Richard Young Reports: 50+ Years with Fidelity and Wellington

I started in the institutional research and trading investment business at Model Roland & Co. on Federal St. in Boston in August 1971. Just up the street from Model were Fidelity Investments, and Wellington Management, both of whom I called on from my very first hours on the job. Over five decades ago, Ned Johnson, aka “Mister Johnson,” ran the show at Fidelity. At Wellington, Jack Bogle, “Mr. Mutual Fund,” had not yet left Wellington to start Vanguard.    My focus in the initial going was international research and trading, and remains so today all these decades later.  I still consider Fidelity and Wellington the industry leaders. Both firms feature great cultures, industry-leading … [Read More...]

Marry Compound Interest, Divorce Market Timing

Update 2.22.2021: The Dow Jones Industrial Average Index closed at 31,494.32. Originally posted August 3, 2018. This week a long-time reader contacted me looking for some insight he could pass along to his children about the dangers of market timing. I’ve written on the topic many times over the years and wanted to share something he might find compelling. In April of 1996, I wrote about how three of Wall Street’s bright minds had completely failed while attempting to make market timing predictions about the future of the Dow Jones Industrial Index. Back then my advice was—as it is now—marry compound interest, divorce market timing. I wrote: Market timing is a bankrupt strategy whose … [Read More...]

Gold’s 50-Year Price Explosion

Originally posted on July 27, 2020. Part I I was there from the start.  In early August 1971, I had just joined internationally focused research and trading firm Model Roland & Co. On 15 August 1971, President Nixon shocked the world by announcing that the U. S. would no longer officially trade dollars for gold. At that time, gold’s fixed price was $35/oz. By 1980, gold would hit an astronomical $800/oz. OK then, back to Model and the firm’s wonderful head partner Leo Model. From my first day onboard at Model, I started covering a bevy of major Boston institutional accounts.  I was 30 years old, and I would become friends with analysts, portfolio managers and traders at Wellington … [Read More...]

Every Investor Must Have a 5/10% Gold Hedge

Originally posted August 11, 2020. Jeff Deist of writes abridged: Fed Bugs are people with a faith-based belief in the power of central banks (and central bankers) to engineer economic growth using “monetary policy, “despite decades of history and current evidence to the contrary. They believe tinkering with inputs and rates and velocity and flows somehow makes us richer in terms of productivity, goods, and services. They believe in financial alchemy, as economist Nomi Prins puts it, rather than precious metals. They believe paper has value so long as government issues it and legislates its use. Central bankers almost by definition are Fed Bugs, but so are most monetary … [Read More...]

Dick Young’s Safe America Chapter III, Part I.

The People’s Chemist writes, “State -of -the art science methods prove masks fail to block viral spread. Viruses are everywhere – so tiny a grain of salt is 1,000 times larger.” The medical journal Influenza and Other Respiratory Viruses showed “no relationship between mask/respirator and protection against influenza protection.” The People’s Chemist concludes, “We can rest easy knowing that the best way to avoid illness is to protect and bolster the immune system.” Over the past two years, I have assembled a package of trusted supplements that appear to be useful in bolstering the immune system. … [Read More...]

Dick Young’s Safe America: Chapter II, Part I

After the inauguration of Joe Biden, and the loss of Senate control to Democrats, Republicans may feel like the end has come. It hasn't. Politics is cyclical. A party gets elected in a wave of support, it becomes complacent, ignores its mandate, and is replaced by another party that has impressed the people with its promises. Over, and over again. Not so long ago the GOP was in much worse straits. In 2008, after the election of President Barack Obama and Democrats' landslide victories in the House and Senate, pundits were saying that the GOP was over for good, and that the party would never win control of anything ever again. After a short time living under the Obama administration, … [Read More...]

Dick Young’s Safe America: Chapter 1, Part I

Debbie and I are neither members of any political party nor contribute to any PAC. Our research interest is policy rather than politics. Our methodology, for over four decades, has centered on inference reading and anecdotal evidence gathering. Read Part II, Part III, and Part IV. … [Read More...]

RCY’s Brand New Investing Program – 100% Swiss: Chapter 1, Part II

UPDATE 12.15.2020: With America's debt load soaring, the risk to the dollar today is perhaps greater than ever. Originally posted on July 30, 2020. The Fed has created a disastrous asset bubble that will extend for years. Read my series on Ron Paul to gain the full flavor for what is transpiring. I devoted a large section of my 1987 book to inflation, gold, and Switzerland. Through the decades, I have been a big investor in both Swiss assets and gold. In the month of August, 100% of my personal investing will be in Swiss Franc-denominated assets. The Swiss Way I have written in the past of the Swiss Confederation and its weak central government form (the presidency is a ceremonial … [Read More...]

The Swiss Way, Chapter 1, Part III

I have written in the past of the Swiss Confederation and its weak central government form (the presidency is a ceremonial office and rotates). The office has no powers above the other six members of the Swiss Federal Council. The entire Federal Council is considered a collective head of state. Switzerland is a neutral country with a low crime rate and a powerful national defense system. Instead of fielding a large standing army, Switzerland requires every man to undergo military training for a few days or weeks a year throughout most of his life. Each man is required to keep his assigned automatic rifle at home at the ready. The Swiss are powerful believers in individual liberty and … [Read More...]