130,981 MVC (MVC) Goldstein P DIR 157,879 2,005,063 Sunday, May 10, 2015 Set A Plan and Get Invested If you've been in cash for the last few years, you've missed some gains, but we don't think it's too late to get back in, says fund specialist Janet Brown, editor of NoLoad FundX. Overall, US markets have been on a tear since last November. After such strong gains this year, we may see more volatility in the market. Ned Davis Research points out that, historically, when the S&P 500 has gained 15% or more through July, "the benchmark has struggled over the following few months." If this occurs this year, it could present a buying opportunity for those who are looking to get into the market. Valuations are still appealing. Stocks are not as expensive as they were in 2007, and the market is different, too. In 2007, most markets had enjoyed strong gains. But this year, many areas of the market haven't participated—look at emerging markets or Europe funds, for example. Eventually some areas will have some potential catching up to do. Even if this year's rally looked like 2007, that wouldn't tell us whether we were at the peak of the market, ready to face a substantial decline, like 2008. Market action rarely repeats, so the next bear market is probably not going to be like the previous bear market, just as the latest bull market isn't like the previous one. In 2008, all sectors sank, but that may not hold true in the next decline. What should you do now? It's easy to get caught up in where the market's been and where it's headed, but if you're considering putting money to work, it's important to take a step back and consider why you are investing in the first place. Many investors are looking to fund long-term goals, such as retirement or their child's college education. In order to achieve those goals, most investors need their portfolios to grow, and the best option for long- term growth is stocks. The next challenge is what to invest in. We urge investors to set a plan to get back in the market. We tend to get a substantial part of a portfolio invested right away, and then we invest the rest gradually, on a schedule set in advance, often making additional investments on down days in the market. When you're ready to get invested, market sell-offs are an opportunity to get invested at lower prices. If you've been out of the market and missed some gains, you may be tempted to compensate by taking on more risk. We believe it can be better to take less risk when you are just starting to invest again. Remember, you aren't just looking to get invested, you're looking to stay invested. Meanwhile, our strategy is to Upgrade portfolios into the best performing funds. Upgrading is the investment approach we developed years ago, and have been applying in our client accounts for decades. It follows market leadership by keeping assets in the best-performing no-load mutual funds and exchange traded funds, as determined by our performance-based ranking system. Among total return funds, here a look at our current top ranked mutual funds: AmBeacon Balanced (AABPX) Dodge & Cox Balanced (DODBX) Mairs & Powers Balanced (MAPOX) T. Rowe Price Capital Appreciation (PRWCX) Villere Balanced (VILLX) Subscribe to NoLoad FundX here… More from MoneyShow.com: August Doldrums? Keep Your Focus A Gordian Knot? Beware the Taper A Small-Cap Dividend Strategy Set A Plan and Get Invested If you've been in cash for the last few years, you've missed some gains, but we don't think it's too late to get back in, says fund specialist Janet Brown, editor of NoLoad FundX. Overall, US markets have been on a tear since last November. After such strong gains this year, we may see more volatility in the market. Ned Davis Research points out that, historically, when the S&P 500 has gained 15% or more through July, "the benchmark has struggled over the following few months." If this occurs this year, it could present a buying opportunity for those who are looking to get into the market. Valuations are still appealing. Stocks are not as expensive as they were in 2007, and the market is different, too. In 2007, most markets had enjoyed strong gains. But this year, many areas of the market haven't participated—look at emerging markets or Europe funds, for example. Eventually some areas will have some potential catching up to do. Even if this year's rally looked like 2007, that wouldn't tell us whether we were at the peak of the market, ready to face a substantial decline, like 2008. Market action rarely repeats, so the next bear market is probably not going to be like the previous bear market, just as the latest bull market isn't like the previous one. In 2008, all sectors sank, but that may not hold true in the next decline. What should you do now? It's easy to get caught up in where the market's been and where it's headed, but if you're considering putting money to work, it's important to take a step back and consider why you are investing in the first place. Many investors are looking to fund long-term goals, such as retirement or their child's college education. In order to achieve those goals, most investors need their portfolios to grow, and the best option for long- term growth is stocks. The next challenge is what to invest in. We urge investors to set a plan to get back in the market. We tend to get a substantial part of a portfolio invested right away, and then we invest the rest gradually, on a schedule set in advance, often making additional investments on down days in the market. When you're ready to get invested, market sell-offs are an opportunity to get invested at lower prices. If you've been out of the market and missed some gains, you may be tempted to compensate by taking on more risk. We believe it can be better to take less risk when you are just starting to invest again. Remember, you aren't just looking to get invested, you're looking to stay invested. Meanwhile, our strategy is to Upgrade portfolios into the best performing funds. Upgrading is the investment approach we developed years ago, and have been applying in our client accounts for decades. It follows market leadership by keeping assets in the best-performing no-load mutual funds and exchange traded funds, as determined by our performance-based ranking system. Among total return funds, here a look at our current top ranked mutual funds: AmBeacon Balanced (AABPX) Dodge & Cox Balanced (DODBX) Mairs & Powers Balanced (MAPOX) T. Rowe Price Capital Appreciation (PRWCX) Villere Balanced (VILLX) Subscribe to NoLoad FundX here… More from MoneyShow.com: August Doldrums? Keep Your Focus A Gordian Knot? Beware the Taper A Small-Cap Dividend Strategy Subscribe to: Posts (Atom) Blog Archive ►  2019 (40) ►  March (18) ►  February (22) ►  2018 (19) ►  August (2) ►  July (8) ►  June (4) ►  May (5) ►  2016 (1) ►  November (1) ▼  2015 (81) ►  July (1) ►  June (9) ▼  May (14) 'Deathtrap' on GM's naughty words list Chipotle plans first price hike in 3 years Americans Confident on Taxes but Clueless in One B... 5 Smartwatches You Can Buy Right Now 20 Best & Worst Fund Families of 2013 Is Nokia a Buy Now? 5 Stocks Insiders Love Right Now Dutch bank fined $1.1B in Libor investigation Wealth Management for Wild Markets Fidelity Favorites: Focused and Leveraged Tortoises Win The Retirement Race Top Insider Trades: MVC VRX WBMD PACW Set A Plan and Get Invested Set A Plan and Get Invested ►  April (4) ►  March (11) ►  February (14) ►  January (28) ►  2014 (239) ►  December (15) ►  November (3) ►  October (13) ►  September (9) ►  August (10) ►  July (18) ►  June (44) ►  May (35) ►  April (29) ►  March (24) ►  February (16) ►  January (23) ►  2013 (164) ►  December (29) ►  November (24) ►  October (27) ►  September (20) ►  August (22) ►  July (42) ►  2012 (1) ►  April (1) About Me Sandy View my complete profile Ethereal theme. Powered by Blogger.