Sunday, September 25, 2011

Listing out the Goals of the Investing Account, Phase 2

With Phase 1 of the investing account for the Model Portfolio done I move on to Phase 2.

EDIT: At the time this blog entry was posted I had a Youtube video here. That has been removed but I want the rest of my content to be remain. Nothing hidden no past mistakes ignored. All out in the open.

25 positions for a 4% portfolio risk is important for me. Yes the solid Dividend Aristocrats have paid and raised dividends for 25+ years. Who knows what will happen in the future. Look at bank stocks. They used to be the cornerstone of many dividend income accounts. Not only did they cut their dividends after 2008 but their share price was devastated.  If you were going to move your money to something else... you might as well have to start over you would have easily lost 50% or more of your position.

The 25 stock and ETF for the Investing Account phase 2 are going to be across multiple sectors. Consumer staples, restaurants, real estate, health care. I have read too many horror stories of people who went "all in" with a couple of companies. 1 or 2 don't work and they lost everything.

Disclaimer: The investments and trades in my videos and blog entries are not recommendations for others.
I am not a financial planner, financial advisor, accountant, or tax adviser. The financial actions I talk about are for my own portfolio and money and only suited for my own risk tolerance, strategy, and ideas. Copying another person's financial moves can lead to large losses. Each person needs to do their due diligence in researching and planning their own actions in the financial markets.

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