I hope you're correct. If it goes to the neighborhood of 11, I would "load up the truck." But since I don't have that much cash available, I'll just pick up a few shares-- a steal at that price.
Bob, I really appreciate your posts. You certainly stay on top of things with the latest news. Thanks.
Gambler, you're correct about the gov't regulations. Recently, when I went to a stockholders meeting where I live, the CEO of a small bank was whining about all the regulations with which they have to contend. He didn't say that most of these regulations were because the big banks were playing loose to make as much money as they could by giving money to anyone could walk or crawl in the door. We would not have Dodd-Frank and lots of the other ones if the big banks and some small banks had not been so greedy. Many are now suffering because of that financial crisis back in '08 when banks were to big to fail. As I once read, banks are one step below Satan.
Mark, good post. The Fed has a job to do, the major problem as I see it is that when the Fed chairman speaks whether it was Greenspan or B or now Y, the market goes haywire. I'm curious as who will replace Y.
William, I owned DHT several years ago, but sold when they cut the dividend and the share price began to drop. At today's price, it pays a nice dividend , however, one of the places I look for data about stocks has it at 80% sell. With the market jumping around as it has been for a while, I believe you might be able to buy in the low 5s.
I first bought MO in 1986, received the dividends and more shares through splits. Like an idiot I sold half. But received 500 shares PM as a spin off and then 400 shares of KRAFT. Another senior moment, I sold KRAFT. Lucky for me, I still holding on to MO and PM and every quarter a nice dividend. I'm no longer in the reinvestment program, I take the dividends to buy stocks yielding in the 10 to 12 percent range. Another long time holding that is in the same category is T.
not sure what you mean by passive income, are you referring to farm income? Rental income and dividend income are two forms of passive income. However, with dividend income you can earn a a minimum amount on a CD and be very passive or you can be active and have a revenue stream of over 10 percent on stocks if you actively work at it and are willing to take the risk on stocks paying a higher dividend. Is your investment income active or passive? Is your investment model closer to physical science or earth science?
Bear, I'm interested in your covered call model. How far out do you go, month, a couple of months? I usually go out two months so I can repeat several times a year. I've found that the premium is usually so small I have to sell a large number of contracts to make it worthwhile. Anything you can share is appreciated.
Stagg, this has been a good 3 months since the end of Jan. As of today, I'm up 22 percent. I received a dividend from PSEC today, yet to come this month are dividends from NYMT and NRZ.