Tag Archives: GOOG

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%

GOOGLE has reached over $1000 per share!

18 Oct

Lately, I’ve been a little put off with blogging. Mostly due to the fact that I don’t get any recognition from other PF bloggers around the web plus the first couple weeks of October, my stocks took an overall beating in the markets.  Anyways, did ya all miss me?  Hello, anyone out there?  Am I just writing to myself?  LOL.

You can say I’m a stock rogue.  How many other Dividend Stock Bloggers out there own Google?  I haven’t seen Google in any of their portfolio except for my good pal: Freedom35.  Google doesn’t pay out a dividend, so “Dividend Bloggers” avoid it like a plague.  But Google is a good value play and still growing everyday.  For me, I am looking for share appreciation.  You know what?  I made a pretty penny out of it.

So how come I’m not on this SAVEINVESTGIVE blog’s list of portfolios?  It’s a great list of other blogger’s portfolio, I like to see what other people are investing in.  But I haven’t seen a single Google share held by any of them.  Go figure?  *Update:  I did make it on after all!*

My stock weightings are all over the place.  I invest heavily in a few selected stocks to just gobbling up one share in PRICELINE.  I don’t really diversify… it might catch up to me one day, but right now, I am doing fine.  I buy what I like when I like.  I don’t conform.  You need to realize that you’re the only one in charge of your own portfolio.  Listening to others will just be following the pack… not really breaking away and making it big.

Enough bitching for the day, I’m done.

Diversification

7 May

Diversification is great and all, if you want to climb your way up slow and steady. For me, I invest in bigger chunks depending on my risk tolerance to that one particular stock. I’m not saying this strategy is for everyone but I have invested in a few stocks that have certainly leap further than the rest of the stocks.

Currently, Bank of Montreal (BMO.TO) and Chemtrade Logistics (CHE.UN.TO) are two of my largest holdings in my portfolio. My main objective was create a steady stream of income from these two stocks. To date, I have collected in dividends of $1066 from BMO and in distribution of $2602 from CHE.UN. The uncapitlized return of my stocks is 8.78% ($4221.77 of $48059.23).

Google (GOOG) is my third biggest holding. I orignally bought 50 shares of GOOG, half of the shares were on MARGIN. My main objective was price appreciation. Shortly after I bought into GOOG, share prices went below my buy in price. I was in the red for a couple of months. This wasn’t a good feeling, but I stayed true to my objective. When GOOG finally climbed out of its depressed share prices, I sold half of my holdings that were on MARGIN for mere $100 gain. To date, my uncaptilized return of GOOG is 39.91% ($6,115.30 of $15321.95).

Ok, I bought these three stocks roughly around the same time in Spring/Summer of 2012.

What if I wanted to diversify and buy a whole bunch of stocks in equal parts?
Let’s I have $65,000 to invest, I want to buy 10 stocks in equal parts.

1) BMO and CHE.UN uncaptialized return would be 8.78% ($1141.40 of $13000.00).
2) GOOG uncapitalized return would be 39.91% ($2594.15 of $6500.00)
3) Seven miscellaneous stocks can go either way up or down… averaging let’s say 5% ($2275.00 of $45500.00)

My cost of trading would be 7x more. I would have to find seven other stocks to fill out my portfolio. Maybe, some of the stocks I don’t really want to put in my portfolio, but I am forced to because I wanted to be diversified.

Let’s compare the two strategy in uncapitalized return:
3 stocks vs 10 stocks
$10,337.07 vs $6,010.55

So is diversification better in this scenario  Or is it wiser to pick the RIGHT stock accordingly to your risk tolerance?

In hindsight, if I were to pour everything into GOOG, I would be in a better scenario don’t you think?  But with everything, what are you willing to risk?

Year 2012, a ton of regrets.

4 Mar

A series of mumbling that won’t really make sense to most of you, but I need to put this out there to get this off my chest.  

2012 was a very bad trading year for me.  I got impatient, I got greedy, I got anxious.  I sold out GOOD stocks for NOTHING.  All I can do now is recoup and start over again.

First mistake, I sold out IPL.UN, MA, SBUX in May 2012, when stocks faltered a bit after reaching its record high.  I kept loser stocks like Cliff Resources for no good reason, now I am stuck with a 50% loss that is bringing my portfolio down overall.

Second mistake, in summer of 2012, I was holding RCI.B 200 shares @ $36.85 and SJR.B 500 shares @ $19.68, eventually I sold them out for a loss to buy penny stocks that lead to a greater loss of $8,000.  Yes, I got greedy and it cost me dearly.  Today, RCI.B is at $49.38 and SJR.B is at $24.61 respectively. 

Third mistake, I sold half of my GOOG shares for $620.  When I first bought into the stock at $612.68/share, all it did was head below my buy in price.  I thought to myself, is this another APPL mistake?  When things started to turn upwards, I reduced my shares as half of it was on Margin.  If I had kept my orginal shares, I would be $5000 in the green.

One of my biggest regret is not selling Great Quest Metal at its peak.  I could have made a cool ten grand, instead I kept it and price went down and down till I sold out for a measly $1,250. 

Always be aware of your stock, in which direction it goes.  It may treated you well in the past but it can turn on you in an instant.  

Moral of the story, pick good stocks and hold on to them instead of following the next hot thing.  I don’t do much research myself on picking stocks.  I just go with my gut instincts.  I have held and sold out many stocks (Agrium, Great Quest, Mastercard, Starbucks, Visa) that went on to gain multiple times.  Maybe, it’s time for me to step back a bit and just stick with what I have instead of chasing a stock for quick profits.

My mind is wondering…

19 Oct

Towards my stock portfolio again.  Just a couple of days ago, my Google and other stocks were making a stride into the greener pastures.  I was giddy and giggles.  Suddenly, Google announced a 15% decrease in earnings just ruined EVERYTHING.  My 20% plus gain in Google shrunk in a span of a few hours in the morning.  I wasn’t even paying attention till a fellow blogger, Freedom Thirty Five, pointed out Google’s sudden 10% drop.

Tonight, I’ve been just staring at my portfolio.  Mulling…Where have I gone wrong for 2012?  My greediness and impatience have led me to my own demise.  Undisciplined in my own core values. Giving up and selling good stocks when I should have kept them.  Holding over appreciated stocks and not capitalizing on the gains.  Listening to bad advice about a couple of penny stocks that have cost me $8,000 in capital losses.  Not participating when the markets were down after May 2012.  Perking up only recently to get my arse whoop again by unforgiving markets.

My impatience is screaming at me to sell whatever gain you have left of Google which is about $1700.  Should I sell or just keep it?  I really don’t want to hold this when it comes down below my buy in price.  Ok, I think I will only sell if my gains will dip below $1500.  That’s my tolerance.

I held many good stocks and sold out.  Could this be just one of the many that I let go?

Updates on Portfolio and Trades

1 Jun

Hey Folks,

Check out my updated posts in my Portfolio and Trades section.  I am not proud of myself in this month’s trading.  A ton of mistakes, risking too much money on margin… not that I ever got a margin call.  Impatience has certainly gotten the best of me again.  Just when I had enough and sell out of my holdings, the market springs back up… without hesitation, I ended up buying Google at $612.68 per share.  Only to watch it go down and down, while others were climbing and holding up at least.  I know Google is a reputable company, so this time, I will tough it out.

The month of May has certainly humbled me.  June is a prime example of how unforgiving the market has for retail investors.  All my previous paper gains were wiped out in a matter of a few days.  My one hope is relying heavily on my speculative penny stock which I have doubled my stakes in.  If the deal goes through, I’d redeem myself once again.  I’m young, I can risk it.

To stay on top of the market,  you need to always monitor your stocks.  Locking in your gains is always better than holding a loss.

On a lighter note, I finally made my first purchase on my new Capital One Aspire Cash Mastercard!  A couple of days ago, I went out with a few coworkers for lunch.  I ended up putting the whole tab on my card earning me 67 cents, and don’t forget their anniversary bonus of 0.5% which will come after one year!  With my first purchase, I get $100 cash bonus!  With $100 to burn, I decided to buy Hometown Heros Lottery.  It’s going to a good cause and I might get 1 in 390,000 chance of winning the grand prize.  I’ve bought a few of these charity lotteries before, I have yet to see any prizes come my way…

Apple certainly has gotten the best of me!

21 May

There’s no dwelling on the past moves.  I sold out last week when the endless sea of red was crashing in day after day.  My gains were wiped out by the violent waves that invaded my portfolio.  I just snapped.  I took what little gain I had left and climbed the mountain of cash I had to safety.  Or so, I thought…

Today was a public holiday in Canada, Victoria Day!  I had slept in… forgetting about the US stock market at the bell.  If I had done my ritual 7am check on my stocks, I would have realized that Apple was on a move again.  This time for the recovery.  Today, Apple jumped from $530 to $560.  I had sold out at $535.  I am very disappointed as I wanted to get in on Apple on the lower end of the spectrum of $500ish.

I decided to go a different route this time.  I picked up Google, 50 shares @ $612.68.  Once again, half of the stock is on margin.  I am going to stop my tirade trading ways.  I shall not trade.  I shall concentrate at the longer term gains than the short-term gains.