News and Insights
August 3, 2018
The first rule before buying a stock is to assume that all known information about a company is already reflected in the stock price. The current price is the majority appraisal of a stock’s worth at the moment.
A second rule is to challenge analysts’ recommendations and price targets, as they are based on assumptions that may or may not materialize. Read More…
July 25, 2018
Warren Buffett won his million-dollar 10-year charitable wager that passive would outperform active, as he highlighted in his shareholder letter this spring. In a nutshell, Buffett and a fund of hedge funds called Protégé Partners entered a charitable wager about whether a selection of five funds-of-funds would outperform the S&P 500 Index over 10 years. Read More…
July 10, 2018
One of the most difficult portfolio management decisions is when to sell a security. If a stock price is falling, first determine whether the decline is market-related or for a company-specific reason. Read More…
In a Narrow Market, Amazon is Essentially Must-Own for Benchmark-Conscious Investors. But is it a Flower or a Weed?
June 26, 2018
Portfolio management is somewhat like gardening. Just as you need to prune your garden to keep if flourishing, so must you prune your portfolio. You need to pick through your holdings, isolate the underperformers and determine whether they are flowers to be nurtured or weeds to be removed. Read More…
June 7, 2018
In a recent interview with Chuck Jaffe on Money Life, Bob Bacarella, Founder and President of Monetta Financial Services talked about what’s happening in this secular bull market’s ninth year. Read More…
April 4, 2018 | Monetta Funds Blog Post | By Bob Bacarella
During the dot-com turmoil of 2001, New York Times reporter Gretchen Morgenson wrote a powerful article titled “Price Targets are Hazardous to Investors’ Health.” Morgenson won a Pulitzer Prize for that article and others in which she dug into highly questionable assumptions and practices in the investment industry.
It seems obvious in retrospect that high-flying price targets in the heady days of the dot-com era contributed to investors losing their minds—and their money. But that period of intense irrational exuberance is now 20 years behind us. Are price targets still hazardous to investors’ health?
Our answer is yes. We believe price targets should be ignored. Here’s why. Read more…
April 4, 2018 | Monetta Funds Blog Post | By Bob Bacarella
If you told your clients there is an easy way to earn scholarship money that can cover up to a quarter of their child’s or grandchild’s college tuition, they may think it sounds too good to be true. And if you told them that this same program offers scholarships simply by opening an investment account with a participating fund family, bank or financial advisor, with no requirement to demonstrate financial need, athletic prowess or academic achievement, they’d really be skeptical. But the reality is, this program exists through the SAGE Scholars Tuition Rewards program. Read more…
Monetta Young Investor Fund (MYIFX) Named a Finalist for Fund Intelligence’s “Fund Innovation of the Year” Award
News Release | WHEATON, IL—March 5, 2018
— Monetta Financial Services, Inc.’s “basic portfolio building block” mutual fund offering, the Monetta Young Investor Fund (MYIFX), has been shortlisted as a finalist in the 2018 Mutual Fund Industry Awards sponsored by Fund Intelligence.
The Monetta Young Investor Fund is a finalist in the “Fund Innovation of the Year” category, which is part of the Judge’s Choice Awards category. The full list of finalists, as announced by Fund Intelligence , includes:
- Charles Schwab index mutual fund expense reductions
- Great-West Financial’s Dynamic Retirement Manager
- State Street Fund Modernization and Reporting tool for ETFs
- The Monetta Young Investor Fund
- WisdomTree Investments’ Advisor Solutions Platform
“We are honored to be included among the esteemed finalists for the Fund Innovation award,” said Robert Bacarella, founder of Monetta Financial Services and co-portfolio manager of the Monetta Young Investor Fund. “Especially since the 2008 financial crisis, investors have been searching for a ‘better way.’ There have been many innovations over the past 10 years, but we believe the combination of active and passive together in one basic portfolio building block is among the most useful to a broad range of investors.” Read more…
March 5, 2018 | Monetta Funds Blog Post | By Bob Bacarella
After coming off a banner year in 2017 with the Dow Jones Industrial Average gaining 25%, some investors were caught off guard by the onslaught of market volatility in early 2018. In this environment—as in nearly all environments—we think it’s clear that investors are wise to stay invested in the market while being prepared to weather potentially higher volatility. We’d say the same thing even if storm clouds were looming larger, because the opportunity cost of getting out of the market can be high. Investors who shift to the sidelines miss potential further gains—as a downturn may not come—and, in the event the market does correct downward, they risk missing out on a subsequent upturn.
In our view, the best way to stay in the market—year in and year out—is for investors to bring together passive and active approaches in their portfolios, as our Monetta Young Investor Fund is designed to do in one investment vehicle. Read more…
February 16, 2018 | Monetta Funds Blog Post
By now, just about everybody has seen the ad campaign with the king who calls out “dilly, dilly!” whenever a subject presents him with a gift of Bud Light. The catch-phrase went viral and Anheuser-Busch is rolling out multiple variations on the theme. But it’s worth remembering the original spot, where one poor wretch makes the mistake of offering his monarch a “spiced honey-mead wine” and is promptly dispatched to the Pit of Misery.
We generally don’t get our investment philosophy from beer commercials, but the takeaway from this one bears reflection: Deviate from what is working at your own peril.
That’s especially relevant when it comes to three longtime holdings on which, notwithstanding an incredible run, we remain constructive, at least for the time being. Read more…
“A Baker’s Dozen of Bargain-Bin Stocks Held Down By Year-End Tax-Loss Selling”
December 20, 2017 | MarketWatch
Bob Bacarella discusses stocks that could have the potential to rebound after year-end tax-loss selling with MarketWatch’s Michael Brush. Read article at Marketwatch.com
Monetta Financial Services, Inc. | 1776-A S. Naperville Road, Suite 100, Wheaton, IL 60189 | Phone: 630-462-9800 | Email: firstname.lastname@example.org
Please read the Prospectus carefully before you invest. It contains more complete information about the Monetta Funds, including risks specific to each fund, fees and expenses. A free, hard-copy of the prospectus can be obtained by calling 1-800-241-9772.
Mutual fund investing involves risk. Principal loss is possible. The Funds may make short-term investments, without limitation, for defensive purposes, which investments may provide lower returns than other types of investments. The portion of the Monetta Young Investor Fund that invests in underlying ETF’s that track the Index will be subject to certain risks which are unique to tracking the Index. By investing in ETF’s, you will indirectly bear your share of any fees and expenses charged by the underlying funds, in addition to indirectly bearing the principal risks of the funds. Growth-oriented funds may under-perform when growth stocks are out of favor. Please refer to the prospectus for further details. While the funds are no-load, management and other expenses still apply.
Fund holdings are subject to change and are not recommendations to buy or sell any security. Current and future portfolio holdings are subject to risk. Manager views are subject to change at any time, are not guaranteed, and should not be considered investment advice.
Tuition Rewards are remitted solely as a reduction from the college’s full tuition bill and are not awarded in cash. Certain restrictions may apply. The Tuition Rewards program is offered and administered by SAGE Scholars, Inc., a private for-profit corporation. Monetta Financial Services, Inc., (MFSI) through a partnership with SAGE Scholars offers a college tuition reduction program that may be used at over 375 participating colleges nationwide. All costs for the College Savings Program, including participation in the Tuition Rewards Program, are paid by MFSI. For program details and restrictions please visit www.tuitionrewards.com.
Tuition Reward registration bonus points are issued one time only. If the investor and/or student already has a Tuition Rewards account through Monetta or another SAGE financial partner, he or she is not eligible for additional registration points.
For custodial accounts, MFSI has a “college savings program” where the Monetta Shareholders automatically receive an investment kit, a quarterly newsletter, various educational materials and in addition, if enrolled, will receive Tuition Rewards.
All cost for the College Savings Program including participation in the Tuition Rewards Program are paid by MFSI.
The Fund’s website contains links to third-party websites. The Fund and the advisor are not affiliated with, sponsored by, or endorsed by any 3rd party website. Monetta Funds are not responsible for, nor can guarantee the accuracy of, information on 3rd party websites.
Monetta Financial Services, Inc. is the adviser to the Monetta Funds. The Monetta Funds are distributed by Quasar Distributors, LLC.