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Open Thread: What Have You Been Buying/Selling/Pondering
Added to MFLDX. Added this week to Canadian National Rail (CNI). Added a bit of Intercontinental Exchange (ICE) May add to FIS (FIS) and Qualcomm (QCOM).
Started building an income portfolio (30% of our taxable money). A third of the portfolio will comprise of high risk high divident "stocks". So far, over the last week, purchased KMP, APL, SDRL. L.
Just had GMAC 7.375% Note (GOM) called at $25.00 per share. Held this preferred since 1/20/10, paid $20.54 per share. Going to put the proceeds into KKR. Regards, Ted
Started building an income portfolio (30% of our taxable money). A third of the portfolio will comprise of high risk high divident "stocks". So far, over the last week, purchased KMP, APL, SDRL. L.
I think that is a good idea and kind of what I'm doing - I just think the only issue is that you have to be willing to take "shocks" in some/all/most of these names if interest rates do (ever) really move higher in a sustained manner. I own KMP, as well as OAK and BIP.
I think the other place I'd suggest looking is Canada. A number of Canadian REITs and oil names not only have good dividends, but many of them pay monthly rather than quarterly (Vermilion Energy, for example - VET in the US) You do have the foreign withholding tax, but still some of these names are interesting. I own Freehold Royalities (FRHLF.pk), which yields about 7.25% and is kind of an interesting oil royalty play managed by an exploration company owned by the pension of the Canadian National Railway (which I also own.) From the website: "The CN Pension Trust Funds also own approximately 26% of Freehold's common shares."
I agree with the main thesis of this article, yet this nascent industry reminds me too much of the dot.com bubble. I'm sure that the lead horses will assert themselves in time and that there will be funds catering to this industry, don't know if there are any now. The trend is for much greater legalization of MJ, no doubt about it in my mind. The trick is how to profit off of this significant trend upwards which is just starting...
Some of the MJ stocks have already had a significant run and fallen back - see the ridiculous move that Medbox (MDBX) had, for example. There are a lot of little companies with a good story in this sector, but honestly, I'd rather an Altria say tomorrow, "We're going to invest big in this" and go with that and be done with it/not have to think about it/get nice dividend if I was going to invest in this theme versus investing in a MJ penny stock or two.
Yet, from what I've read, Phillip Morris and Altria have acted disinterested, which I find rather baffling.
I see a lot of people recommending the penny stock of Aerogrow (those expensive hydroponic growing kits you can buy for vegetables) as part of this theme. Meh.
@Scott - I agree that big tobacco will eventually rule this space. Altria and others are likely watching developments and have already drawn up plans as MJ becomes more mainstream, and it will become more mainstream. Then big tobacco will get involved in the "green rush".
A penny stock I've been watching is GrowLife, Inc. (PHOT). They sell the lights and other stuff needed to grow MJ. PHOT doesn't have any gov't. issues as they don't deal with MJ, they just sell the "picks and shovels" that make the stuff grow. And during the gold rush of the 1800's it was the people selling picks and shovels to prospectors who made the big money, not the prospectors digging for gold.
These penny stocks had no profits in the past and it's tough to gauge if they're making any money now. But as of Jan. 1 of this year, it's an entirely new ballgame!
Again, a space to watch as I think that the green rush is going to be huge over the next decade.
i just put a tiny amount of money into 6 pot penny stocks -- money i don't care if i lose. phot was one of them. i had seven stocks on my list but the 7th one looked a little uncertain to me. this was 2 or 3 days ago. CBGI. it's now up like 60% since i decided not to buy it, while the rest o' them are flat to a little down. why o why, i ask you?
I've only been watching PHOT as I like that this company doesn't have any gov't. regulations against what they sell. PHOT's up over 30% this week alone. They're selling the infrastructure for the green rush, and we're now only at the very tip top of this green iceburg.
Some balancing in the core portfolio. Trimmed technology and health that have had a nice run up and bought Treasuries including TIPS.
Pondering utilities and emerging marker bonds in play portfolio. Got stopped out of some of both long (EWG, EWH, EWY) and short positions (EEV).
Technically, there seems to be equal chances for a deep correction and another run up at the moment so reducing beta exposure bets and going to mostly cash in this portfolio.
Yeppers, it's going to be bloody huge, but very slippery for the next few years as things sort themselves out. Actually, it's good that the states are going at legalization in such a diverse way - 20 now legal for medical reasons but the various rules are all over the map. 2 legal. Apparently there are quite a few up for ref vote this fall http://ballotpedia.org/Marijuana_on_the_ballot#tab=By_year
One thing that seems to be fairly common coming from a med direction is allowing patients to grow their own. This is key to keeping this democratized. However, the genie is loose and raising hell.
A mutual fund or ETF would be the ideal investment vehicle as it was with China. I remember back when China first took off. Way to dangerous to play directly but for a couple of years I played the old RIO (brazil iron ore), Fordham Coking (coking coal) and Posco steel out of Korea who were combining the 3 to make steel for china. It worked but was a bit convoluted. Right now, this is almost how you want to play pot. Since the legalized med here in Michigan, it's always been the growing supply stores that have made out (er, that's because they ruled dispensaries were illegal and they were the retail outlet for herb. Now it's grow your own or buy from a 'caregiver'. I think we'll see another initiative in 2016 to legalize it . . . and also same sex marriage.
The times, they are a changin' - suck it up and deal with it.
I agree with the main thesis of this article, yet this nascent industry reminds me too much of the dot.com bubble. I'm sure that the lead horses will assert themselves in time and that there will be funds catering to this industry, don't know if there are any now. The trend is for much greater legalization of MJ, no doubt about it in my mind. The trick is how to profit off of this significant trend upwards which is just starting...
I've got a couple of momentum plays in teeny tiny silver miners. Nose bleed stuff and really only talking giggle money but the leverage . . . ASM, HUSIF, MGN and SLTOF. These are again, a giggle play. The pm miners have been moving faster than bullion and with some of these penny stocks you can really hit the long ball should the mo continue. My only home run came on SLW which I bought early in the decade in the $2-3 range to see it go to $40. It's still at $26. Gold doesn't give the leverage of silver and silver miners can go nuts in a heartbeat.
Good luck playing herb. I've got to study it some more but first go medicate.
I'm in Ann Arbor and recreational mj seems like it's legal here already, the stuff is everywhere. It was like that when I was a student here also, an extremely liberal college town.
I'd love to buy into a mj etf, hopefully some options will become available. Perhaps the fact that many of these mj stocks are penny stocks prevents an etf from being created?
The trend is your friend and the liberalization of mj laws is a massive trend that has barely begun.
Started building an income portfolio (30% of our taxable money). A third of the portfolio will comprise of high risk high divident "stocks". So far, over the last week, purchased KMP, APL, SDRL. L.
I think that is a good idea and kind of what I'm doing - I just think the only issue is that you have to be willing to take "shocks" in some/all/most of these names if interest rates do (ever) really move higher in a sustained manner. I own KMP, as well as OAK and BIP.
I think the other place I'd suggest looking is Canada. A number of Canadian REITs and oil names not only have good dividends, but many of them pay monthly rather than quarterly (Vermilion Energy, for example - VET in the US) You do have the foreign withholding tax, but still some of these names are interesting. I own Freehold Royalities (FRHLF.pk), which yields about 7.25% and is kind of an interesting oil royalty play managed by an exploration company owned by the pension of the Canadian National Railway (which I also own.) From the website: "The CN Pension Trust Funds also own approximately 26% of Freehold's common shares."
Thank you, Scott. Will look into the canadian names. Price fluctuation won't scare me as I get fixated on a payout, but dividend cut might. L.
I see Japan's getting hammered. My position in MJFOX dates from just the New Year. Too early to bail(?) I had a stray thought last night about ADDING to it....It's down about -5% for me. Morningstar's ytd numbers are something very near that, too. It's 6.3% of portfolio.
Scott & lova11 - I think you can avoid the foreign withholding tax on Canadian issues if you hold them in an IRA account. At least it works that way in my Roth at Fidelity. The tax will be withheld in a regular account with the possibility of a refund/credit at tax time depending on your personal situation.
Comments
L.
Regards,
Ted
I think the other place I'd suggest looking is Canada. A number of Canadian REITs and oil names not only have good dividends, but many of them pay monthly rather than quarterly (Vermilion Energy, for example - VET in the US) You do have the foreign withholding tax, but still some of these names are interesting. I own Freehold Royalities (FRHLF.pk), which yields about 7.25% and is kind of an interesting oil royalty play managed by an exploration company owned by the pension of the Canadian National Railway (which I also own.) From the website: "The CN Pension Trust Funds also own approximately 26% of Freehold's common shares."
http://finance.yahoo.com/blogs/daily-ticker/marijuana-will-be-the-single-best-investment-thesis-of-the-next-decade--minyanville-s-harrison-162358070.html
Yet, from what I've read, Phillip Morris and Altria have acted disinterested, which I find rather baffling.
I see a lot of people recommending the penny stock of Aerogrow (those expensive hydroponic growing kits you can buy for vegetables) as part of this theme. Meh.
A penny stock I've been watching is GrowLife, Inc. (PHOT). They sell the lights and other stuff needed to grow MJ. PHOT doesn't have any gov't. issues as they don't deal with MJ, they just sell the "picks and shovels" that make the stuff grow. And during the gold rush of the 1800's it was the people selling picks and shovels to prospectors who made the big money, not the prospectors digging for gold.
These penny stocks had no profits in the past and it's tough to gauge if they're making any money now. But as of Jan. 1 of this year, it's an entirely new ballgame!
Again, a space to watch as I think that the green rush is going to be huge over the next decade.
Ted, will you invest in KKR NYSE? Or, one of their CEFs? Or, KHYKX, which has done pretty well since inception?
Thanks, Charles
Pondering utilities and emerging marker bonds in play portfolio. Got stopped out of some of both long (EWG, EWH, EWY) and short positions (EEV).
Technically, there seems to be equal chances for a deep correction and another run up at the moment so reducing beta exposure bets and going to mostly cash in this portfolio.
Hulbert today gives me real pause.
Regards,
Ted
One thing that seems to be fairly common coming from a med direction is allowing patients to grow their own. This is key to keeping this democratized. However, the genie is loose and raising hell.
A mutual fund or ETF would be the ideal investment vehicle as it was with China. I remember back when China first took off. Way to dangerous to play directly but for a couple of years I played the old RIO (brazil iron ore), Fordham Coking (coking coal) and Posco steel out of Korea who were combining the 3 to make steel for china. It worked but was a bit convoluted. Right now, this is almost how you want to play pot. Since the legalized med here in Michigan, it's always been the growing supply stores that have made out (er, that's because they ruled dispensaries were illegal and they were the retail outlet for herb. Now it's grow your own or buy from a 'caregiver'. I think we'll see another initiative in 2016 to legalize it . . . and also same sex marriage.
The times, they are a changin' - suck it up and deal with it.
peace,
rono
Still getting use to the software. Sorry.
I've got a couple of momentum plays in teeny tiny silver miners. Nose bleed stuff and really only talking giggle money but the leverage . . . ASM, HUSIF, MGN and SLTOF. These are again, a giggle play. The pm miners have been moving faster than bullion and with some of these penny stocks you can really hit the long ball should the mo continue. My only home run came on SLW which I bought early in the decade in the $2-3 range to see it go to $40. It's still at $26. Gold doesn't give the leverage of silver and silver miners can go nuts in a heartbeat.
Good luck playing herb. I've got to study it some more but first go medicate.
teehehe
peace,
rono
I'd love to buy into a mj etf, hopefully some options will become available. Perhaps the fact that many of these mj stocks are penny stocks prevents an etf from being created?
The trend is your friend and the liberalization of mj laws is a massive trend that has barely begun.
Mike
I think everyone should have some cash right now but gold had been moving before the things got crazy in Russia.
How much of the action since the occupation . . .
peace,
rono
Price fluctuation won't scare me as I get fixated on a payout, but dividend cut might.
L.
Was hammered with FAAFX. That will teach me not to call attention to a break-out again on anything I hold