Your Ad Here

Sunday, May 17, 2009

Buy and Hold is Dead? 401k? Roth Ira? Cool so what we do now?

Hello i cant help but, get mad when I see buy and hold is dead, gone a waste of time. Anyway you get my picture. So what is a 401k then why we need it if buy and hold is dead. Why would they allow roth ira accounts to grow tax free for life. You sure not going to trade everything every single day. No way you could make money like that.

I am 34 and I play the buy and hold game in my 401k , simply cause that is what the 401k is supposed to be. My company matchs 50% of the first 6 percent I put in, so I put in 6 percent. I buy what i want of what is there maybe 12 funds in all, personally really only like maybe 2 of them. Want a commodity fund so on and so on. Point is that i am forced to buy and hold.

I have a roth ira too, I put 6% percent in myself. I have 17 folios with approx. 10 picks per folio, either stocks, etfs, or closed ended funds. Personally picked by me As my buy and hold stocks. Plan to hold them for at least 5 years. You will hear me talk about my different folios, I own and will post articles and comments on the stocks in the folio's I have put together. This is in no way a recommendtion to buy these stocks without you personally doing your own research. This is where my money is and what I do.

I also have a traders folio, which based on this new market violity, I pick stocks to buy and play merely for a quick buck or two. Pinch 5 or 10 percent of the top here and there. This is my scalpers, trend pickers and all assorted other styles I am expermineting with. I am not sure what to do with these traders but I am slowly posting a profit from this folio, approx 5.6% so far. I will not play the inverse etf's, as I believe they are just not built right. Can't be that dumb with my money.

I still buy at least $5.00 per day spread between my 17 buy and hold folios. I reinvest all dividends daily. In my 17 buy and hold folios. They are all dividend paying holdings, typically I like 4 to 10 % dividend range. If a company cuts its dividend I look over holding, in most cases it is moved to my traders folio and held for a good profit release point. I typically target at least 5% profit on short term trade. Just what ever feels good, since in roth there is no taxes.

I am new want investing want to build a investment style I feel comfortable with. So feel free to follow me and one of the many ways you can be sure to comment on these articles. I work full time and have kids so I only blog when I can. Enjoy the ability to share my experience so that it may help all the Self Directed investor's out there. Thanks

1 comment: