Stocks - are you buying, selling or holding tight?
- Thread starter woodee
- Start date
There is a possibility that Greece will default next month. I was thinking if Greece does, the stock market might stumble quite a lot. I wonder if I should transfer my VERY high growth RRSP mutual fund to a cashable GIC until the whole storm cleared somewhat. Even if Greece does pay its loan back to the IMF, I could always transfer back to my regular mutual fund.
Any suggestions?
Any suggestions?
I sold some stuff today and moved to 30% cash. I have 20% REIT's, 5% bonds and 45% equities so I'm pretty cautious right now. Started the year with 60% equities and 2/3 of that was US equities unhedged. Made a lot of money when the C$ crashed have sold or hedged most of that but not really sure what to do now. Reit's have done really well but afraid to add to them with interest rates maybe going up. Guess I'll just wait on the sidelines with the cash waiting for something to happen. I'd like to hear any other ideas.
Yep, when it came to stocks I had almost all my money in the US. I also benefited from the C$ decline and have since sold about 1/3 of my US positions. I'll sit tight with the rest. I expect the CAD to improve above $0.85 USD as oil prices continue to stabilize. I've also moved a lot of money towards energy companies, many of which are at, or were at, bargain prices.I sold some stuff today and moved to 30% cash. I have 20% REIT's, 5% bonds and 45% equities so I'm pretty cautious right now. Started the year with 60% equities and 2/3 of that was US equities unhedged. Made a lot of money when the C$ crashed have sold or hedged most of that but not really sure what to do now.
However, I'm not increasing my overall stake in stocks. Just holding.
We are pretty heavily hedged. The market in our opinion is showing many characteristics of a "overheated" market where fundamental analysis is being ignored. Too many story stocks and valuations look expensive.
And the fed hasn't even raised yet.
Happy trading,
Goodguy
And the fed hasn't even raised yet.
Happy trading,
Goodguy
http://www.theglobeandmail.com/glob...g-bonds-to-avoid-stock-swoon/article24210451/
Nothing is ever definitive, look at your mix and consider how much time you have to play the markets. Individuals can always beat the floors, but only you know your strengths and weaknesses.
Nothing is ever definitive, look at your mix and consider how much time you have to play the markets. Individuals can always beat the floors, but only you know your strengths and weaknesses.
That is really bad adviceDon't get overly focussed on dividend yields. Dividends can be cut, what really matters is earnings.
Don't forget, a dividend is merely the shifting of cash from your left pocket to your right. The company is only giving you YOUR money back.
Since the 1920s dividends represent 60% of the market return
It is cash flow that really matters as earnings can be massaged & in some industries where depreciation / depletion charges are high earnings are miniscule while cash flow is very high. Oil / Gas E&P and mining companies are valued on cash flow not earnings.Dividends can be cut, what really matters is earnings.
Dividedns can only be paid from cash flow not earnings
While it is true that dividends can be cut , if one can find companies who are able to consistently grow cash flow and dividends they can pay back your investment every few years
think buying & holding the Canadian banks back in 1980 or POW or CNR or IPL, MMM, or any of the US dividend aristocrats.
In fact people should do exactly the opposite of what you say and focus on dividend paying stocks and look for the ones with growing cash flow
There is nothing like getting a 15% dividend return on a stock you bought 5 -10 years ago. The kick ass capital return from price appreciation will naturally follow
True, it's nice to hear some of their perspectives and opinions. Also, keep in mind the disclosure. They're much more inclined to talk about their recent purchases.I like dividend stocks especially recommended by BNN portfolio managers . It's a protection to your stocks . I got my recommendation stocks on BNN guest portfolio managers .
Be very careful my friends. Folks who go on BNN, CNBC, Fox business etc... are usually talking their book. It works in a bull market.... but beware.True, it's nice to hear some of their perspectives and opinions. Also, keep in mind the disclosure. They're much more inclined to talk about their recent purchases.
Best advice I can think of is do your own research.
Good luck,
Goodguy
Yup, I have several PM colleagues and friends that are regulars on BNN. When I read the comment that someone here was using BNN discussions right into their portfolio i had to smh. This is not a wise move as followers of Jim Kramer on CNBC have learned themselves.Be very careful my friends. Folks who go on BNN, CNBC, Fox business etc... are usually talking their book. It works in a bull market.... but beware.
Best advice I can think of is do your own research.
Good luck,
Goodguy
Not to mention, some of the recommendations are contradictory. What do you do then?
I would just do your own research. Use them for ideas but please do understand some of the television guests are no different than local Investment Advisors.
In this market everyone's a genius which also makes it a very dangerous market.
Good luck,
Goodguy
In this market everyone's a genius which also makes it a very dangerous market.
Good luck,
Goodguy
I've actually heard alot of the BNN guests saying recently (Market Call) that they have trimmed positions and are building cash in anticipation of some upcoming volatility. I wonder what sector we will see it in?
my lucky play so far this year was Voltari Corp. It was recommended on BNN by one of the analysts i follow. I only put $2k in it back in March as it was outside my risk tolerance. I'm more of the GAARP type investor that likes knowledge based stocks (VRX, CGI, CSU, TRX, CRH types). I don't have any Energy holdings.
