Investing 102 - Lateral-g Forums

**GregWeld** · #1 04-30-2014, 03:35 PM

Albert --- I like the way you're informed about what YOUR companies (and once you buy stock you ARE an owner!) are doing! Good for you!

Frankly --- I'm glad that everyone is having fun doing this stuff. It is fun - it might not seem like it's all that exciting -- but it can be! And it really doesn't take all that much time to keep track of what the companies you own are doing. That's why I say there's not really a need to have more than 20 -- and that's only if you have big bucks in total. You can track 10 or 15 companies in just a few minutes time. And with BIG best of breed stuff -- you don't need to look every 15 seconds to see if they've hiccuped!

Back in the day when I was trading -- I had to stop and take a breath... you're on pins and needles every second worrying about their performance and what the news is and whether or not it was good or bad and how to trade that info. Funny -- I make more money now doing way less. That has to be a win win right?

sik68 · #2 04-30-2014, 04:52 PM

Quote:

Originally Posted by GregWeld

Back in the day when I was trading -- I had to stop and take a breath... you're on pins and needles every second worrying about their performance and what the news is and whether or not it was good or bad and how to trade that info. Funny -- I make more money now doing way less. That has to be a win win right?

Just for fun, I watched the 3-Part BBC series "Million Dollar Traders" on youtube. They take a group of average Joe's and give them trading desks. THEY SUCK at it...they stare at the Bloomberg terminals and drive themselves nuts. By the end, whole group looks like hell. It's definitely a "don't be a trader" reminder.

Good entertainment though!

**GregWeld** · #3 04-30-2014, 10:16 PM

Be like Warren Buffett......

"Overall, Berkshire and its long-term shareholders benefit from a sinking stock market much as a regular purchaser of food benefits from declining food prices. So when the market plummets - as it will from time to time - neither panic nor mourn. It's good news for Berkshire."

And this is just absolutely AMAZING.... Berkshire owns 9% of Coke (KO) which is 400 MILLION SHARES.... do the math.... at .31 cents per share dividend they collect...............

ONE HUNDRED AND TWENTY FOUR MILLION DOLLARS PER QUARTER in dividend.... that's half a billion per year in dividends just from Coke!

**WSSix** · #4 05-01-2014, 06:07 AM

Albert, I'm in both T and MO as well. First, I wouldn't beat myself up about which one to put money into. Either one is a fine choice IMO and I'll be adding to my accounts in the future. Second, what I did and think you might want to look at, is which one is down right now. I just recently added T and mentioned it and my thoughts a few pages back. I added T because VZ and T are in a pricing war right now and both were/are down. I already own VZ. I consider them both to be solid investments so I added T not only because of their good dividend but because they were down at the time. I believe MO is not down right now at least not the last time I looked. So you might be able to get T in one of those little dips that ultimately doesn't make a huge difference in the long run but might help just a little. Just a thought but again, neither one is a wrong choice. Good luck!

toy71camaro · #5 05-01-2014, 08:10 AM

All good points. I'm probably just over analyzing it.

But its good i'm at least analyzing it in general. lol.

I think I'm going to go with MO, for the reason that they have 1 more dividend payout at their current rate (which I will catch with this purchase), then (historically speaking) they should (hopefully) have a bump in the next dividend payout. So I'll get a quick raise.

Next I'll probably look at adding to T, in 2ish months.

Vegas69 · #6 05-01-2014, 11:57 AM

I've been at this about 6 months and my account is up 7.45%. Not bad for money that would've been rotting in Wells Fargo.

I have one real dog out of the 10. I'm noticing that it tends to gain on down days quite often. Am I right in thinking people are buying in on the down days in hopes of some movement in the right direction? I know the company is expanding it's stores and business model currently, that's why I bought it.

toy71camaro · #7 05-01-2014, 12:24 PM

Quote:

Originally Posted by Vegas69

I've been at this about 6 months and my account is up 7.45%. Not bad for money that would've been rotting in Wells Fargo.

I have one real dog out of the 10. I'm noticing that it tends to gain on down days quite often. Am I right in thinking people are buying in on the down days in hopes of some movement in the right direction? I know the company is expanding it's stores and business model currently, that's why I bought it.

Great!! It certainly is better than getting $.001% interest at the bank, isnt it? lol

Not sure on your second question. Its hard to say without knowing the investment. Some investments tend to mirror the market, some are the opposite.

**GregWeld** · #8 05-01-2014, 07:51 PM

Quote:

Originally Posted by Vegas69

I've been at this about 6 months and my account is up 7.45%. Not bad for money that would've been rotting in Wells Fargo.

I have one real dog out of the 10. I'm noticing that it tends to gain on down days quite often. Am I right in thinking people are buying in on the down days in hopes of some movement in the right direction? I know the company is expanding it's stores and business model currently, that's why I bought it.

I've been doing this for a very long time --- and there's always some picks that just never do what you intended them to do. Out of 10 -- people usually have 2 that lead the way -- 3 that are pretty decent -- 4 that are "okay" or barely okay -- and one or two that just flat suck. Hold 'em long enough -- and it's like a horse race - the barely makin' it jump into the lead the the leader falls back to 4th. It's just the way it is ---- as long as they're all mostly headed in the right direction.

Never be afraid to dump a stock you've bought that you thought was going to do X --- and doesn't. You hold when you're absolutely positive it's still going to do what you thought... but that's hard to do. Sometimes the market just speaks their collective idea with their feet... and no amount of hoping will correct that.

RECOVERY ROOM · #9 05-01-2014, 07:26 PM

Im going to the Berkshire shareholders meeting Sat here in Omaha, should be interesting to hear what is said, The "b" stock has done well the last 2 years. slow growth but always consistent,

**GregWeld** · #10 05-01-2014, 07:54 PM

Quote:

Originally Posted by RECOVERY ROOM

Im going to the Berkshire shareholders meeting Sat here in Omaha, should be interesting to hear what is said, The "b" stock has done well the last 2 years. slow growth but always consistent,

Say hello to Charlotte Guyman for me! She's on the board and a friend... I just can't afford their stock without a dividend to support the ownership. Charlottes brother in law Greg - owns one of my old boats (a Grady White) and they're both members of Seattle Yacht Club. Great people -- Charlotte is SUPER smart and super nice.