Real Estate Portfolio

Back in 2007 I wanted to buy a home. I had two choices that I could afford. One was a house. A liquor store was three buildings away from it on a street corner and it had bullet holes in its sign. The house did not have a garage but a large carport. I own an Acura Integra which is always on the Top 10 most stolen cars of America. I've had it attempted to be broken into twice so I pretty much would have to write off the car. The price for the house was a steal and keep in mind this was 2007. Everyone was flipping houses. It was the thing to do back then. The other choice I had was a townhouse. Kind of small but it was well maintained and a good area located within close driving range of three very large employers. I decided what I would be happy to come home to and passed on the dream of flipping it for 100% profit in 5 years. 2008 came along and I was pleased with my choice.

I met my girlfriend and then later on moved in with her. She has a Saint Bernard and my HOA would not allow dogs so there was no choice in the matter. It did leave us with 1 house too many. I did my research and decided to rent it out and become a landlord.

I got myself a property manager to handle everything and let me tell you, it was a no brainer. Do you like the idea of getting a phone call at 1 A.M. in the middle of winter about a broken furnace? How about a renter that is two months later then skips town, want to deal with that? Yeah me neither. 10% a month of the rent is more then fair to make all the problems go away.

First up is the net worth of the unit. For the estimated value I use a combination of the value I pay property taxes on, Zillow.com, Trulia.com, Chase.com, and Realestate.com. The mortgage is what I still owe on the unit and as you can see its underwater, by a lot.
I have a Real Estate Cash Account which is a checking account where I pay repairs out of, make extra payments on the mortgage, and receive my rental income into.
The Real Estate Savings account is the savings account tied to that checking account. I keep $2,000 in there for any repairs. I have recently replaced the A/C and Furnace on it so do not expect any big repairs for at least a decade. But you never can be sure so I want that cushion so as not to need to sell any dividend stocks.

Now for the income part.  I collect $950 in rent a month.
-$95 (10%) is taken out for the property manager.
-$150 is what I have to pay for the HOA. Now that may seem like a lot but its a gated community of townhouses. They handle the roofing, siding of the buildings, trash pickup, landscaping, and an onsite security force. As with the property management fees, I'm willing to pay people to make problems and worries go away.
-$53.73 is what I pay for Renter's Insurance.
-$95 (10%) I set aside for vacancy months and repair. Let me tell you, you HAVE to prepare for these. They WILL come up.
-$745 for mortgage.

That leaves me with a -$200 loss every month. Not the greatest investment by far but its underwater -$15,000. I'm certainly not going to sell it. For now I will bide my time and let someone else buy me a house.


Disclaimer: The investments and trades discussed 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 Portfolio

Now that I have discussed what my strategy is its time to go over what tools I have to work with to carry them out, i.e. my portfolio.

Most of this should look familiar to longtime readers. My original Model Portfolio was a real time, real money portfolio. I then switched over to a fake demo account for the Effort Portfolio, but I kept on funding and running my Model Portfolio. Sometimes with the same moves as I showed on the Effort Portfolio. Sometimes with things I didn't talk about. Now that I am running a progress blog of my own actions and progress... I am once again sharing a real account. Its not everything I am doing but in this account and the actions I talk about here, its real money.

Dividend growth stocks make up the majority of the positions. They are the solid companies that I expect to give me raises to my income over the coming years.

Business development companies are listed next. BDCs give out loans to small companies. As you can see their yield is quite high. This is a proxy for my small cap exposure. The dividend growth is quite low but they make up for it with a high yield. I plan to simulate income growth by being able to buy more shares quicker than the gains from the dividend growth stocks. I will be discussing more about BDCs in the future.

Real estate investment trusts also have a place in my portfolio. More investors are familiar with REITs then BDCs. They have higher yield than dividend growth stock but lower yield then BDCs. The flip side is they generally have higher growth rates then BDCs but lower than dividend growth companies. They strike a nice balance.

Our world runs on fossil fuels and that mean they have cash flow. Master Limited Partnerships (MLPS), and Royalty Land Trusts provide high yields but there are some nice energy corporations that pay good enough to be in my portfolios too.

Probably surprising to most of you is that I will have a precious metals position in my income portfolio. GLDI sells covered calls on the GLD share it owns. 8.4% yield is pretty juicy and it brings in diversification to help calm down the market highs and lows.

Though most dividend growth investors shy away from bonds, I like them and want them. Though they have no growth they do have diversification. Not only in share price movement but diversification of where their income comes from.

The last section is my real estate portfolio consisting of 1 townhouse. Yes I am a landlord. I will get more into that in the future.

In the next update I will get into future funding and overall basic plans for the portfolio.

Disclaimer: The investments and trades discussed 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.

Income Growth Investing: How I will make money in the financial markets

There are numerous ways to make money in the markets. Stock option trading, bonds, commodity trading, rental real estate, flipping houses, forex, bitcoins, precious metals. I'm convinced that if it exists or can be conceptualized, then somewhere some human has found a way to profit from it. Patent trolls have found a way to capitalize thought itself.
So what is my preferred way on making money in the financial markets?

There are two general types of assets out there.
1: Assets you can buy now and sell later for a profit.
2: Assets you can buy now and sell later for a profit that also pays you to hold them.
Given just this, it seems like owning #2 gives you an automatic advantage, or an edge over #1. The asset that gives income can still be sold for a profit if need be so really there are two strategies possible built into one. I see little reason to focus on non paying assets.

Both of these types of assets come with two problems.
1: You have to be able to figure out WHAT will increase in value in the future to be able to sell it for a profit.
2: You have to be able to figure out WHEN to sell your asset meeting your time horizon of when you will need your profit and if the asset has more upside in price to come or if it is going to drop and you lose unrealized gains. Our two listed assets have these problems because of "buy low sell high." However #2 has the added benefit of income. That is where my edge and strategy lies.

My goal is to generate enough monthly income to cover my monthly bills. If I can do that then I am never forced to sell my assets for profit to live off of. In fact if I am never forced to sell an asset, and my assets generate the income I am wanting, then I never want to sell them. I no longer have to worry about concern #2 in when I will sell if I do not plan to sell for a profit. Additionally I'm less worried about what will appreciate in value as much as what will give me a constant income stream so concern #1 is mitigated somewhat.

I am an Income Investor.

I have one last concern with planning and choosing my strategy. Inflation. It can slowly creep into a portfolio and our lifestyles and lower them. I am in my late 30s. I have another 25 years before traditional retirement. Assuming I live to be 90 I have 25 years of retirement. Thats 50 years of inflation that I have to worry about with my financial decisions today.

To combat inflation I want my income streams to increase every year by more then the inflation rate. Long term that is about 3% - 4%.

I am an Income Growth Investor.


Disclaimer: The investments and trades discussed 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.

Rebirth

Well that is that.

The Youtube channel has been ended. All the videos have been set to private except for the good-bye video. I won't link that video here, if any of you want to see it you can go see it. Some of you might be thinking "What now?"  In the video though, note that I said I am closing the Youtube channel. Nothing about this blog.

For the past two years I've spent time attempting to teach others what I know and at times that meant spending time and energy on things that didn't help me. The ETF Portfolio was a great example as I don't have an interest in equity ETFs nor running Permanent Portfolio. That's taken up a lot of my time. For those of you who have never made a youtube video.... each one can take an hour or more. To make the video, redo it if its of poor quality, wait for it to compile, upload it, wait for Youtube to compile. It was crazy.

Its now time to focus on my efforts instead of splitting the time and thats what I will do with this blog going forward. This will now become a progress blog detailing my own steps to becoming financially independent. What I am reading and thinking as well as the actual financial choices I am taking. No theoretical family, no imaginary portfolios that I have no interest in.

I could have started a new blog and perhaps a new online name. When I thought about that though it felt disingenuous.  Like I was trying to hide something or pretend the past didn't happen. It serves no purpose to you the reader because it gives less insight for you as to who I am and where I am coming from. It serves no purpose to me because our past actions and decisions are what makes us who we are. They are to be learned from, not ignored.

However, I've hidden my old posts. Not to hide anything of my past, I will still talk about and admit to my Enerplus (ERF) investment. But those blog posts were mostly placeholders to showcase a video. As I was looking at them without the context of the video that used to be there, they were not independent entries meriting anyone's time in reading them without a video explaining things.

Its a new fresh start and one I am rather happy about. I find it interesting how relieved I am now to have gotten rid of the Youtube channel. Like an anchor removed. Not that I will not be trying to help others. I will. Its a part of who I am. Just in a different way.



Disclaimer: The investments and trades discussed 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 113

Active Account: $8.416.82
Total Return: 0.80%
Est Monthly Income: $20.17

Investing: $5,091.69
Total Return: 11.91%
Stock
     AFL: +13.65%
     HAS: +27.36%
     SPLS: +38.22%
     STX: +53.71%
BDC
     PSEC: -0.90%
     TCPC: +4.43%
Energy
     NDRO: -5.95%
     WHZ: -20.43%
REITs
     ARCP: +7.27%
     OHI: +30.05%
Gold
     GLDI: Waiting for GLD < $100
Bonds
     BLV: -8.40%
     JNK: -0.92%
     PCY: -10.41%
Cash: $1,451.32

Trading: $3,324.93
Total Return: -12.50%
Cash: $3,324.93


ETF Account: $8,270.66
Total Return: -0.95%
Est Monthly Withdraw Rate (4% rule): $27.21
Est Monthly Income: $9.97
US Stock
     SPY: +14.27%
     XLV: +20.48%
     VNQ: +6.55%
Gold
     GLDI: Waiting for GLD < $100
Bonds
     BLV: -8.33%
     JNK: -1.28%
     PCY: -10.30%
Cash
     Cash: $5,069.03


Permanent Portfolio: $8,099.04
Total Return: -3.01%
Est Monthly Withdraw Rate (4% rule): $24.56
Listed by weighting
     SPY: 25.11%
     GLD: 25.45%
     TLT: 21.60%
     Cash: 27.83%

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 112: Keeping on target

Active Account: $8.316.21
Total Return: 0.20%
Est Monthly Income: $20.17

Investing: $4,991.08
Total Return: 10.91%
Stock
     AFL: +11.69%
     HAS: +26.46%
     SPLS: +39.30%
     STX: +53.25%
BDC
     PSEC: -2.42%
     TCPC: +5.51%
Energy
     NDRO: -7.00%
     WHZ: -22.24%
REITs
     ARCP: +3.11%
     OHI: +24.33%
Gold
     GLDI: Waiting for GLD < $100
Bonds
     BLV: -9.72%
     JNK: -2.53%
     PCY: -12.78%
Cash: $1,396.37

Trading: $3,324.93
Total Return: -12.50%
     SPY Puts: -99.58%
Cash: $3,324.93


ETF Account: $8,165.8
Total Return: -1.62%
Est Monthly Withdraw Rate (4% rule): $27.21
Est Monthly Income: $9.81
US Stock
     SPY: +12.92%
     XLV: +18.26%
     VNQ: +4.51%
Gold
     GLDI: Waiting for GLD < $100
Bonds
     BLV: -9.66%
     JNK: -2.88%
     PCY: -12.67%
Cash
     Cash: $5,019.03


Permanent Portfolio: $7,923.56
Total Return: -4.54%
Est Monthly Withdraw Rate (4% rule): $24.04
Listed by weighting
     SPY: 25.37%
     GLD: 25.07%
     TLT: 21.75%
     Cash: 27.81%

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 111 update. Lots of activity...

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.

Active Account: $8.206.20
Total Return: -0.53%
Est Monthly Income: $20.17

Investing: $4,873.87
Total Return: 9.53%
Stock
     AFL: +9.58%
     HAS: +26.93%
     SPLS: +33.31%
     STX: +49.21%
BDC
     PSEC: -2.78%
     TCPC: +2.85%
Energy
     NDRO: -3.35%
     WHZ: -21.16%
REITs
     ARCP: +0.42%
     OHI: +18.16%
Gold
     GLDI: Waiting for GLD < $100
Bonds
     BLV: -10.29%
     JNK: -4.10%
     PCY: -13.39%
Cash: $1,341.74

Trading: $3,324.93
Total Return: -12.31%
     SPY Puts: 2 out of 6 left. -84.45%
Cash: $3,324.93


ETF Account: $8,049.53
Total Return: -2.43%
Est Monthly Income: $10.17
US Stock
     SPY: +10.52%
     XLV: +14.96%
     VNQ: +1.19%
Gold
     GLDI: Waiting for GLD < $100
Bonds
     BLV: -10.22%
     JNK: -4.45%
     PCY: -13.28%
Cash
     Cash: $4,966.58


Permanent Portfolio: $7,749.92
Total Return: -6.06%
Est Monthly Withdraw Rate (4% rule): $23.52
Listed by weighting
     SPY: 25.38%
     GLD: 24.67%
     TLT: 22.15%
     Cash: 27.79%

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.

Managing my hedge

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.

Three updates in three days? I don't know how much longer I can keep up this breakneck speed.
On a serious note, I'm quite pleased with how I'm managing the hedge this time around.




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 110.. OOPS

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.

Active Account: $8.204.24
Total Return: +0.05%
Est Monthly Income: $20.17

Investing: $4,835.30
Total Return: 9.89%
Stock
     AFL: +9.76%
     HAS: +21.82%
     SPLS: +32.14%
     STX: +47.18%
BDC
     PSEC: -3.23%
     TCPC: +6.14%
Energy
     NDRO: -1.92%
     WHZ: -22.36%
REITs
     ARCP: +7.77%
     OHI: +18.13%
Gold
     GLDI: Waiting for GLD < $100
Bonds
     BLV: -8.80%
     JNK: -4.10%
     PCY: -12.50%
Cash: $1,290.81

Trading: $3,368.93
Total Return: -11.34%
Stock
     SPY Puts: -8.40%
Cash: $3,281.73


ETF Account: $8,036.86
Total Return: -1.99%
Est Monthly Income: $14.15
US Stock
     SPY: +7.87%
     XLV: +12.87%
     VNQ: +0.93%
International Stock
     EWZ: -22.84%
     PXR: -19.32%
Gold
     GLDI: Waiting for GLD < $100
Bonds
     BLV: -8.73%
     JNK: -4.45%
     PCY: -12.38%
Hedge
     SDS: +2.03%
Cash
     Cash: $3,134.14


Permanent Portfolio: $7,689.14
Total Return: -6.23%
Est Monthly Withdraw Rate (4% rule): $23.33
Listed by weighting
     SPY: 24.97%
     GLD: 24.79%
     TLT: 22.98%
     Cash: 27.25%

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.

Stock Screening 5 - Due Diligence

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 109 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.

Active Account: $7,902.89
Total Return: -3.03%
Est Monthly Income: $20.17

Trading: $3,421.73
Total Return: -9.95%
Stock
SPY Puts: +45.8%
Cash: $3,213.53

Investing: $4,522.6
Total Return: 5.18%
Stock
     AFL: +7.01%
     HAS: +20.49%
     SPLS: +29.81%
     STX: +38.71%
BDC
     PSEC: -5.73%
     TCPC: +1.77%
Energy
     NDRO: -0.06%
     WHZ: -20.74%
REITs
     ARCP: +2.05%
     OHI: +12.45%
Gold
     GLDI: Waiting for GLD < $100
Bonds
     BLV: -10.04%
     JNK: -4.95%
     PCY: -15.00%
Cash: $1,023.56

ETF Account: $7,908.64
Total Return: -2.96%
Est Monthly Income: $14.15
US Stock
     SPY: +7.23%
     XLV: +12.16%
     VNQ: -2.11%
International Stock
     EWZ: -22.70%
     PXR: -19.70%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -9.98%
     JNK: -5.30%
     PCY: -14.89%
Hedge
     SDS: +3.95%
Cash
     Cash: $2,885.00

Permanent Portfolio: $7,773.78
Total Return: -4.62%
Est Monthly Withdraw Rate (4% rule): $23.59
Listed by weighting
     SPY: 24.55%
     GLD: 19.3%
     TLT: 22.31%
     Cash: 33.84%

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.

Market Freak out for 6-20-13

We'll get days like yesterday from time to time. No way to avoid it. The way I try to mitigate the damage is through portfolio management.

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 108 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.

Active Account: $7,874.13
Total Return: -2.79%
Est Monthly Income: $17.93

Trading: $3,351.53
Total Return: -11.80%
Stock
SPY Puts: -3.36%
Cash: $3,213.53

Investing: $4,522.6
Total Return: 5.18%
Stock
     AFL: +8.61%
     HAS: +19.81%
     SPLS: +35.56%
     STX: +43.53%
BDC
     PSEC: -6.72%
     TCPC: +1.39%
Energy
     NDRO: To be purchased
     WHZ: -20.49%
REITs
     ARCP: +4.59%
     OHI: +22.70%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -5.39%
     JNK: -2.33%
     PCY: -8.01%
Cash: $1,231.80

ETF Account: $8018.51
Total Return: -1.01%
Est Monthly Income: $14.15
US Stock
     SPY: +10.00%
     XLV: +15.08%
     VNQ: +3.07%
International Stock
     EWZ: -10.50%
     PXR: -12.40%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -4.61%
     JNK: -1.81%
     PCY: -7.31%
Hedge
     SDS: +0.13%
Cash
     Cash: $2,835.00

Permanent Portfolio: $7,972.82
Total Return: -1.57%
Est Monthly Withdraw Rate (4% rule): $24.19
Listed by weighting
     SPY: 24.56%
     GLD: 20.23%
     TLT: 22.84%
     Cash: 32.37%

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 107 update

Active Account: $7,793.08
Total Return: -3.19%
Est Monthly Income: $18.17

Trading: $3,269.71
Total Return: -11.40%
Stock
SWY: -5.93%
Cash: $2,906.53

Investing: $4,398.00
Total Return: 4.77%
Stock
     AFL: +5.17%
     HAS: +20.87%
     SPLS: +24.98%
     STX: +41.43%
BDC
     PSEC: -6.90%
     TCPC: +1.27%
Energy
     WHZ: -21.40%
REITs
     ARCP: +7.56%
     OHI: +23.42%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -4.68%
     JNK: -1.46%
     PCY: -7.43%
Cash: $1,128.29

ETF Account: $7,958.63
Total Return: -0.52%
Est Monthly Income: $14.15
US Stock
     SPY: +10.05%
     XLV: +14.13%
     VNQ: +3.91%
International Stock
     EWZ: -10.50%
     PXR: -12.40%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -4.61%
     JNK: -1.81%
     PCY: -7.31%
Cash
     Cash: $3,599.84

Permanent Portfolio: $7,865.07
Total Return: -1.69%
Est Monthly Withdraw Rate (4% rule): $23.86
Listed by weighting
     SPY: 24.91%
     GLD: 20.43%
     TLT: 23.29%
     Cash: 31.37%

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.

I'm out of SWY

Selling SWY. Might be because of the general market pullback. Might be because there is a problem with Safeway. In the end.... does it really matter why its dropping? I'm out @ $22.49 and I'll wait to see where things settle.

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.

Hedging without 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.

Edit: So I posted this before the markets opened. I see right now SPY is -0.55% while SDS is +1.18%.
Working as intended.

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.

SPY JUL 160 Mini Put options

I went ahead and got 6 SPY JUL 160 Mini Put options for the active trading account. That will give me less then 2% of the Active account so if these have to expire worthless it won't hurt that much. Yet it will still give me some protection to the downside.

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 106 update, Hedging

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.

Active Account: $7,764.73
Total Return: -2.94%
Est Monthly Income: $18.57

Trading: $3,269.71
Total Return: -11.40%
Stock
SWY: -5.93%
Cash: $2,906.53

Investing: $4,398.00
Total Return: 4.77%
Stock
     AFL: +5.17%
     HAS: +20.87%
     SPLS: +24.98%
     STX: +41.43%
BDC
     PSEC: -6.90%
     TCPC: +1.27%
Energy
     WHZ: -21.40%
REITs
     ARCP: +7.56%
     OHI: +23.42%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -4.68%
     JNK: -1.46%
     PCY: -7.43%
Cash: $1,128.29

ETF Account: $7,958.63
Total Return: -0.52%
Est Monthly Income: $14.15
US Stock
     SPY: +10.05%
     XLV: +14.13%
     VNQ: +3.91%
International Stock
     EWZ: -10.50%
     PXR: -12.40%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -4.61%
     JNK: -1.81%
     PCY: -7.31%
Cash
     Cash: $3,599.84

Permanent Portfolio: $7,865.07
Total Return: -1.69%
Est Monthly Withdraw Rate (4% rule): $23.86
Listed by weighting
     SPY: 24.91%
     GLD: 20.43%
     TLT: 23.29%
     Cash: 31.37%

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.

Stock Screening Part 4

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.

Happy to see Blogger fixed and that I can post videos directly again.
Also happy to see that there was a lot of different types of companies looked at in Fastgraphs to show you guys all the different ways I use it.


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 105 update

No video this week but I do have some thoughts....

Hedging has been on my mind recently. Quite heavily actually. I will need to work not only on my sizing but the timing. I hedged once already and lost a good deal of money. That alone tells me the sizing was wrong either for the position or for the account.  But if you go too far out of the money with your options and you get a reasonable move... you aren't going to be making the money needed to cover some of the losses with your account unless its a massive move. How often do those happen? I could easily loss lots of little hedges and have the same net result as one big failed hedge.

Hedging is my focus right now for my own personal education. Sooner or later a pullback will occur and I better be ready for it. I'll still be continuing my dividend screening process with a couple more videos. Hopefully some of you are finding utility in that.


Active Account: $7,837.25
Total Return: -1.42%
Est Monthly Income: $18.57

Trading: $3,370.13
Total Return: -11.31%
Cash: $2,906.53

Investing: $4,467.12
Total Return: 7.64%
Stock
     AFL: +3.78%
     HAS: +28.15%
     SPLS: +24.4%
     STX: +40.68%
BDC
     PSEC: -3.14%
     TCPC: +1.08%
Energy
     WHZ: -20.74%
REITs
     ARCP: +16.81%
     OHI: +29.63%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -2.57%
     JNK: 0.17%
     PCY: -4.45%
Cash: $1,118.00

ETF Account: $8,043.89
Total Return: 1.18%
Est Monthly Income: $14.15
US Stock
     SPY: +11.46%
     XLV: +16.45%
     VNQ: +9.60%
International Stock
     EWZ: -3.98%
     PXR: -10.18%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -2.50%
     JNK: 0.19%
     PCY: -4.33%
Cash
     Cash: $3,549.84

Permanent Portfolio: $7,825.19
Total Return: -1.57%
Est Monthly Withdraw Rate (4% rule): $23.74
Listed by weighting
     SPY: 25.35%
     GLD: 20.51%
     TLT: 23.88%
     Cash: 30.25%


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.

Stock Screening Part 3

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.

Now we are getting down to some narrowing in on stock selection.




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.

Screening for Dividend stocks part 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.

How many of you are having audio problems with this? I know my voice is softer then most but turning up the volume should fix that. Some are commenting that they cannot hear.

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 104, possibly the most important video I have made.

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.

Active Account: $7,874.57
Total Return: -0.32%
Est Monthly Income: $18.57

Trading: $3,409.53
Total Return: -10.28%
Cash: $2,906.53

Investing: $4,465.04
Total Return: 8.90%
Stock
     AFL: +4.32%
     HAS: +30.19%
     SPLS: +20.82%
     STX: +36.15%
BDC
     PSEC: -1.70%
     TCPC: -0.44%
Energy
     WHZ: -19.17%
REITs
     ARCP: +25.78%
     OHI: +40.56%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -1.83%
     JNK: 0.92%
     PCY: -2.6%
Cash: $1,065.58

ETF Account: $8,061.71
Total Return: 2.05%
Est Monthly Income: $14.15
US Stock
     SPY: +12.57%
     XLV: +16.41%
     VNQ: +13.86%
International Stock
     EWZ: -4.19%
     PXR: -8.03%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -1.76%
     JNK: 0.56%
     PCY: -2.47%
Cash
     Cash: $3,499.84

Permanent Portfolio: $7,766.75
Total Return: -1.69%
Est Monthly Withdraw Rate (4% rule): $23.57
Listed by weighting
     SPY: 25.80%
     GLD: 20.25%
     TLT: 24.12%
     Cash: 28.34%



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.

Screening for possible dividend companies

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.

Let's hit the ground running with those videos I mentioned yesterday.

With tens of thousands of U.S. publicly traded companies, we need a way to weed out the losers and focus our time in on the winners. Not only do I have limited time, I have limited money and can't be wasting it on garbage companies.


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 103 and a trade!

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.

Active Account: $7,768.48
Total Return: -1.04%
Est Monthly Income: $18.57

Trading: $3,399.53
Total Return: -10.54%
Stock
     SWY: +0.78%
Cash: $2,906.53

Investing: $4,368.95
Total Return: 7.88%
Stock
     AFL: 1.68%
     HAS: +28.97%
     SPLS: +18.07%
     STX: +32.21%
BDC
     PSEC: -2.78%
     TCPC: -1.01%
Energy
     WHZ: -13.68%
REITs
     ARCP: +23.87%
     OHI: +33.82%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -1.71%
     JNK: 0.83%
     PCY: -1.70%
Cash: $1,006.83

ETF Account: $7,992.45
Total Return: 1.81%
Est Monthly Income: $14.15
US Stock
     SPY: +10.25%
     XLV: +15.17%
     VNQ: +12.29%
International Stock
     EWZ: -3.71%
     PXR: -6.58%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: -1.64%
     JNK: 0.46%
     PCY: -1.57%
Cash
     Cash: $3,449.84

Permanent Portfolio: $7,768.07
Total Return: -1.04%
Est Monthly Withdraw Rate (4% rule): $23.57
Listed by weighting
     SPY: 25.26%
     GLD: 21.38%
     TLT: 24.27%
     Cash: 29.08%


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 102 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.

Active Account: $7,700.95
Total Return: -1.27%
Est Monthly Income: $18.57

Trading: $3,395.73
Total Return: -10.64%
Cash: $3,395.73

Investing: $4,305.22
Total Return: 7.63%
Stock
     AFL: 4.55%
     HAS: +28.32%
     SPLS: +12.57%
     STX: +35.36%
BDC
     PSEC: -0.99%
     TCPC: -1.39%
Energy
     WHZ: -15.13%
REITs
     ARCP: +18.36%
     OHI: +30.73%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: 0.46%
     JNK: 1.36%
     PCY: -0.26%
Cash: $954.65

ETF Account: $7,935.08
Total Return: 1.73%
Est Monthly Income: $14.15
US Stock
     SPY: +8.76%
     XLV: +13.02%
     VNQ: +10.84%
International Stock
     EWZ: -3.57%
     PXR: -7.06%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: 0.54%
     JNK: 0.99%
     PCY: -1.13%
Cash
     Cash: $3,394.53

Permanent Portfolio: $7,780.24
Total Return: -0.25%
Est Monthly Withdraw Rate (4% rule): $23.61
Listed by weighting
     SPY: 24.88%
     GLD: 21.92%
     TLT: 24.86%
     Cash: 28.34%


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 101

No video for this week's update. Things have been pretty hectic and fast pace. Spring is setting in and I have lots of people moving and doing spring cleaning needing my help.  It does make me pause and think of how great it will be when I do go professional with my investing and trading. I'll have a lot more time to balance between different areas of life.

For now though I must focus on my portfolio.  The Active Account is making its way out of the hole I dug it with the SPY hedge and NOK trade. HAS and OHI are going nuts.

GLDI continues to mirror GLD. The only time I think it will not do so is when gold is rising sharply. Where the covered call options get called away and the profit isn't enough to buy the shares back. Its yielding 7% which is good for most investments right now, great for gold itself. I'll wait at least one more month to see what it yields.



Active Account: $7,550.65
Total Return: -2.57%
Est Monthly Income: $18.57

Trading: $3,395.73
Total Return: -10.64%
Cash: $3,395.73

Investing: $4,154.92
Total Return: 5.19%
Stock
     AFL: -0.47%
     HAS: +28.45%
     SPLS: +6.74%
     STX: +19.5%
BDC
     PSEC: -2.78%
     TCPC: -0.89%
Energy
     WHZ: -16.34%
REITs
     ARCP: +15.68%
     OHI: +22.39%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: 1.61%
     JNK: 0.83%
     PCY: -1.35%
Cash: $903.83

ETF Account: $7,832.75
Total Return: 1.07%
Est Monthly Income: $14.15
US Stock
     SPY: +6.69
     XLV: +12.64%
     VNQ: +8.36$
International Stock
     EWZ: -5.51%
     PXR: -8.5%
Gold
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: 1.68%
     JNK: 0.46%
     PCY: -1.22%
Cash
     Cash: $3,342.48

Permanent Portfolio: $7,719.84
Total Return: -0.39%
Est Monthly Withdraw Rate (4% rule): $23.43
Listed by weighting
     SPY: 24.6%
     GLD: 21.9%
     TLT: 25.58%
     Cash: 27.92%



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 100 update. Wow

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.

Active Account: $7,442.05
Total Return: -3.35%
Est Monthly Income: $18.57

Trading: $3,395.73
Total Return: -10.64%
Cash: $3,395.73

Investing: $4,046.32
Total Return: 3.75%
Stock
     AFL: -6.72%
     HAS: +22.34%
     SPLS: +7.74%
     STX: +13.07%
     PSEC: -4.48%
     TCPC: -2.53%
Energy
     WHZ: -19.71%
REITs
     ARCP: +17.44%
     OHI: +24.98%
Gold
     IAU: Sold. Looking to not get blown up
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: 1.11%
     JNK: -0.17%
     PCY: -1.89%
Cash: $798.89

ETF Account: $7,750.31
Total Return: 0.65%
Est Monthly Income: $14.15
US Stock
     SPY: +4.82%
     XLV: +12.85%
     VNQ: +8.39%
International Stock
     EWZ: -6.40%
     PXR: -9.34%
Gold
     IAU: Sold. Looking to not get blown up
     GLDI: Waiting for better view on dividend rate
Bonds
     BLV: 1.19%
     JNK: -0.53%
     PCY: -1.76%
Cash
     Cash: $3,292.48

Permanent Portfolio: $7,560.96
Total Return: -1.81%
Est Monthly Withdraw Rate (4% rule): $22.95
Listed by weighting
     SPY: 24.68%
     GLD: 21.5%
     TLT: 25.98%
     Cash: 27.84%


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 99 update. Gold and Silver

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.

That drop in gold makes NOK and WHZ look a little better.

Active Account: $7,379.00
Total Return: -3.54%
Est Monthly Income: $18.57

Trading: $3,411.59
Total Return: -10.22%
Stock
     NOK: -19.57%
Cash: $3,208.46

Investing: $3,967.41
Total Return: 3.04%
Stock
     AFL: -7.52%
     HAS: +19.02%
     SPLS: +10.07%
     STX: +14.25%
     PSEC: -4.57%
     TCPC: -3.86%
Energy
     WHZ: -17.90%
REITs
     ARCP: +14.05%
     OHI: +19.57%
Gold
     IAU: Sold. Looking to not get blown up
Bonds
     BLV: 1.06%
     JNK: -0.44%
     PCY: -1.63%
Cash: $798.89

ETF Account: $7,671.92
Total Return: 0.29%
Est Monthly Income: $14.15
US Stock
     SPY: +4.61%
     XLV: +11.57%
     VNQ: +6.29%
International Stock
     EWZ: -6.91%
     PXR: -10.88%
Gold
     IAU: Sold. Looking to not get blown up
Bonds
     BLV: 1.14%
     JNK: -0.80%
     PCY: -1.51%
Cash
     Cash: $3,242.48

Permanent Portfolio: $7,651.77
Total Return: 0.68%
Est Monthly Withdraw Rate (4% rule): $23.22
Listed by weighting
     SPY: 24.50%
     GLD: 23.86%
     TLT: 25.49%
     Cash: 26.15%


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.

Still want nothing gold has to offer

Back in February I sold off the gold positions I had in the Active account and the ETF account. At that time I said I wanted nothing gold has to offer. It looked to me like institutional selling.

Since then we have had lower lows and lower highs. At best it goes sideways. The "buy gold at any price" theme was based on the Fed's QE. "Print print print we are going to hyperinflation".
Ok so where is it? If high debt is the only factor of hyper inflation then where is Japan's hyperinflation? That should have set in a decade ago.

I was busy all weekend but will get a weekly review video up tonight or tomorrow morning.
If today isn't enough evidence for a balanced portfolio approach and to ignore the "Buy X asset at any cost it will always go up" then I don't know what is.

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.

Enjoy your winners

A portfolio of multiple investments will have some winners and some losers. The ones that do poorly like, ERF and WHZ, we have to deal with and manage. Evaluate if any changes are to be made and if we decide to sell we sell and take our lumps.

The other side though is our winners. Our investments that do well and will make enough profit to make up for our losses. Right now for me that is OHI, HAS, and ARCP. If you look at their charts..... beautiful. I'm enjoying their rise but just like having to manage our losers we have to manage our winners. Make sure we don't give up their gains and they turn into losers. For capital gains investing I would look to lighten up on take some profits. Since these are dividend investments where the goal is income I'll keep them. If they continue to climb... well there is a point where I'd sell and move on to the next dividend play.



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 98 and research

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.

Active Account: $7,326.5
Total Return: -3.60%
Est Monthly Income: $18.57

Trading: $3,409.15
Total Return: -10.29%
Stock
     NOK: -20.53%
Cash: $3,208.46

Investing: $3,917.35
Total Return: 3.09%
Stock
     AFL: -6.33%
     HAS: +17.53%
     SPLS: +11.24%
     STX: +18.12%
     PSEC: -2.42%
     TCPC: -2.59%
Energy
     WHZ: -18.63%
REITs
     ARCP: +6.21%
     OHI: +21.9%
Gold
     IAU: Sold. Looking into GLDI as replacement
Bonds
     BLV: 0.46%
     JNK: -0.61%
     PCY: -1.57%
Cash: $746.29

ETF Account: $7,636.21
Total Return: 0.48%
Est Monthly Income: $14.15
US Stock
     SPY: +5.31%
     XLV: +10.05%
     VNQ: +6.96%
International Stock
     EWZ: -4.87%
     PXR: -8.78%
Gold
     IAU: Sold. Looking into GLDI as replacement
Bonds
     BLV: 0.54%
     JNK: -0.97%
     PCY: -1.44%
Cash
     Cash: $3,189.36

Permanent Portfolio: $7,651.77
Total Return: 0.68%
Est Monthly Withdraw Rate (4% rule): $23.22
Listed by weighting
     SPY: 24.50%
     GLD: 23.86%
     TLT: 25.49%
     Cash: 26.15%


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 97 and Rebalancing

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.

The numbers below are from Sunday so they will be off from what the spreadsheets show today.


Active Account: $7,283.43
Total Return: -3.53%
Est Monthly Income: $16.35

Trading: $3,408.54
Total Return: -10.30%
Stock
     NOK: -20.77%
Cash: $3,208.46

Investing: $3,874.89
Total Return: 3.31%
Stock
     AFL: -1.76%
     HAS: +19.40%
     SPLS: +11.74%
     STX: +20.03%
     PSEC: -2.24%
Energy
     WHZ: -12.48%
REITs
     ARCP: +3.6%
     OHI: +15.61%
Gold
     IAU: Sold. Looking into GLDI as replacement
Bonds
     BLV: -1.85%
     JNK: -0.17%
     PCY: -4.58%
Cash: $946.7

ETF Account: $7,534.85
Total Return: -0.20%
Est Monthly Income: $14.15
US Stock
     SPY: +5.54%
     XLV: +8.94%
     VNQ: +3.58%
International Stock
     EWZ: -4.15%
     PXR: -6.83%
Gold
     IAU: Sold. Looking into GLDI as replacement
Bonds
     BLV: -1.78%
     JNK: -0.53%
     PCY: -4.46%
Cash
     Cash: $3,135.85

Permanent Portfolio: $7,567.41
Total Return: 0.23%
Est Monthly Withdraw Rate (4% rule): $22.97
Listed by weighting
     SPY: 24.82%
     GLD: 24.49%
     TLT: 24.9%
     Cash: 25.78%


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.

Is Warren Buffett wrong about dividends?

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 96 and Predicting

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.

Active Account: $7,208.35
Total Return: -3.89%
Est Monthly Income: $16.35

Trading: $3,411.59
Total Return: -10.22%
Stock
     NOK: -19.57%
Cash: $3,208.46

Investing: $3,796.76
Total Return: 2.62%
Stock
     AFL: -2.08%
     HAS: +19.13%
     SPLS: +12.66%
     STX: +13.99%
     PSEC: +0.09%
Energy
     WHZ: -12.66%
REITs
     ARCP: +2.40%
     OHI: +10.47%
Gold
     IAU: Sold. Looking into GLDI as replacement
Bonds
     BLV: -2.30%
     JNK: -0.34%
     PCY: -4.71%
Cash: $896.7

ETF Account: $7,446.96
Total Return: -0.71%
Est Monthly Income: $14.15
US Stock
     SPY: +4.90%
     XLV: +6.50%
     VNQ: +2.14%
International Stock
     EWZ: -5.52%
     PXR: -6.90%
Gold
     IAU: Sold. Looking into GLDI as replacement
Bonds
     BLV: -2.23%
     JNK: -0.70%
     PCY: -4.59%
Cash
     Cash: $3,080.20

Permanent Portfolio: $7,511.66
Total Return: 0.16%
Est Monthly Withdraw Rate (4% rule): $22.79
Listed by weighting
     SPY: 24.86%
     GLD: 22.78%
     TLT: 23.43%
     Cash: 28.93%


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.

...but I'm a good income investor

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 hardly see anyone on Youtube talking about income investing or the importance of it to a portfolio. In the blogosphere on the other hand there are a several. Most of them though only talk about their stock picking and how their portfolio is doing, which is fine, but I think they come up short in the utility they can share with others about process. Its fine that you picked company X but WHY did you pick them and why did you buy them NOW. Some people just want to talk their book, their portfolio, and that's fine but then I don't get the emotional payoff in my time being spent with them.

When it comes down to it, I don't want to be part of the problem, I want to be part of the solution.

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.

I suck at trading

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.

On top of everything else I mentioned, I'm coming down with a cold.


Active Account: $7,153.64
Total Return: -3.98%
Est Monthly Income: $16.35

Trading: $3,417.69
Total Return: -10.06%
Stock
     NOK: -17.15%
Cash: $3,208.46

Investing: $3,634.7
Total Return: 2.35%
Stock
     AFL: -3.53%
     HAS: +15.16%
     SPLS: +11.57%
     STX: +16.05%
     PSEC: +1.25%
Energy
     WHZ: -9.22%
REITs
     ARCP: -0.49%
     OHI: +9.56%
Gold
     IAU: Sold. Waiting for price action to level off.
Bonds
     BLV: -3.07%
     JNK: -0.19%
     PCY: -4.26%
Cash: $846.7

ETF Account: $7,425.81
Total Return: -0.32%
Est Monthly Income: $14.15
US Stock
     SPY: +5.09%
     XLV: +6.05%
     VNQ: +3.45%
International Stock
     EWZ: -1.97%
     PXR: -5.2%
Gold
     IAU: Sold. Waiting for price action to level off.
Bonds
     BLV: -3.00%
     JNK: -0.56%
     PCY: -4.14%
Cash
     Cash: $3,03.20

Permanent Portfolio: $7,423.79
Total Return: -0.35%
Est Monthly Withdraw Rate (4% rule): $22.53
Listed by weighting
     SPY: 25.20%
     GLD: 22.81%
     TLT: 23.39%
     Cash: 28.60%


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.

Company evaluation spreadsheet.

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 mention in the video, I have been playing around with a scoring system for quite awhile.

There is one common way to evaluate the strength of a company that I left out, debt. Lots of different ways to do it but I have it rolled under payout ratio. Some companies can have lots of dead and provide an enormous amount of free cash flow to let them pay a dividend and manage their debt payments, they will have a low to mid ranged payout ratios. Other companies and sectors can afford very little debt as the do not provide much margin on their products and any dividend would cut into their profits quickly. This would give a high payout ratio.

I prefer to color code it with reds and greens and have it automatically change with conditional formatting. Lots of numbers going on in this page and each column has a different meaning of what is good or bad for it. Very quickly your eyes jump to the clusters of green and what we should be focusing in on.

I like complex but automated while you may like something quick and easy. You should do what you'll stick with and what works for you. It won't do any good if you try something you hate and give up on it.

I'll add this spreadsheet to the Active account page.
Here is a copy of the spreadsheet.


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 94 - When you are wrong move on and deal with it

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.

Active Account: $7,067.64
Total Return: -4.49%
Est Monthly Income: $16.31

Trading: $3,432.94
Total Return: -9.66%
Stock
     NOK: -11.11%
Cash: $3,158.46

Investing: $3,634.7
Total Return: 0.96%
Stock
     AFL: -5.31%
     HAS: +13.23%
     SPLS: +7.91%
     STX: +6.70%
     PSEC: +0%
Energy
     WHZ: -11.51%
REITs
     ARCP: +1.48
     OHI: +7.31%
Gold
     IAU: Sold. Waiting for price action to level off.
Bonds
     BLV: -3.33%
     JNK: -0.70%
     PCY: -3.43%
Cash: $796.7

ETF Account: $7,394.62
Total Return: -0.07%
Est Monthly Income: $14.15
US Stock
     SPY: +4.79%
     XLV: +5.6%
     VNQ: +2.76%
International Stock
     EWZ: 1.43%
     PXR: -1.4%
Gold
     IAU: Sold. Waiting for price action to level off.
Bonds
     BLV: -3.26%
     JNK: -1.06%
     PCY: -3.30%
Cash
     Cash: $2,980.20

Permanent Portfolio: $7,339.80
Total Return: -0.81%
Est Monthly Withdraw Rate (4% rule): $22.28
Listed by weighting
     SPY: 25.41%
     GLD: 22.89%
     TLT: 23.45%
     Cash: 28.25%


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.

Book Review: The Snowball

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.

Selling my TCAP today

Just a quick update on a former investment. I am selling TCAP today. Its had a great run with it getting a 60% gain for the old Model Portfolio. But earnings is this week and I don't know if they will meet expectations. That's a lot of money on the table....

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 93 hedging with 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.

Active Account: $7,124.51
Total Return: -3.07%
Est Monthly Income: $12.41

Trading: $3,502.45
Total Return: -6.60%
Stock
     NOK: -13.29%
Options
     SPY 152 May PUT: -29.17%
Cash: $2,884.46

Investing: $3,622.06
Total Return: -3.07%
Stock
     AFL: -5.21%
     HAS: +8.99%
     SPLS: +8.16%
     STX: +6.11%
     PSEC: To be purchased soon
Energy
     WHZ: -11.27%
Gold
     IAU: Sold. Waiting for price action to level off.
Bonds
     BLV: -1.09%
     JNK: -0.85%
     PCY: -3.2%
Cash: $1,294.95

ETF Account: $7,303.64
Total Return: -0.63%
Est Monthly Income: $14.15
US Stock
     SPY: +2.55%
     XLV: +3.79%
     VNQ: +1.81%
International Stock
     EWZ: -2.89%
     PXR: -2.92%
Gold
     IAU: Sold. Waiting for price action to level off.
Bonds
     BLV: -1.02%
     JNK: -1.21%
     PCY: -3.08%
Cash
     Cash: $2,924.96

Permanent Portfolio: $7,305.51
Total Return: -0.61%
Est Monthly Withdraw Rate (4% rule): $22.17
Listed by weighting
     SPY: 24.99%
     GLD: 22.95%
     TLT: 24.41%
     Cash: 27.65%

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.

Problems with 100% gold investment

Some of you here on the blog may not delve into the Youtube universe. Its as I describe though... nasty at times and emotional. Its why I put a big focus on controlling emotion and psychology.

Gold is an asset class. It has strengths and weaknesses, reasons to own and reasons not to own. I have held it for the Effort Portfolio and will do so again in the future. But its not a magical end-all be-all for your economic woes.

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 92 update. Gold and PSEC

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.

Ok I admit in this video I am talking too softly.

PSEC is going to make a big impact on the Active Accounts monthly income. The question is WHEN do I buy it. I might be able to wait and get a 10% better price looking at the 2012 low. I also have that SPY Put and my thought is we are getting a market pullback.

However, when a company is undervalued is the market going to pull it down? PSEC is already paying a 12% yield, one of if not the highest currently for BDCs. Oh and then there is the fact that their 2012 NII is +50% more then 2011 yet share price has risen only 20%.

The question comes down to... is PSEC something I want to nitpick and risk 10% gain in shareprice and possibly miss out on?



Investing and Trading Account: $7,080.41
Total Return: -3.01%
Est Monthly Income: $12.41

Trading: $3,419.85
Total Return: -6.27%
Stock
     NOK: -8.7%
Options
     SPY 152 May PUT: -30.37%
Cash: $2,834.46

Investing: $3,622.64
Total Return: 0.34%
Stock
     AFL: -5.44%
     HAS: +11.77%
     SPLS: +10.49%
     STX: +4.53%
     PSEC: To be purchased this week
Energy
     WHZ: -11.75%
Gold
     IAU: Sold. Waiting for price action to level off.
Bonds
     BLV: -2.08%
     JNK: -0.85%
     PCY: -3.40%
Cash: $1,282.52

ETF Account: $7,238.15
Total Return: -0.85%
Est Monthly Income: $14.15
US Stock
     SPY: +2.40%
     XLV: +2.87%
     VNQ: +2.09%
International Stock
     EWZ: -3.55%
     PXR: -4.00%
Gold
     IAU: Sold. Waiting for price action to level off.
Bonds
     BLV: -2.00%
     JNK: -1.21%
     PCY: -3.27%
Cash
     Cash: $2,874.96

Permanent Portfolio: $7230.45
Total Return: -0.95%
Est Monthly Withdraw Rate (4% rule): $21.95
Listed by weighting
     SPY: 25.21%
     GLD: 23.27%
     TLT: 24.28%
     Cash: 27.24%



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.

Sold rest of IAU

I want no part of what gold has to offer right now. That is a lot of volume today. That tells me its institutional / hedge fund money getting out of gold. I'll wait for the dust to settle before determine if and when I get back in.

Sold the rest @ $15.35.


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 91 update

So I made my weekly update video yesterday, posted it, perhaps some of you even received an email that it was put up. Then I removed it after I did some fact checking. Too many things in there were wrong but I wanted to get the numbers up anyways.

Some of you keep an eye on the spreadsheets and might have noticed my gold position were sold off or halved yesterday.  Its my view that the gold story is just about over and for a number of reasons...

1: Every year for about 10-11 years it has made a new yearly high, except for 2012.

2: GLD has grown immensely in market share. Only so many people can come into a financial vehicle for so long before everyone who will be in it are in and the first people in want to start taking profit. This profit taking probably has gone on since 2011 while the last money, "dumb money" comes in. By dumb money I mean the people buying in with 100% of their portfolio trying for it all. Those taking small positions, re-balancing, or using gold for a strategy may have other reasons.

3: Technical analysis: Looking at a multiyear timeframe gold has been rising in a nice channel. That has now broken to the downside. Also, price has followed its 200 day SMA (simple moving average). That is until the past couple weeks until its broken to the downside.

I had wanted to see if Tuesday would bring a slight rise to make up for last Friday but it never came so I lightened my positions...
For Permanent Portfolio: No change. It self corrects price drops through rebalancing. That's the beauty of PP.
For the ETF account: I am selling half the position going from 10% down to 5%.
For the Active account: I sold all of the gold position. With only $350 I cannot be selling in steps. Commissions will kill the account. I'm content with exiting it all because the number 1 thing we have to do, protect our money so we survive to trade another day.

Investing and Trading Account: $7,041.22
Total Return: -2.86%
Est Monthly Income: $12.41 / month

Trading: $3,419.85
Total Return: -6.31%
Stock
     NOK: -3.62%
Options
     SPY 152 May PUT: -30.37%
Cash: $2,784.46

Investing: $3,622.64
Total Return: 0.63%
Stock
     AFL: -6.82%
     HAS: +10.14%
     SPLS: +7.83%
     STX: +13.07%
Energy
     WHZ: -9.34%
Gold
     IAU: Sold
Bonds
     BLV: -2.57%
     JNK: -1.26%
     PCY: -2.98%
Cash: $1,282.52

ETF Account: $7,210.28
Total Return: -0.61%
Est Monthly Income: $14.15
US Stock
     SPY:  +2.59%
     XLV: +2.92%
     VNQ: +1.69%
International Stock
     EWZ: -1.18%
     PXR: -1.06%
Gold
     IAU: -4.51%
Bonds
     BLV: -2.50%
     JNK: -1.62%
     PCY: -2.86%
Cash
     Cash: $2,471.91

Permanent Portfolio: $7,206.10
Total Return: -0.61%
Est Monthly Withdraw Rate (4% rule): $21.88
Listed by weighting
     SPY: 25.34%
     GLD: 23.78%
     TLT: 24.24%
     Cash: 26.64%


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.