Sunday, 14 October 2012

Recent Market Plays October 2012

Hey guys, remember back in April when I said that I would be using some money to "play the market" as opposed to sticking to the tried and true dividend approach? Well Kinross soared for a couple days in early October so I took the chance to finally get out of that. It took me 6 months but I netted a 6.67% (including two dividend distributions) return so it didn't turn out too badly for me. I'm going to continue on with the experiment and maybe try and jump back into Kinross later because it seems to be dropping again. Or I could go into something else such as Silver Wheaton; we'll see how cheap the precious metals can get. Due to me closing my position with Kinross, expect my overall dividend yield to increase since Kinross paid a pittance in terms of dividends, however, the expected dividends received will be lowered as well.

To offset that, I grabbed some more shares of Reitmans. The clothing company is having a bit of trouble right now but the majority of retailers are having problems getting stuff off the shelves. The company is sitting on a lot of cash so it'll be able to pay off upcoming debt and hopefully be able survive to see better days in the economy. Awhile back, it teamed up with Toys 'R Us to have the toy store carry its clothes for expecting mothers. This shows that the company is trying to get an edge wherever it can. While the price is a little depressed, I'm able to get a higher yield and get more shares via my DRIP. This also gets me closer to that goal of $2200 in expected dividends.

October far from over and I recently stumbled onto some funds. Hopefully I'll be able to grab some more stocks and continue to build my portfolio. If not, I'll throw everything into my bond ETF and wait until the prices are acceptable. All part of the plan right?

-the Paperboy

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