Investing 102

[GregWeld]

Okay -- Which one of you guys bought TNH?? And killed my run for the day...





To BC69:


All "interesting" but not really relevant to the small investor and not "Investing 102" (beginning investing - so super basic). Don't take me wrong here - what you're saying is great information and I certainly hope you continue to add to this thread... but you just did what all Wall Street guys do... You made very complicated reasoning/statements for what is a very simple idea.... which is for the average person... with a longer term horizon (let's say longer than 2 years)... to start to invest. That's what we've been discussing for 89 pages. Get started - here's some basic info to look for etc.

Several of us have been pounding the tables about keeping investing to pretty simple basic steps - buy best of breed - good long term charts - with good dividends...

Once you introduce all manor of calculations and EBITDA - and cash flow models and blah blah blah... the AVERAGE investor will quickly out think themselves.

I'm merely asking people to get involved in their own finances -- it's not complicated -- and if they keep it simple -- they are perfectly capable of of handling the job. I'm also using my own personal investing as examples... and I'm running millions of dollars in my own accounts. So I figure if it's good enough for me... it should be somewhat helpful to "others". It isn't complicated and if I can do it (and have been for 30 years) so can everyone else.

The last line in your post is exactly what we've been talking about... with the couple of additions I stated above (i.e., buy best of breed companies).

[BC69]

Greg -

Believe me, I am all about getting in and holding, I am young, I can sit on losses for 15 years for all I care until they turn black. That's why I finished with that line. But I do think even in picking the long term holds you maybe need to dig a bit deeper. Understand secular vs. cyclical trends, what risk factors lay ahead, competitive positions, and I believe alot of that is priced in, and shows up in the multiples.

Being on the private side, I couldn't trade single name stocks, so I am full of index ETF's which I will hold for a long time. Now that I get into single names more I use much more caution.

The theme here, I get it and support it, just as I saw more and more posts about individual names and not around philosophy I put in some caution, and it certainly gets complicated, but I think having that in the back of your mind helps.

Tim

[GregWeld]

Originally Posted by BC69

Greg -

Believe me, I am all about getting in and holding, I am young, I can sit on losses for 15 years for all I care until they turn black. That's why I finished with that line. But I do think even in picking the long term holds you maybe need to dig a bit deeper. Understand secular vs. cyclical trends, what risk factors lay ahead, competitive positions, and I believe alot of that is priced in, and shows up in the multiples.

Being on the private side, I couldn't trade single name stocks, so I am full of index ETF's which I will hold for a long time. Now that I get into single names more I use much more caution.

The theme here, I get it and support it, just as I saw more and more posts about individual names and not around philosophy I put in some caution, and it certainly gets complicated, but I think having that in the back of your mind helps.

Tim

AH HA! Yeah -- I caveat those "individual names" with === THIS IS JUST AN EXAMPLE.... we're not really trying to discuss the individual names. I use them as a teaching example. For instance -- my post about the "EX DIVIDEND DATES" that I can find in Seeking Alpha.... it's not about those names but rather about what information is available SHOULD SOMEONE WANT TO KNOW...

We've been hammering dividends - and there's all these terms used -- so things like this is good info (IMHO) for Investing 102... How they're paid - when - what to look for etc.

It's easier - I think - for someone to see by using a real life example. I think people get it "more" than just a broad discussion about theory etc.

I often find myself wanting to dive into a deeper discussion -- and actually spend a lot of time typing up a post only to delete it because when I read it before hitting the "submit" button -- it's not really relevant to the "102" basis this thread is about. While I "know" it - whatever it is - doesn't really mean it serves a purpose here. It's kinda like posting up about EFI in a guys thread when he only asked about adjusting the idle screws on his Holley...

I've been holding back "too much" info - until someone asks about it.

I can say - this has been a fun and rewarding (for me at least) thread. Just to see people interested and talking has been just huge!

[BC69]

I often find myself wanting to dive into a deeper discussion -- and actually spend a lot of time typing up a post only to delete it because when I read it before hitting the "submit" button -- it's not really relevant to the "102" basis this thread is about. While I "know" it - whatever it is - doesn't really mean it serves a purpose here. It's kinda like posting up about EFI in a guys thread when he only asked about adjusting the idle screws on his Holley...

I knew the entire time I was typing that it was going to fly over some heads like you say! Haha. It was more just "hey - lets remember it gets complicated". Because I think we all know some of the standard adages were blown to the 3rd standard deviation in the recession.

[Bucketlist2012]

Not to take away from BC69, who sounds like he has more knowledge of Investing than I, but we do need to talk about all ideas of investing, we also need to keep this thread at its core, which brings in people to talk about investing..

So KISS is important.

Otherwise, we can get too confused to ask, or comment.

I too , am one that is using what I see as long term trends, to fuel my Investments, and Monetary policy and Commodities are some tools that I use.

Also I am not invested in individual stocks by choice, but that may prove great, or it may prove not so great. my choice..

But BC69, please continue to posts thoughts and Ideas.That is the whole purpose of the thread.

I am luckier just being in the right place in history in 2008. So I have much to learn.

Yes, you flew right over many of our heads...

[Flash68]

Greg - quite a reversal today on your ex-div stock... and the market overall.

[RECOVERY ROOM]

Love this thread !!!!

[GregWeld]

Originally Posted by Flash68

Greg - quite a reversal today on your ex-div stock... and the market overall.

Yep -- and it's why I purposely posted "Paper gains".... they come and they go... but now instead of a $59 grand paper gain I'm down to $30 grand...




I remember when I put new money to work around February 2011 (the account that I use for examples here).... and it went straight up about 200K.... and 3 or 4 months later (summer swoon) I was DOWN 200K.... so a 400K swing... but... always the big butt... I continued doing what I know works "most of the time"... bought a ton of stuff during the swoon and by Xmas I was up 335K (not counting any of the dividends -- we're just talking paper gains). We all know that since January 1st it's been off to the races.

I "pitch" DIVIDENDS because that is REAL MONEY.... money that I actually spend (quite liberally as you all know! ) and that keeps coming regardless of the paper gain or loss. That's why I like them!

I keep pitching them in this thread because they're particularly useful for guys just getting started and because they buy shares when the markets are lower so they're automatic savings.

[GregWeld]

Originally Posted by RECOVERY ROOM

Love this thread !!!!

And we love you!

[Sieg]

Originally Posted by GregWeld

Yep -- and it's why I purposely posted "Paper gains".... they come and they go... but now instead of a $59 grand paper gain I'm down to $30 grand...

Too bad you didn't sell it prematurely like APPL.







Sorry GW, couldn't resist