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URL:  http://boards.fool.com/i-believe-joelxwil-is-talking-about-two-concepts-31125379.aspx

Subject:  Re: Asset Allocation Date:  2/18/2014  10:02 PM
Author:  TMFHockeypop Number:  74294 of 79837

I believe joelxwil is talking about two concepts:

(1) Momentum investing - "You need to be in those assets that are moving up and out of those that are moving down." - Mebane Faber published a paper in 2006 with a follow-up in 2013 describing how to evaluate different asset classes and invest in the ones that are more likely to outperform going forward based on their recent performance. The 2013 paper (Link: http://papers.ssrn.com/sol3/papers.cfm?abstract_id=962461 ) shows how the strategy worked out since it was originally published. This strategy is followed in the Mechanical Investing board under QTAA - http://boards.fool.com/qtaa-013114-31095614.aspx

(2) Deworsification - "The idea that you should be in a little bit of everything is just really stupid." - The concept here is that spreading your funds too thin will not improve retu