Investing 102

[GregWeld]

Here's a real life STEADY EDDY "terbacky" (aka: Sin stock) stock... People poo poo stuff like this because they all want to own the big hitters... That, and nobody is talking about the price per share at the grocery store... LOL


I own 6,500 PHILIP MORRIS (PM) @ todays closing price $84.23 for a total of $547,495.00 market value -- My average cost per share is $68.55 for a total investment of $445,564.60 --- So I have an UNREALIZED capital gain of +$101,930.40


My first buy was 2/03/11 @ $57.80 per share

4 more buys at various levels on the way up for a total of SIX buy ins

My last buy was 2/10/12 @ $80.40 per share

The point here is -- I was scaling in -- I don't really care that the price went UP from where I first bought it -- in fact I'M VERY HAPPY it was doing that! It's doing EXACTLY what I want it to do!

My AVERAGE cost is still only $68.55 per share

And I've collected $8,700.00 in dividends along the way....


Again - everyones actual positions are going to be scaled to THEM... I'm just using a real life actual example to show the affects of scaling in.... and that I just INVESTED in a dividend paying stock that is boring to the maximum.... but I'm very happy owning it. I don't really care whether people are smoking or not (I don't and I hate smoking!) --- it's an INVESTMENT I can live with, even if the buyers of the product can't!