Sky Wins !!!

That is, Mrs. B & Sky win first place in a sheep herding trial in the "novice-novice" class (20 dogs). They brought home a blue ribbon, many compliments from the trial sponsor, and smiles all around. At last all the hard work & training by both came together. This also means they qualify for the regional championships this Fall. Congratulations again !

Market

A big drop yesterday on Euro-fears. Fear still seems to be the dominant emotion in the market. Eventually barring a new surprise, this should wear off. The hopes that "stimulus" would save the day are now dashed. Companies continue to hoard cash. Leadership in government does not exist. Emerging market economies seems strong, though.

I continue to invest mechanically using the Krypto Fund asset allocation model. Its asset allocation tactics are greatly outperforming standard static investment theory. Year to date S&P 500 return is -5.71%; Krypto Fund return is -0.78%, almost 5% better. That's huge. Why pay a money manager when my dog, Krypto, can outperform like that for dog biscuits ?

Balanced, well-diversified investing with unemotional asset allocation works. One must keep the emotions out of allocation and use simple "buy low, sell high" & "sell high, buy low" rules with as little added thinking as reasonable.

Actions

I checked the model this AM and found no orders from Krypto. She waits for lower prices. I think a further drop to S&P 1000 will prompt her to open the purse and do some buying.

Word of the Day

"Aleatory" - adjective [$10] ( = "aleatoric")
Aleatory means 1. depending on the throw of a die or chance; 2. (Music & Art) involving random chance by a performer or artist.
Sentence: Why subject investing for retirement to aleatoric returns of mutual fund managers, or worse, your own ETF trading ? Use simple, asset allocation with low cost index funds and broad based index ETFs like Krypto.