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Wednesday, May 27, 2009

Buy Hold Sell Buy and Hold to buy or not to buy

Hello all,

Just here with the daily wrap, life is going on as is the case each day. I am having a most difficult time trying to figure out my strategy I thought by now I would be much better off. I currently have 18 folios(sectors) of stocks each containing at least 7 stocks/etf's in each folio. For a current total holdings of 233, with 30 stocks on the axe block meaning when they are close to profit or a strong day they are gone. My 233 holdings are up 7.8% as of this writing.

I some winners up 55.00 % and bunch in the 30% range and 20,10% ranges too. I planned to use buy and hold style to collect dividends. So I just sit back and watch , I keep fighting myself saying i should have no more than 100 holdings tops, heck maybe only 50. So I try to ween the holdings down over the weekend. Ever so hard i can get down to 175 then i get stuck as I see value in these other stocks and don't want to get rid of them.

I hear buy and hold is dead, never make money like that. I am 34 years old, used to blow all the money at tourneys and casinos, So if when the smoke clears i have nothing so be it. I get down to 175 holdings then i find through the next week many more stocks undervalued or attractive. Don't ask me why I find them attractive I could not tell you yet. Cash on hand, low pe, no debt, low payout ratio. Hundreds of things i look out for, however, none of my stocks have all the areas i look at.

I am diversified to the max forex, commodities, oil, gas, reits almost everything but options. Which I am not interested in at this time. I quess you must push and pull till you find your happy medium. 200 holdings for some may be hard to keep a eye on but for me it seems to be were I need to be know. I spend approx. 6-10 hours each day researching, reading, watching, listening or discussing my opinion's. Almost like a drug cant seem to get enough. HA!HA!HA! but it is so true.

So here I am just broke 4,000 in 401k since sept 08, and 2637 in roth since jan. 1st this year. Still trying to find my strategy style,. I know i like dividends, I like etf's, I like some risk, as well as some small companies (heck i work for a small cap(PSSI). I have bought each and every single day the market is open, no matter what i buy something, or sell something.

So my goals/plan for the next month is to try to define a more definite strategy to weed out some of my listings as I try to move down to a much smaller group of holdings to work with. I have small capital now so to make it grow I should have fewer stocks correct? Although I love the big basket picture too. So goes another day in the world of investing. Thanks for taking the time to read my thoughts rambled misspelled and thrown up on the blog.

Thanks Dividend Basket


  1. Are you spending a fortune in fees? I like how passionate you seem about the subject, and I do think there is not one correct way to invest (I try to do a mixture of buy and hold in roth and trade in my regular brokerage). So if you think it is working out for you, great, but don't be afraid to admit that it is not working out how you planned and change strategies. I think the biggest thing I have learned in this downturn is patience (still learning it). I think you are doing a great job though, so keep it up.

  2. Thanks for answering my Post Chris, I pay a flat $290.00 for the year if trading. Regardless of how many trades a month/year I make. So say I used td ameritrade at 9.99 per trade 2 trades a payday, Which would be 40.00 a month in trades. The best part about folio is if i Buy a dud I can sell it for 1 PENNY yes that's 1 cent. There is no mim. balance or trade limits. Thanks for your input and taking the time to read my blog.