Investing 102

[NOVA]

done sorry -

Originally Posted by GregWeld

Nova -- Clear some space in your PM box.

[Woody]

Originally Posted by GregWeld

So I know this thread is quiet.... frankly there's not been much to add to the learning experience.... and there hasn't been many (any) questions lately.

I will say that I put some major cash to work today. I've given a few employees a few weeks vacation - but today was "get your azz back to work day". Mostly just added to existing positions. I'm still chasing "yield"... and even more so if we're going to see higher taxes!

I think there's still a big chance that the bozos in Washington DC don't get it together --- but I think there may be a bigger chance of missing a few days of nice moves if you're sitting out. Of course this is nothing but a giant guessing game!

HOW ARE YOU GUYS DOING??

I agree with you about the giant guessing game. I am sitting here waiting for an opportunity to put some more money in the market thinking we will get a good correction if they don't resolve the fiscal cliff issue. On the other hand I am thinking there is going to be a big rally that I will miss out on if they do resolve the issue. I have decided that I am just going to be patient and wait it out. On days like this I am glad to be invested, but wish I had put more in at the last correction.

[slow4dr]

As far as long term dividend paying stocks, do you gus have a minimum/maximum P/E ratio you look for? I've been researching all that I can and I keep coming back to somewhere around 10-20. That doesn't necessarily mean I am going to exclude one that has a P/E of 9.99 but I am just thinking a general rule of thumb for someone like myself that is just starting out.

[GregWeld]

Originally Posted by slow4dr

As far as long term dividend paying stocks, do you gus have a minimum/maximum P/E ratio you look for? I've been researching all that I can and I keep coming back to somewhere around 10-20. That doesn't necessarily mean I am going to exclude one that has a P/E of 9.99 but I am just thinking a general rule of thumb for someone like myself that is just starting out.

P/E ratios don't make you any money. What you should be studying instead is the total return... 'cause over time - that is what makes you money.

[hifi875]

I would like to thank this thread(mainly Greg) for getting me thinking more about managing my own money(or some of it anyway). My little homemade mutual fund is doing quite well. My overal return is 27% for the year. Since i brought it up, it will probly tank tomorrow. If it was only on a larger scale, I would really have something, but its a start. Thanks Greg!

[slow4dr]

Originally Posted by GregWeld

P/E ratios don't make you any money. What you should be studying instead is the total return... 'cause over time - that is what makes you money.

Thanks, I am really trying to keep from having analysis paralysis so that simplifies some decisions.

[bdahlg68]

Still very happy with ytd results... Up around 14%. Happy with positions going into the cliff. Considering some position in a US bank, but havent identified a best of best candidate yet. SCCO has turned into a gem....

[GregWeld]

Originally Posted by hifi875

I would like to thank this thread(mainly Greg) for getting me thinking more about managing my own money(or some of it anyway). My little homemade mutual fund is doing quite well. My overal return is 27% for the year. Since i brought it up, it will probly tank tomorrow. If it was only on a larger scale, I would really have something, but its a start. Thanks Greg!

Way to go! Holy cow! 27%!!!! I'll pay you to be MY money manager!!

[GregWeld]

Originally Posted by slow4dr

Thanks, I am really trying to keep from having analysis paralysis so that simplifies some decisions.

Yes -- and that IS what happens.... it just becomes figures figures figures... pretty soon you can't remember anything but silly numbers. I've preached on here time and again -- just keep it simple! You're not running a 3 Billion dollar money fund... nobody is going to fire you because you were half a point off the average! Buy good (make that GREAT) companies... with good total returns... that have good % dividends... NAMES YOU KNOW and LIKE the company! Kick back and retire a rich guy.

[GregWeld]

Originally Posted by bdahlg68

Still very happy with ytd results... Up around 14%. Happy with positions going into the cliff. Considering some position in a US bank, but havent identified a best of best candidate yet. SCCO has turned into a gem....

Think about 14% --- that's like 1400% MORE than you'd get in a C/D at the bank.... What's not to like about that?