Was going to provide some commentary on the market action today but I see the Americans are bumping their heads on a 8000 point Dow at the moment so thought it could wait for a bit.
Instead I wanted to throw out a question to our readers around investment strategies.
Basically I have a blend of trading and investment type positions. The investment positions tend to be buy and hold type investments in blue chips and property stocks.
I have some dodgy but potentially interesting small cap positions but the idea of some of the blue chips is to diversify some risk across the portfolio and potentially develop a solid dividend pool behind the trading positions.
The trading positions I guess are self explanatory - pick the positions, if I make a profit then I'll take that off the table and tuck it into some "fire and forget" shares. My current favourites are Reinet and the Foord Compass Debentures (largely for the dividend yield from them).
The others that are always appealing are high yielding preference shares (Standard Bank, African Bank and Grindrod) - why work for the money when others are grafting for you?!
In my case - my investments tend to be a diverse pool of solid companies with long histories - yeah yeah Reinet a pretty new vehicle but long history of management.
However, another guy I know makes his trading profits and then dumps them regularly into Richemont because he likes the fundamentals and the story over the long run.
Other guys I know simply keep putting the profits back onto the table into bigger trades or alternatively going and spoiling themselves (something that might have been considered laughable last year but use-it-or-lose-it seems to be the name of the game these days.)
I guess my question to our readers is - WHAT DO YOU DO WITH THE PROFITS YOU MAKE?
Subscribe to:
Post Comments (Atom)
Posts
No comments:
Post a Comment