My suggested reading is all the articles at GMO, have a think about their predicted 7 year returns for major asset classes. Plus a fantastic article by Niels Jensen on commodities.

I hope those buying now are shooting their wad early. I’m standing back, forever practicing my patience, looking for any real mis-pricing opportunities. Keeping an eye on stocks showing strong support during the decline. Two small stocks I have positions in have held up strongly; AMM.AX and ASW.AX. If I had more time I’d dig into ELD and PSH as those knives keep falling and even trash bounces high if it’s compacted enough .

The greatest outperformance can be achieved by buying growth stocks using a value framework.

Here’s a excellent series of podcasts from the Australian Institute of Company Directors.

These three will be loaded onto my portable computing device as soon as I choose said device. My nephew Ben put in a compelling case for the apps last night. Location sensitive mapping will be one of the first I load. If you can suggest other must have apps then fire away, I’m sure there’ll be more than simply me interested. Portable computing devices along with plethora of other chipped products will bring the fourth wave of semiconductors?

Following are my current invested levels. One of the more interesting realisations for me in preparing this each month is how much the the changing equity values effect the percent invested. I know that may seem completely obvious, but I used to concentrate more on the cash levels. I now realise that although my cash levels may change significantly that I was concentrating on the smaller part of the picture.

Here’s my investometer for the end of January showing actual percent invested in equities.

My only purchase of note was in January was Catch The Wind. I continued to accumulate cash in our SMSF and am busy investigating opportunities. Nothing tickles my fancy at the moment.

I think you should be looking at buying LEAP Calls on some of them! Or bull spreads on a group of them.
Take MMM 2011 Calls. Picking one at random without calculating the best strategy:
50 – 70 call spread will cost around $5.50 with profit of $14.50, that’s almost a 1:3 risk reward for a return of SP to $10 less than the -2 line! MMM 25 Year Chart
Heck sell the $40 2011 Put and you’ll get a small credit and the entire upside for the risk of owning MMM at $39.
me …

Lynch said buy what you know. There was no company I knew better than SAP.

2009 was quite a year. I’m looking forward to future buying opportunities as good as that, though I imagine there’ll only be a couple of those in the rest of my investing life. As my investometer shows I acted opposite to my plan for the year. Weird that. Particularly when it is the second year in a row I’ve failed to follow through with what transpired to be an excellent plan. I would resolve to follow my plan for 2010 to the tee, that is if I had a plan. …

It’s that time of the year again. How did you investments perform in 2009?