Monday, January 16, 2012

Week 38 Update and a whole lot of activity

Ironic that in a video where I describe the activity level of the Model Portfolio is taking more time from the learning aspect and more into maintenance, that I am having limited time Monday morning to make, edit, upload, and process the weekly video before I need to leave for work. This morning was not successful in that. I think I am going to need to switch it to Sundays.

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.

As I mentioned in my last entry on Weighting, I have added a weight by income column for the Investing account spreadsheet. This will highlight a concern that dividend income investors need to keep in mind. My current concern isnt with the difference between ERF and WMT but in my bond position. Between PCY and JNK I have 45% of my income coming in from bonds.  Not a big issue since that will be resolved with future positions, 10 new ones coming up this year. That will smooth out the weights.

For trading I split the demo trading spreadsheet profit/loss column into two separate ones. This was to make the formulas a bit easier. Because the profit and loss was in the same column I could not easily calculate them automatically. Now I can. More importantly to me though is that I figured out the formula for calculating the required accuracy I need vs my current risk/reward ratio. This will show more the relationship between risk/reward and accuracy and how they work together.

The profit right now for trading isn't in actual dollars even for fake dollars in a demo account. Its in gaining experience and tools to carry forward.

Weekly Activity
$100 deposit into Savings

Model Portfolio Totals

Trading Account: $885.13
Estimated Monthly Income: $0 (Not ready to trade until Phase 1 completed)
Max amount in Forex trade (50% of account): $442
Max loss per trade (1% of account): $8
Portfolio stop (3% account): $26

Investing Account: $1,861.14
Estimated Monthly Income: $6.11 ($0.118 from DRIP shares)
     WMT: $0.53 income/month ($0.003 from DRIP shares)
     ERF: $1.72 income/month ($0.030 from DRIP shares)
     O: $1.07 income/month ($0.014 from DRIP shares)
     JNK: $1.65 income/month ($0.051 from DRIP shares)
     PCY: $1.13 income/month ($0.020 from DRIP shares)
Maneuvering Cash: $600

Savings Account: $1,100
Emergency: $800
Portfolio Protection
     Trading Account: $50
     Investing Account: $250
CDs: $0
Precious Metals: $0

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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