Archive | November, 2013

Nearing the end of Vacation

25 Nov

Even though, I’ve been away in the rurals of Costa Rica, I’ve had WiFi at every stay.  I would check on how my stocks were doing each weekday morning.  I’m very happy to see that I’m almost at the $150k mark with almost a $30k paper gain.  

Just by holding and not trading, my gains have tripled in the last few months.  This is mostly due to Google’s gain, but other commendable stocks like BMO, Mastercard and Visa has added to the gain. 

Anything can happen. But its nice to see how well stocks are doing these days. If you invested in good stock for the past few years and held them, in general, you should have a gain.

Virtual Brokers gets down to the Penny!

15 Nov

Wow!  Virtual Brokers announced their new Penny commission structure as follows:

“The Penny” Commission Structure

Equities
$ 0.01 per share if share price ≥ $1.00
$ 0.005 per share if $0.25 ≤ share price < $1.00
$ 0.0025 per share if share price< $0.25

The Minimum commission is $0.01 with a cap of $9.99. No ECN/Exchange Fees apply.

This makes me want to trade more!!  Just a few weeks ago, I literally bought one share of Priceline @ $997.00.  My commission was 99 cents.  Way cheaper than other brokerages around, right right?

With this new “Penny” commission structure in place, if I bought one share of Priceline today, my commission would be just a PENNY!  Of course, most people don’t just buy one share of stocks all the time.  But there’s that option.  Your trading cost won’t cut into your profits.

I like Virtual Brokers fee structure as they don’t nickle and dime you with ECN/Exchnage fees unlike Questrade.  And there’s a cap of $9.99 commission.  I think this means that if you buy more than 1000 shares, your commission will still be $9.99 per trade.

Anyhoo, I’m off to Costa Rica for ten days!  BTW, my LIQ stock didn’t make a come back to fund my trip.  Still down 18.33%.  Ouchie, looks like I’ll have to dip into my savings for this trip.

 

Nice comeback Chemtrade Logistics

14 Nov

Making it’s way back up to $17 today after a major sell off past few days.  10 cents per share a month.  Can’t beat that, consistent distributor.  Missed my chance to buy back in at a low cost.

Still holding 300 shares strong in my margin account.  

 

Small Caps vs Big Caps

13 Nov

Is there an advantage between investing in a small cap vs big cap stock?  Small caps have more room to grow than big caps.  Every company has to start off somewhere.  Some will rise, some will fall.  All in all, pick your companies wisely.

All my small caps are Canadian companies that pays monthly income.   All my big caps are American companies.

Note:  All stocks have different amount invested.  Each stock provides different risk factors.  Therefore, I only put down money that I am willing to bet on the stock.

Small Caps
Ticker Market Cap Performance
KEG.UN 182.00M 30.86%
BFP.UN 319.42M 129.10%
LIQ 325.18M -19.75%
CHE.UN 660.94M 8.63%
Average 37.21%
Big Caps
Ticker Market Cap Performance
GOOG 342.86B 67.41%
T 184.22B -5.16%
KO 176.64B 0.76%
V 126.57B 13.99%
Average 19.25%

Making the right move at the right time

12 Nov

Whoa, time has passed by really quickly.  It’s already been more than a month since I sold out Chemtrade Logistics Income Fund (CHE.UN) from my TFSA.  I sold out 1270 shares @ $16.96 with profit of $819.52 and collected $2287.00 in distributions.

Trade History for CHE.UN

3/27/2012:  BOUGHT 850 shares @ $16.58 + ($9.38 Commission) = $14,101.37
7/05/2012:  BOUGHT 420 shares @ $15.71 + ($6.42 Commissions) = $6,604.62
9/27/2013:  SOLD 1270 shares @ $16.96 + (13.69 Commissions) = $21,525.51
Net Profit $819.52 (This is tax free, since I held this stock in my TFSA!)

Commissions at Questrade were $29.49.  This should have been $25.40, but Questrade charges extra SEC fees for the trades which I don’t like!!

Luckily, I made the right move at the right time.  For the past five days, Chemtrade has been trending downwards on news that Chemtrade is in talks to buy General Chemical Corp.  Seems like traders are not liking this news and have been punishing the share prices.

Chemtrade on Nov 12, 2013

Anyways, if I had kept my shares of CHE.UN, I would be at a net paper loss of $433.54.  Ouch!  I still have 300 shares of CHE.UN in my margin account, but I bought it at a cheaper price.  It’s still a hold for me, since they’ve been a steady income producer.  Maybe, I’ll pick up some more shares at a discounted price.  I would have to monitor they progress in the upcoming days.

I replaced CHE.UN for Mastercard and First National Financial in my TFSA.  Both stocks seem to be holding up well on their own thus far.  By making the switch, I am improving the overall health to my TFSA.

Stupid Twitter (TWTR) making the market slump

7 Nov

Today, Twitter made its IPO appearance.  Unbelievable, how people are snapping up shares for $45 to 50.  This is a $20 premium above target price.  Anyways, I’m not a fan of twitter and I’m not certainly going to pay a hefty price for them.  I was going to pick up some shares for around $25 for fun, but not today for sure!  We’ll see how the price will turn out in the upcoming weeks. Those underwriters have the first dips to those shares and making a KILLING.

Anyways, all my American stocks are slumping today.  Most of the attention is on Twitter as people are pulling from other stocks to put money into Twitter??  Yes, they have millions and millions of people using Twitter.  Even I am a registered user.  I hardly see any advertisements on there.  How do they really make money?  Are they even turning a profit at the moment?  To value a techy stock like this at $25 billion is over shooting it.

Don’t buy into the hype.  But hey if you think you can make a profit, then by all means go for it.

I think the prices will go down in the weeks, months to come..  Will it be a similar story like how Facebook IPO’d??  Facebook traded high up, then traded in a downward trend for a good year, before coming back up.  Maybe patience is key to this game.  Wait for an opportune time to jump in and hope that it’ll go up!

Do you spend money everyday?

5 Nov

“Do you spend money everyday,” I asked my friend recently.  The reply was “Yes!”.

“How about myself?”  Well, I certainly do not spend money everyday.  I track my expenses everyday in my spreadsheet.  So I decided to count how many days I spend in a month.  On average, I end up spending money almost everyday as well.  20 days out of the month is a pretty high ratio!  I was surprised by this finding.  Since, I am not a big spender at heart!

Even though, I am spending 20 days out of the month.  My purchases are controlled and small.  I don’t really follow a budget.  If I see something I like or need, I will whip out my credit card to make my purchase.  I lead a simple life.  Most of my major purchases have been made, but there are always things that will pop into the picture which will make a dent in my savings.  I will worry about them later.

Food is my biggest daily expenditure.  Meal planning is an essential to keep costs down.  I try my best to cook in most of the time.  But sometimes, if I’m rushed for time or just plain lazy, I’ll go out to grab a bite.

Here are some tips:

When I do buy lunch/dinner, I try to make it last for another meal if the portion is large enough.

I always order water or tea.  It doesn’t cost you a thing, unless you ask for bottled water.

At Subway, I usually buy their 6″ pizza sub for $4.00.  Not too long ago, I discovered their $5 footlongs.  So now, I buy their $5 footlongs and split them up for two lunches making it $2.50 per lunch!

Tuesdays is a “slow” day of the week.  Most places have a deal to draw you into their eateries.  KFC have their Toonie Tuesdays (more like $2.99 + tax deal) with a chicken thigh and leg plus fries.  Fresh Slice have their $1.25 + tax per slice deal.  Movies at the theaters are usually a few bucks cheaper too!  I’m sure there are other deals on Tuesday around town, but those are the top ones I can think of.

Burger King have their daily King Deals.  $5 + tax combo.  You can even replace their fries for onion rings at no cost.

I am always on the lookout for coupons and deals.  Makes me happy when I get a big bang for my buck!