The Money Mustache Community
Learning, Sharing, and Teaching => Investor Alley => Topic started by: $_gone_amok on May 02, 2012, 03:27:41 PM
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For those of you who are investing in stocks, what are your long positions?
For me, it is:
GLW
AAPL
AXP
GE
MAT
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From what I've gathered, most here seem to be fans of having a solid asset allocation and sticking with that, not picking individual stocks (i.e. pick and pray).
That's most commonly index funds.
Some do high dividend stuff like dogs of the dow.
Some do Browne's permanent portfolio.
But it seems to me most don't just pick a few, like you seem to favor.
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Being in the software/IT business myself, I tend to pick companies that I am most familiar and comfortable with. Picking individual stocks is all about risk tolerance and it isn't for everyone.
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As a heads-up, it can be dangerous to invest in stocks within your industry- it's a failure to diversify. For example, if you invest in utilities and work for a utility company (or invest in tech stocks and work for a tech company) and that industry goes south, you could lose both your job and your investments. People tend to invest in companies that they interact with/know, but just because you know them doesn't mean that you are able to assess whether they are undervalued or not at the moment.
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I also like GLW but don't own any. I own a bunch of CMG which has worked out really well for me (ten-bagger), but I wouldn't buy at this price. I own some AAPL and think it's a screaming buy right now.
I'm long BRLI (and also like LH), CGNX, FCFS, SVU (looking for a turnaround here), GOOG (considering selling), MRX, TEF, ZIP and HBI. I also have some NLY for the great dividend - it's a very well-managed company. I like restaurants because they're usually simple and duplicatible, so in addition to CMG I own some BWLD that has also done v. well.
ACAS is a bit of a scary turnaround story, but I'm thinking about going in heavy on it.
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As a heads-up, it can be dangerous to invest in stocks within your industry- it's a failure to diversify. For example, if you invest in utilities and work for a utility company (or invest in tech stocks and work for a tech company) and that industry goes south, you could lose both your job and your investments. People tend to invest in companies that they interact with/know, but just because you know them doesn't mean that you are able to assess whether they are undervalued or not at the moment.
Point well made. I should have mentioned that I only actively manage 40% of my portfolio. The rest are in either index or age-based funds. However I think we are in a bull market right now and being more risk tolerant, I am temped to put more money into the stock market.
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I prefer individual stocks as well... I use more of a dividend growth strategy. I just started investing in individual stocks this past year so I dont have much yet. Some of mine include:
INTC, PEP, HRS, EXC, COP, CVX, MCD, WM
I'm shooting for 20-25 total and have a bunch of others on my watch list but I feel the market is a little overpriced at the moment. Especially dividend stocks.
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I opened my Roth IRA a few weeks ago, so I am limited to a few stocks at the moment. I plan to hold on these for a while. All are dividend paying, I am not looking to trade heavily, just DCA and keep an eye on overall distribution at the end of each quarter and/or year.
ADP
BBEP
BP
MDT
SCCO
APL
RTN
Let me second not holding all your investments in one industry. Diversify.
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RAVN
ATRI
V
WRLD
WWW
GSIT
LTD
CRR
IBM
And waiting for UNP to go on sale.
I actively manage about 65% of my portfolio, the rest are in small/mid cap ETFs.
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I don't pick individual stocks, but my Asset Allocation is overweight compared to Market on Emerging Markets and Dividend stocks.
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REITs- ADC and SNH
nice dividends, in addition to other metrics I use- GLW, ALV, NL, MMM, USMO, MNDO, AZN (6.13% dividend right now), OLN, and CEL
The rest I screen with Joel Greenblatt's method, I've seen fair results with it.
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I'm currently holding the following:
MCD
PM
WAG
INTC
AFL
OHI
AMTG
MTGE