Intelligent Investor review part 3

Delayed but not forgotten...

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.

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.

Week 83 update

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.

Weekly Activity
$100 deposit into Investing
$0.92 from ERF


Model Portfolio Totals

Trading Account: $2,002.83
1 SPY 135 JAN PUT: $147 (-$220)
Purchased @ 3.67
Cash: $1,855.83

Investing Account: $4,713.09
Estimated Monthly Income: $19.42 ($0.539 from DRIP)
Stock
     ABT: $0.77 ($0.018 from DRIP)
     AFL: $0.67 ($0.010 from DRIP)
     MCD: $0.70
     STX: $2.01 ($0.010 from DRIP)
     WMT: $0.59 ($0.014 from DRIP)
Energy
     COP: $0.79 ($0.025 from DRIP)
     ERF: $0.92 ($0.082 from DRIP)
     WHZ: $3.68
REITs
     AGNC: $2.86
     O: $1.16 ($0.057 from DRIP)
BDCs
     TCAP: $2.32 ($0.098 from DRIP)
Bonds
     JNK: $1.74 ($0.150 from DRIP)
     PCY: $1.18 ($0.068 from DRIP)
Maneuvering Cash: $1,081.60

Savings Account: $2,175.20
Emergency Fund: $1,000
General/Car Fund: $825.20
Portfolio Protection
     Trading Account: $100
     Investing Account: $250

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.

Week 82 update

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.

I am sure that this will  not be the final format of how I show my numbers for the trading account. Its job won't really be to generate steady income that I can count on monthly for my bills. It can however generate faster profits then the Investing account that I can then move over to the investing account to buy more stable dividend and income generating assets. Any ideas that you guys have?



Weekly Activity
$100 deposit into Investing
$2.30 from ABT
$1.59 from JNK


Model Portfolio Totals

Trading Account: $2,181.83
1 SPY 135 JAN PUT: $326 (-$41)
Purchased @ 3.67
Cash: $1,855.83

Investing Account: $4,533.50
Estimated Monthly Income: $19.42 ($0.533 from DRIP)
Stock
     ABT: $0.77 ($0.018 from DRIP)
     AFL: $0.67 ($0.010 from DRIP)
     MCD: $0.70
     STX: $2.01 ($0.010 from DRIP)
     WMT: $0.59 ($0.014 from DRIP)
Energy
     COP: $0.79 ($0.025 from DRIP)
     ERF: $0.92 ($0.076 from DRIP)
     WHZ: $3.68
REITs
     AGNC: $2.86
     O: $1.16 ($0.057 from DRIP)
BDCs
     TCAP: $2.32 ($0.098 from DRIP)
Bonds
     JNK: $1.74 ($0.150 from DRIP)
     PCY: $1.18 ($0.068 from DRIP)
Maneuvering Cash: $981.60

Savings Account: $2,175.20
Emergency Fund: $1,000
General/Car Fund: $825.20
Portfolio Protection
     Trading Account: $100
     Investing Account: $250


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.

Preparing the Model Portfolio for the Fiscal Cliff

Now that we've discussed what the Fiscal Cliff is what changes, if any, do I need to make for the Model Portfolio...

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.

There is something else that the SPY Put option brings to the account beyond the economic reasons I mention in the video. Peace of mind. While I do not think it will happen, we can have a complete meltdown and I will come out ahead.
We can have a rise in the markets and my share price will rise so I will come out ahead.
Combined with the Investing account's dividends of bringing in income... Its as close to as win-win as you can get.

This mentality is what I think retail investors really needs to get down to doing. Getting away from the buy low sell high as their entire strategy.


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.

The Fiscal Cliff

What is the Fiscal cliff that everyone keeps talking about?

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 there is my take on the Fiscal Cliff. Its a double whammy of two big problems at the same time. As I mention in the video, we as a society and a government haven't picked which one we want to fix yet let alone how we are going to fix things. I'm not sure if we will decide before things worsen. We only have a couple months. I don't expect an immediate drop off or crash like 2008. However between that and both Europe and China struggling its could all add up to a financial struggle at best.

Next I will talk about my own actions in planning around this and some things that we as retail investors and traders can do. I never liked that attitude of sitting around waiting for someone else to fix a problem when we can do it ourselves.



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.

The Market Bottom is in

I'm calling the bottom of the pullback right here guys. We are going up as of now. How do I know?
This morning I bought 1, 135 SPY JAN Put option. I got filled this morning @ 3.67.

All joking aside, I do have some concerns about the market going forward. I'll have a couple videos coming out discussing the Fiscal Cliff (tonight) and how I am going to be reacting to it (video out tomorrow). In the meantime though I have spent $370 out of the trading account ($367 for the option plus $3 for commissions). SPY is an ETF covering the S&P500 which will measure the general market movements. This is to protect the Investing Account as a whole, not a particular position. More on this tomorrow...

With investing I get filled in on Tuesday and my expectations to hold are for months or years. With trading though it is a much quicker time frame so I wanted to get this trade out in real time and not wait a couple days to make it look like I cherry picked data or to avoid talking about losses. I REALLY hate when others do that.




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.

My social manifesto

Manifesto: a written public declaration of the intentions, motives, or views of the issuer, be it an individual, group, political party or government

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.

I've seen a growing problem online. Times are tough for government, families, companies, and individuals. Lots of emotion out there at what went wrong and who is to blame. To a certain extent that is fine IF, and that is a big IF, one can then get a clear head and move on to making change in their life.

A struggle comes up though in moving on to the fixing part vs the dwelling on the problem.

To some I apologize for being silent and watching those ideas go unchecked without giving a dissenting voice to. I'm still going to be giving the weekly updates and moving forward, leading by example with my own actions. I think that is far more effective then sitting back and only talking.

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.

Week 81 update

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.

Weekly Activity
$100 deposit into Savings
$1.59 from JNK


Model Portfolio Totals

Trading Account: 2,225.78

Investing Account: $4,537.32
Estimated Monthly Income: $19.41 ($0.523 from DRIP)
Stock
     ABT: $0.77 ($0.012 from DRIP)
     AFL: $0.67 ($0.010 from DRIP)
     MCD: $0.70
     STX: $2.01 ($0.010 from DRIP)
     WMT: $0.59 ($0.014 from DRIP)
Energy
     COP: $0.79 ($0.025 from DRIP)
     ERF: $0.92 ($0.076 from DRIP)
     WHZ: $3.68
REITs
     AGNC: $2.86
     O: $1.16 ($0.057 from DRIP)
BDCs
     TCAP: $2.32 ($0.098 from DRIP)
Bonds
     JNK: $1.74 ($0.150 from DRIP)
     PCY: $1.18 ($0.068 from DRIP)
Maneuvering Cash: $881.60

Savings Account: $2,175.20
Emergency Fund: $1,000
General/Car Fund: $825.20
Portfolio Protection
     Trading Account: $100
     Investing Account: $250


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.

Selling Options

I think I made it through with not switching around terms and how options work as far as selling vs buying and calls vs puts.

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 my closing comment stated, options can get really complicated. Perhaps more so then the average person  will be able to manage. But its something I feel should be learned and explored because they are a tool that we can use for the right job at the right time.

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.

Why would you want to buy stock options

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.

Continuing my option series where here I talk about my thoughts on buying options. They have lots of uses and there are many more scenarios then I discuss here.

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.

Week 80 update

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.

Weekly Activity
$100 deposit into Trading
$1.33 from PCY


Model Portfolio Totals

Trading Account: 2,325.78

Investing Account: $4,607.65
Estimated Monthly Income: $19.40 ($0.513 from DRIP)
Stock
     ABT: $0.77 ($0.012 from DRIP)
     AFL: $0.67 ($0.010 from DRIP)
     MCD: $0.70
     STX: $2.01 ($0.010 from DRIP)
     WMT: $0.59 ($0.014 from DRIP)
Energy
     COP: $0.79 ($0.025 from DRIP)
     ERF: $0.91 ($0.072 from DRIP)
     WHZ: $3.68
REITs
     AGNC: $2.86
     O: $1.16 ($0.057 from DRIP)
BDCs
     TCAP: $2.32 ($0.098 from DRIP)
Bonds
     JNK: $1.74 ($0.140 from DRIP)
     PCY: $1.18 ($0.068 from DRIP)
Maneuvering Cash: $881.60

Savings Account: $2,075.20
Emergency Fund: $1,000
General/Car Fund: $725.20
Portfolio Protection
     Trading Account: $100
     Investing Account: $250



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.

What makes up the valuation of a stock option

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.

Stock options give a lot of versatility in how they can be used but they can be complex in how they work. They do have lots of moving parts to keep straight and to keep in mind when deciding to use them or not. That might bring one to question if the average person, the Theoretical Family, can use them or not.
If a family is looking to replace their income with investing and trading then they HAVE to learn and explore their "options" available to them (pun intended). Without learning what is available they cannot expect to make the best decisions for their portfolio and their livelihood.



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.