I no longer trade stocks in the short term or buy bonds, mutual funds or ETFs. I basically stay away from anything in the investing marketplace that has an ongoing cost of ownership.
I like and prefer dividend growth stocks that pay me to own them. Focus on total return that is Yield + Growth = Total Return. I'm retired so I want and lust after stable and safe income combined with some modest growth of my money.
It has been a brutal 2018 investing year and a lot of what I own has been punished and taken out behind the wood shed and beaten to death.
I visit a lot of investing forums and FB investing groups and the sentiment is dark and the questions so many. Sell everything, go to cash, short the market. What the fuck should I do? Then the constant bickering and arguing.
You see, investors don't know what to do but they enjoy venting to anonymous people on the internet.
I listen to Buffett. Study the work of David Stanley and Mike Henderson. Beat the TSX portfolios or Canadian Essentials stock components and my value guru Tom Connolly. This is my circle of influence and how I now invest.
STOP jumping in and out of stocks and believing in the myth that a balanced and diversified portfolio will save you. I used to think this way too. I have since sold all my bonds, prefs share ETFs and anything indexed to the market. I pay no fees.
Just about every model portfolio you look at out there has dropped in value in 2018.
The Dogs of the TSX Portfolio is down so far 9.5% and Rob Carrick's Low Fee ETF Portfolio is down 4%.
Why pay someone to lose money for you?
Check this out for ideas. You CAN beat the market if you hold through the swoons and storms of the market.
My wife's portfolio is all invested in just these 10 stocks. My RRSP is very similar with some telecomm positions added in. I just believe we all depend on data so Telus, Bell, Rogers and Shaw are pretty much essential to the economy too. Who knows but they have a shared monopoly in the space.
NEVER GAMBLE WITH MONEY YOU HAVE SAVED FOR RETIREMENT!
Looking for Saving Ideas So You Can Invest?
If you are looking at ways to save money this new book The Cashflow Cookbook can help you find some savings to then use to invest.
If you are having trouble getting your financial house in order and organized then you need to read Worry Free Money.
If you are further looking for portfolio ideas then you might find my review of The 6-Pack Portfolio a way for you to get started on your investing journey. All of our retirement money is invested in this manner. We just hold more than 6 positions.
If you want to read more about the theory and methodology of some of Canada's professional investment/portfolio managers then you need to pick up a copy of the book 'Market Masters'. Robin Speziale conducts interviews with top money mangers in Canada using a set of pre-arranged questions. This will give you a real insight into how others invest money and how they think. A must read!
Besides following his blog he has a Capital Compounders Facebook Page well worth joining for learning where to better invest your capital.
Recommended Reading
This is the second edition of Robin Speziale's book 'Capital Compounders'. I have just received a review e-book version that I am currently reading and will have a review posted here and on Amazon in the coming weeks.
Robin invests in growth stocks and is the best selling author of 'Market Masters'
Robin has been saving, investing, and building his portfolio since the age of 18. Now, 10 years later, at the age of 28, he’s amassed a $225,000 stock portfolio. He lives in Toronto.
Robin invests in growth stocks and is the best selling author of 'Market Masters'
Robin has been saving, investing, and building his portfolio since the age of 18. Now, 10 years later, at the age of 28, he’s amassed a $225,000 stock portfolio. He lives in Toronto.
Besides following his blog he has a Capital Compounders Facebook Page well worth joining for learning where to better invest your capital.
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