Good Stock and Mutual Fund Gambles for 2014

Okay, not all of the stocks and mutual funds we are going to talk about today are really "Gambles" but good or fairly safe prospects too.  But the question often is what do I do with my money set aside to invest with in 2014.  Of course that depends on you.  Are you a new or basic investor or like more conservative options?  Or are you the younger, savvy, growth orientated investor?  I will try and find and talk about options for both.

So lets look at some Individual Stocks first.  I love dabbling a small amount of my portfolio in Individual Stocks.  This is not something I recommend for the newer or more conservative investor.  You need to stay with more conservative Mutual Funds options and we will talk about that shortly.

Individual overall are not expected to do well in 2014 due some rides on the roller coaster in the market.  Are there profits and good deals out there?  Absolutely, we just have to find them with good research and market watching.  Right now is still a pretty good time to buy.  So let me talk about a few gems I think I may have found for us.

Allied World Assurance (AWH):  I currently hold shares in this stock with the intent to purchase a few more.  But you need to be on the ball and do this quick, but there is still time.  They having an annual dividend increase of  35% to be paid quarterly.  On May 1, 2014 they are going to vote on a 3:1 Stock Split. You would need a shareholder of record by May 12, 2014 and the split would take place on May 22.  Voting has already started.  I just voted a couple of days ago to approve the split with my shares.  This proposal is expected to pass easily.  This stock has been upgraded to a Strong Buy.  Industry: Property and Casualty.

Mueller Industries (MLI):  This stock recently split and is currently down a little today, but has been holding pretty steady.  I say now is a pretty good time to buy, especially if you missed the recent split.  Their is little place for this stock to go except slow growth in your portfolio for the future.  This is most likely not a stock for you right now if you are a someone that turns stocks over quickly for profit, like me.  But if you want in for the long haul this is a pretty decent opportunity for you to get in and buy.  Industry:  Metal Fabrication

Majesco Entertainment (COOL):  This stock is on the NasdaqCM.  So a little better that an OTC stock...but not much.  I normally stay clear of these, but this is a gamble I am softly going recommend you take.  There is room for growth here.  Definitely a take your money and run stock.  Nab a 10% profit and get out.  Basically a video publish company for Nintendo, Wii, PlayStation 3 etc.  They have stood the test of time in the market thus far and are in a good sector to be in.  The buying season right now is not good for video games, especially since there are no big hit games that have come out since just before Christmas.  But wait, there is hope.  This stock is at half its current 52 week high and summer is coming.  Kids will be out of school soon and come mid to the end of June what will happen?  After the kids have bugged mama to death by this time she starts buying video games for the kids to keep them occupied and give her a break.  Then we always have the holiday season to look forward to.  This is a stock I have added into my current holdings in moderation.  I would not recommend you bet the farm here.  Industry: Multimedia and Graphics Software.

Nabors Industries (NBR):  Here is a high quality gem in the rough, but the color is black...black like as in oil.  A Cramer top pick for 2014 and I agree with him on this one.  The company went from drilling in the United States and is now moving to a global presence in the sector.  The stock is near it's 52 week high, but don't worry.  The recent expansion and continued growth as a global player makes them a good candidate continued growth.  Best thing is the price of the stock.  You are going to be pleased with a price tag in the $25.00 range.  A nice little stock with good potential in the market.  Industry: Oil and Gas drilling and exploration.

Other Stock to Consider: TSN, CRVL, HAR

Now for the growth orientated investor and those wanting to be more conservative with Mutual Fund.

Amana Income Investor (AMANX):  I would not really call this an "Income" fund.  It really is a stock growth fund with its largest holding in healthcare and Industrial.  I have personally owned this mutual fund in my portfolio for over 7 years.  In 7 years it has increased 84%.  I'll take it!  It is THE BEST overall performs in my mutual fund holdings over time.  I would certainly recommend this fund on a long term basis in your portfolio.  As it is a stock fund in bad years such as 2008 it can take a beating, but it always rebounds with vengeance.  The healthcare holdings of this fund make it appealing as there will always be healthcare growth over time.

Principle Capital Appreciation A (CMNWX)  Another nice stock fund but its largest holdings are in technology and financial.  It has been on a nice run over time with good continued grow potential as technology stocks continue to hold up the market and financial institutions continue their recovery. Year to Date this fund is up 2% and last year was up 32%

T. Rowe Price Health Sciences (PRHSX)  I have been wanting to add this to my portfolio for years.  What a fool I am and what a fool you will be if you don't.  This is a stock fund with 94% of its holdings in healthcare stocks.  Again, healthcare is here to stay.  People will always need healthcare in one form or the other.  This fund has solid holdings in good companies and had excellent diversification within the healthcare sector. Over the last 5 years it has seen a 30% return and is currently up 6% year to date.  This would be a very wise choice for any portfolio.

Oakmark (OAKMX):  This is a widely diversified stock fund heaviest in financials.  Not something in my portfolio, but a good fund to get into.  It has consistently out performed the S&P and should be poised for good growth potential over time.  The 5 year average is 25% and year to date it is up over 2 percent.  I feel this would be a nice addition for most portfolios.

Blackrock High Yield Bond (BHYIX)  Need to cover and protect you holdings with a nice bond fund?  Here is one I would go with.  It is 83% bonds and about 8% in stocks.  This has been a nice bond fund over time with a 5 year average return of almost 19%.  Year to date it is up 3%.  I would recommend this as a buy to all portfolio. For the savvy, new or more conservative investor it should be a good choice for anyone.

Other Mutual Funds to Consider: SPY, JMUEX, PQIAX, PEMGX, FGRAX, FKINX

Hope you find some of these recommendations useful and possible choices for your portfolio.  This is a mere sample of what is out there.  Do your research and find some winners!

Gus S.


Disclaimer: Make sure to review any information found on this blog site with your personal financial advisor before making any decisions. I am providing general information and not financial advise. I am not a licensed stockbroker or financial advisor.