Investing 102

[GregWeld]

Originally Posted by 96z28ss

Cause you wife had a job, and a steady stream of income. it adds to the score.

Probably so!


Hadn't thought about that!

[GregWeld]

I found this "interesting" and spot on statement about Annaly Capital Management (NLY).... and thought I'd share it.

No one buys these mREITs because they love the mortgage business. People buy them because they like to collect high dividends. Everything being equal, declining mortgage rates equals a lower spread equals a lower dividend equals a lower stock price, and that is exactly what we saw in the case of NLY.

[chr2002ca]

Originally Posted by Bucketlist2012

But yet, she has the higher FICO, go figure...

I work for FICO and I can tell you that the reason people often can't figure out how their FICO score is calculated is because we often can't figure that out either. I won't go into detail.

Love this thread. Learning a lot. Thanks to all the contributors.

[Rybar]

Looks like a good buyers market right now, some deals to be had. Alot of my portfolio is in the red since Obama was re-elected but that's ok. Sticking to them win or lose like Greg's suggested.

[GregWeld]

Originally Posted by Rybar

Looks like a good buyers market right now, some deals to be had. Alot of my portfolio is in the red since Obama was re-elected but that's ok. Sticking to them win or lose like Greg's suggested.

I wouldn't be buying YET... keep your powder dry... I'm thinking we have many more days / weeks yet to listen to the two sides go at each other with guns and knives ------ and that will roil the markets.

[GregWeld]

Originally Posted by chr2002ca

I work for FICO and I can tell you that the reason people often can't figure out how their FICO score is calculated is because we often can't figure that out either. I won't go into detail.

Love this thread. Learning a lot. Thanks to all the contributors.

I laughed at the FICO score deal -- because I said to the guy -- DUDE! I don't need ANY credit -- so whatever it is doesn't bother me one bit! I just thought it was funny that the two would be different numbers. I also found it interesting that both of ours are LOWER because we don't have revolving debt! WTF! I have 3 credit cards --- two with 60K limit and one with 100K limit - I don't OWE ON ANY OF THEM -- and that's considered a "negative". Really? My thinking is that I should be given a friggin' gold star! And apparently I get NO credit for my net worth either.... or that I own 13 cars with ZERO payments.... again that must be considered a negative? OMG! No wonder our world is so screwed up!!

[Bucketlist2012]

Originally Posted by GregWeld

I wouldn't be buying YET... keep your powder dry... I'm thinking we have many more days / weeks yet to listen to the two sides go at each other with guns and knives ------ and that will roil the markets.

Amen....I went 10% into cash and took profits before the election...That is my powder and I will wait ...I see it getting worse before it gets better...No one knows where the bottom is, but IMO, we are not there yet..

And yes, my Wife's FICO is 25 points higher than mine

[GrabberGT]

FICO score HAH! I see it this way.. (could be right or wrong but its how I feel)

Your score does not tell how capable you are of paying a creditor but tells a creditor how well you pay your creditor. In other words... do you have history of paying interest. The more reliable you are at paying interest, the more valuable you are to them hence the higher score. So in essence we are paying a fee (interest payments) to get a higher score so that more creditors will want to offer us loans so that we can pay MORE interest.


^ not the most eloquently written response on this thread but....

[chr2002ca]

Originally Posted by GrabberGT

The more reliable you are at paying interest, the more valuable you are to them hence the higher score.

You nailed it Chris. It's a combination of your credit history AND your record of paying interest reliably on revolving debt. The more often you run a little balance on the credit card, the higher the score. Ass-backwards of course, but the score is tailored more for marketing than anything.

Greg, next time I see you I'll have a gold star for you. Big ass thing that'll cover the back of your shirt.

[GregWeld]

I decided this morning that I'd publish the last 6 months of DIVIDENDS on the Schwab account. WHY? Because I want to remind you all about what the dividend is doing -- REGARDLESS of what the SHARE PRICE is doing. IN other words --- I'm getting REAL LIVE CASH CONSTANTLY.... the share price today is NOT important as long as these companies are sending me checks --- it's NOT important really - until I want to sell. If I don't want to sell - then the daily share price is nothing but a place marker.






Date Action Quantity Symbol Description Price Amount Fees & Comm
11/14/2012 KMP KINDER MORGAN ENERGY LP UNIT LTD PARTNERSHIP INT
type: ORD DIV - CASH
$15,120.00
11/13/2012 3903609 GEN ELEC CAP 6.625XXXPARTIAL CALL @ 25.
type: CREDIT INT
$1,707.18
11/01/2012 T A T & T INC NEW
type: QUALIFIED DIV
$6,600.00
10/30/2012 SCHWAB1 INT 09/27-10/29
type: INTEREST
$5.51
10/29/2012 NLY ANNALY CAPITAL MGMT REIT
type: ORD DIV - CASH
$17,500.00
10/10/2012 MO ALTRIA GROUP INC
type: QUALIFIED DIV
$8,800.00
10/05/2012 HYG ISHARES TRUST IBOXX $ HIGH YIELD CORP
type: ORD DIV - CASH
$9,701.68
10/01/2012 KO COCA COLA COMPANY
type: QUALIFIED DIV
$3,825.00
09/28/2012 GEA GEN ELEC CAP 6.625%32PINES DUE 06/28/32
type: CREDIT INT
$4,140.63
09/27/2012 SCHWAB1 INT 08/30-09/26
type: INTEREST
$7.35
09/17/2012
as of
09/15/2012 ED CONSOLIDATED EDISON INC
type: QUALIFIED DIV
$3,630.00
09/12/2012 JNK SPDR BARCLAYS CAPITAL HIGH YIELD BOND ETF
type: ORD DIV - CASH
$6,682.32
09/10/2012 HYG ISHARES TRUST IBOXX $ HIGH YIELD CORP
type: ORD DIV - CASH
$5,845.32
09/10/2012 PFF ISHARES S&P U S PFD FUNDS&P U S PFD STK INDEX FD
type: ORD DIV - CASH
$2,516.50
08/30/2012 INTEREST 07/30THRU 08/29
type: MARGIN INTEREST
-$29.73
08/30/2012 SCHWAB1 INT 07/30-08/29
type: INTEREST
$2.05
08/15/2012 NNN NATIONAL RETAIL PPTYS REIT
type: ORD DIV - CASH
$4,740.00
08/14/2012 KMP KINDER MORGAN ENERGY LP UNIT LTD PARTNERSHIP INT
type: ORD DIV - CASH
$4,920.00
08/14/2012 EEP ENBRIDGE ENERGY PTNRS LP
type: ORD DIV - CASH
$5,435.00
08/09/2012 JNK SPDR BARCLAYS CAPITAL HIGH YIELD BOND ETF
type: ORD DIV - CASH
$2,296.25
08/07/2012 HYG ISHARES TRUST IBOXX $ HIGH YIELD CORP
type: ORD DIV - CASH
$3,280.55
08/07/2012 PFF ISHARES S&P U S PFD FUNDS&P U S PFD STK INDEX FD
type: ORD DIV - CASH
$2,514.86
08/01/2012 T A T & T INC NEW
type: QUALIFIED DIV
$6,600.00
07/31/2012 BLW BLACKROCK LTD DURATION INCOME TRUST
type: ORD DIV - CASH
$1,075.00
07/30/2012 INTEREST 06/28THRU 07/29
type: MARGIN INTEREST
-$15.74
07/30/2012 SCHWAB1 INT 06/28-07/29
type: INTEREST
$1.91
07/26/2012 NLY ANNALY CAPITAL MGMT REIT
type: ORD DIV - CASH
$19,250.00
07/12/2012 PM PHILIP MORRIS INTL INC
type: QUALIFIED DIV
$5,390.00
07/11/2012 JNK SPDR BARCLAYS CAPITAL HIGH YIELD BOND ETF
type: ORD DIV - CASH
$2,356.51
07/10/2012 MO ALTRIA GROUP INC
type: QUALIFIED DIV
$8,200.00
07/09/2012 HYG ISHARES TRUST IBOXX $ HIGH YIELD CORP
type: ORD DIV - CASH
$3,366.31
07/09/2012 PFF ISHARES S&P U S PFD FUNDS&P U S PFD STK INDEX FD
type: ORD DIV - CASH
$2,464.25
07/03/2012 KMB KIMBERLY-CLARK CORP
type: QUALIFIED DIV
$1,480.00
07/02/2012
as of
07/01/2012 KO COCA COLA COMPANY
type: QUALIFIED DIV
$2,040.00
06/29/2012 BLW BLACKROCK LTD DURATION INCOME TRUST
type: ORD DIV - CASH
$1,075.00
06/28/2012 GEA GEN ELEC CAP 6.625%32PINES DUE 06/28/32
type: CREDIT INT
$4,140.63
06/28/2012 SCHWAB1 INT 05/30-06/27
type: INTEREST
$1.47
06/15/2012 MCD MC DONALDS CORP
type: QUALIFIED DIV
$3,500.00
06/15/2012 ED CONSOLIDATED EDISON INC
type: QUALIFIED DIV
$3,025.00
06/11/2012 JNK SPDR BARCLAYS CAPITAL HIGH YIELD BOND ETF
type: ORD DIV - CASH
$2,368.39
06/07/2012 HYG ISHARES TRUST IBOXX $ HIGH YIELD CORP
type: ORD DIV - CASH
$3,523.85
06/07/2012 PFF ISHARES S&P U S PFD FUNDS&P U S PFD STK INDEX FD
type: ORD DIV - CASH
$2,428.70
06/01/2012 JPM+I JPMORGAN CHASE 8.625%PFDDEP SHS REPSTG 1/400 NON
type: QUALIFIED DIV
$4,042.97
05/31/2012 BLW BLACKROCK LTD DURATION INCOME TRUST
type: ORD DIV - CASH
$1,050.00
05/30/2012 SCHWAB1 INT 04/27-05/29
type: INTEREST
$2.34
05/22/2012 KFN KKR FINANCIAL HLDGS LLC REIT
type: ORD DIV - CASH
$2,700.00
05/15/2012 NNN NATIONAL RETAIL PPTYS REIT
type: ORD DIV - CASH
$2,695.00
05/15/2012 KMP KINDER MORGAN ENERGY LP UNIT LTD PARTNERSHIP INT
type: ORD DIV - CASH
$7,200.00
05/15/2012 EEP ENBRIDGE ENERGY PTNRS LP
type: ORD DIV - CASH
$5,325.00