Wednesday, July 4, 2012

First half 2012 investing account review

I often review the trading count but not as often check the investing account as a whole...

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.

So things are preceding well and we have two points of concern...
1: PSX uncertainty.
2: ERF's dividend growth

For PSX its a waiting game. They are a brand new company and we will need to see how they develop.
For ERF.. I have gone into extreme detail with them elsewhere but my reasons for buying and owning them have not changed. I'm not saying that my thesis of ERF long term is how it will turn out. But I have my thesis, have considered the alternatives, have my backup plans in case I am wrong. That is how we become profitable long term when the average investors fails and loses. We act opposite of the average investor which is to say that we consider the possibility of being wrong as much as being right.

One last thing in regards to ERF.... ERF is a prime example of what Benjamin Graham talks about in his book "The Intelligent Investor". You do NOT sell stock just because it has fallen. You do NOT sell stock because of being swept away in mass hysteria. My reason for buying them has not changed just because someone wants to sell their shares in the $12s.  It has taken me years of investing to be able to have that frame of mind after seeing a 50% drop. Investing is not unlike trading in this respect. It takes time and experience to build up that skill set.

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.


  1. Another good video, keep em comin. Personally I'd run away from any stock that cuts their dividend. I want stocks that consistently raise dividends every year. If you decide to replace ERF, consider a stock like KMP (Also in energy sector), 6% yield, and 15% dividend growth which they seem to raise every quarter.

    1. KMP is a reliable workhorse of a dividend portfolio lol. They have been pretty steady especially for an MLP.