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.
Hopefully this clarifies more on why I invested in Whiting USA Trust 2.
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.
Please don't take offense to this but I was thinking...
ReplyDeleteif this is a model portfolio for an average family (and i say average because it seems like a lot of your calculations were based off of average families in America) then I'm not sure if your most recent purchase makes sense. This purchase does't seem like something the average investor should be involved with. You seem to make it quite clear that this purchase involves some mathematics with an educated guess at best re: future oil prices, as well as you mentioned Ben Graham and that the people who have the time to search for these kind of equities that are under-valued can take advantage but I really don't think and average investor has this kind of time and knowledge. You also state that this is a stock you need to keep your eye on and continuously keep track of how many payments remain to the stock price to see if it makes sense to hold or sell the stock. Again I don't think if this portfolio is for an average family someone has the time or skills to perform these tasks. This stock is too confusing and too much work is involved for an average investor.
I personally think the average investor would more likely steer towards the MCD's, CVX's, JNJ's, WAG's, PG's, and KO's then toward something like WHZ.
I guess you can't make everyone happy..haha.
Keep up the great VLOG!!
No offense taken and it is a VERY valid question. I had thought on this point for quite awhile. I think I'll have a separate entry to respond. I was typing a response here but it was turning into a book.
DeleteGood Information. Thank you for sharing and I want to share information about the Cash Flow Navigator is a Financial Planning Advisor provides free information and resources for their members to plan and achieve Financial Independence.
ReplyDeleteCan't help but agree with Anonymous above.....It appears over the past 12 months WHZ is down about 22% (now it does have an a heavy distribution, however, it would still be down over the past 12 months). Over this time the DJIA is up quite a bit and every stock Anonymous mentioned above is up what looks to be about 12-14% or so on average (didn't actually do the math just approx. by looking at the graphs..plus dividends)....These companies mentioned are cash cows are keep giving and giving and you can sleep very well.
ReplyDelete