Success is the ability to move from one failure to another without loss of enthusiasm. -Winston Churchill
A lot happened in November 2016. I also tried my hand at trading, received some divis, and have a new forward divi outlook record for myself!
The Sleeper Portfolio:
No, this isn’t any russki KGB undercover shenanigans. I decided to temporarily suspend my trading license and move back to my divi ways as work ramps up. I had a solid month where I was able to be more active with my portfolio. It was fun and will show the results I have later. The fantastic five below:
- BP (cost basis lowish 30s? Honestly, not sure with lots of changes. I should track better….oh well)
- NAT (cost basis $8.35)
- PFE (cost basis $31.66)
- SJM (cost basis $126.28)
- VOD (cost basis $24.50)
I decided to take more risk with VOD as opposed to buying T or VZ. I think it’s undervalued, and if I am patient can maybe sell later next year. It has the potential to be a ‘value trap’ but think it’ll go back up at some point. I can handle being paid to wait and have accepted the risks. My forward divi outlook is now $4,358.00 annually.
November 2016 Dividends:
- T paid $62.40
- VZ paid $28.88
- POT paid $20 took back $3 (Canadian company) = $17
- NAT paid $110.50
- Total for November 2016 = $218.78
I am okay with this as my focus was mainly on trading for the month.
RIP Trading Career (10/24/2016 – 12/02/2016)
I am not done but only temporarily paused until mid-2017 due to work picking up. My end result was a gain of 9.58% over the course of the time period above. My peak performance was at the close of 11/28 which would have left me with a 12.36% gain. However, I let the gains slip away as I did not get out of VALE, FCX, and BHP at their high points. I actually took a very very small loss on BHP! Then I made poor trades on ATVI (largest loss during this period) and HACK. BP decided to be a hero after the OPEC meeting to help salvage the results.
I still have one last trade open with KTOS that I am waiting to close out. My avg price is $7.20 with it closing on 12/02/2016 at $7.94. I am currently up 10.21% on this trade. I originally thought of just closing out at $8.00 but have now decided to get greedy (I admit it!) on this trade and just see if I can let it run. I am not sure when I will take my first profits as I will most likely try to scale out and adjust stop loss. My stop is currently at $7.00. I will be adjusting this shortly.
Plan Going Forward:
Whenever I do close out the KTOS trade, I will be keeping a cash reserve. The only thing that I might possibly do with it is buy more of one of the 5 stocks that I own if they go down a lot! I do not plan on adding money to them unless I think it has a decent chance of running up. I am slowly starting to learn the value of cash. No reason to be fully invested all the time. A little patience can go along ways.
I was just going to max out my 2016 Roth contribution, but now have decided to start working on 2017 as well after I finish up with 2016. I keep it very simple by just investing fully into VSIAX (small cap value index fund). I was in a life strategy earlier in the year. I’ve got no time for bonds though. No time. Give me stocks for better or worse.
I still plan to read about investing and trading going forward. My enthusiasm for trading has not been dampened even with some of the mistakes that I made. I just will not have the capability to do it for a while. It is nice going back home to the divis. It’s not nearly as stressful as tracking daily/weekly fluctuations. I am looking forward to the break to hopefully grow my knowledge on trading and investing.
I hope everyone had a good November 2016 as well! Here’s to December!