Birchtree's Account Talk

[Birchtree]

Another rose ready to leave the harem - ZF Friedrichshafen is buying out my TRW Automotive Holdings at $105. I have 16 dividends due for reinvestment today, so another day of weakness is appreciated. This whole scenario repeats again in December. Lots of buy outs going on keeping the market up to some extent - and this is just the beginning.

 

[Birchtree]

"Corporations bought back $338.3 billion of stock in the first half of the year, the most for any six-month period since 2007, according to research firm Birinyi Associates. Through August, 740 firms have authorized repurchase programs, the most since 2008. Companies with the largest buyback programs by dollar value have outperformed the broader market by 20% since 2008, according to an analysis by Barclays PLC." I need to learn how to spell correctly multi-millionaire because that's my destiny for the next five years or perhaps even longer. Not that I'm being overly confident but history often repeats and increasing interest rates correctly is definitely bullish for the markets. It's getting time to rumble with Ferdinand. It does take money to make money and over the last 40 years my truck is full of dollars to purchase more wall flowers.

 

[Birchtree]

Is A Big Move In Stocks Coming Soon? | Seeking Alpha

 

[Birchtree]

A simple way to beat the market with stock splits - MarketWatch

 

[coastalite]

Hi Birch - do you own "HIX"? My Uncle owns a f**k load of these shares - & I think he generates something like $80k each year - just in dividend income (from this and other stocks). He basically has a huge nest egg invested - and uses a lot of the dividend money as his retirement "fun money".

I'm not on speaking terms with him. Do you think this would be a good one to sink a few $K into and just have the dividends reinvested into buying more share of the stock? Or, are there MUCH better ones than HIX? I remember him saying years ago that it didn't matter if the stock went up or down - he always gets a fairly set dividend for HIX. Anyhoo, just thought you might share some insight on HIX - or possibly suggest a few of your faves that you can't go wrong with. My wife and I want to start our own oceanic account - maybe call it the puddle account - lol.

Also, is it wise to max out your TSP and do the full $17.5K? If so, how about the additional $5,500K in "catch up" contributions when you turn 50? Or - should you ONLY contribute just enough to get the maximum match percentage (6% or whatever it is) and use what's left over to fund a better investment strategy? Any advice from you or your readers would be greatly appreciated!

I just don't know if maxing out the TSP is the best strategy. Maybe it's better to invest the minimum to get the maximum match percentage and then use the rest of the investment income that is left over to max out our ROTH IRA's and set up a DRIP (dividend reinvestment plan) with a bunch of individual dividend producing stocks.

 

[Birchtree]

HIX is Western Asset high income fund yielding 9.02%. I guess it would be fine but as a mutual fund I'd like to know what they own. I like SDRL which is selling for $30.52 and yielding 13.11% - this stock I own.

Seadrill: Should You Double Down Now And Go All In Close To Seadrill's 52-Week Low? - Seadrill Limited (NYSE:SDRL) | Seeking Alpha

Anytime you can dollar cost average into your TSP you are being cost effective. Getting the match is free money. I would also add to any Roth IRA and reinvest the dividends over time. Simple strategies work the best. BTE (Baytex Energy) is another stock you might look at - I believe it pays a monthly dividend.

 

[Birchtree]

When it comes to investing, value is relative. And right now, when you size up financial assets, stocks win by a mile, but remember the stock market is not your friend.

 

[Birchtree]

With the Transports reaching new all time highs I wouldn't be surprised to see a serious chance of a melt-up in stocks during this 4th quarter.

 

[Birchtree]

While listening to Janet I've come to the conclusion that the ability to think far into the future - years and decades - is not something that comes easy. But it is essential in order to be a successful investor. I'll continue to use leverage to accentuate my performance. The primary uptrend in stocks should remain intact for as far as my eye can see - 2017 for sure.

 

[Birchtree]

Dow Theory: Yellow Flags Or Green Light? | Seeking Alpha

 

[Birchtree]

This post will probably get deleted before anyone gets to read it - but I must take the risk. Obama plans to exert personal control over air attacks on the Islamic State in Syria. This from a clown that spends most of his time golfing - frankly his head is so far up his a** that his big dumbo ears are simply full of sh*t - no wonder he can't hear what his generals are telling him. The guy simply needs to resign and let Jarret run the fcking country.

 

[Birchtree]

http://www.marketoracle.co.uk/Article47384.html

"We even touched twenty-seven year lows in terms of bears." But they have to get off the sidelines and join the 1995 party.

 

[maverick06]

every time i get out of the market, i screw myself over.

Every time i get back into the market i tell myself to follow the Birchtree method, just stay in.... maybe adjust what fund i am in, but stay in...

some day i will learn...

 

[Birchtree]

I only have 3 dividends on the line today, so the weakness in the R2K seems like over kill but I won't complain. More dividends to run next week and I'm golden with prices.

 

[MrJohnRoss]

This post will probably get deleted before anyone gets to read it - but I must take the risk. Obama plans to exert personal control over air attacks on the Islamic State in Syria. This from a clown that spends most of his time golfing - frankly his head is so far up his a** that his big dumbo ears are simply full of sh*t - no wonder he can't hear what his generals are telling him. The guy simply needs to resign and let Jarret run the fcking country.

I'm shocked, I tell you, just shocked! :blink:

Please tell us how you REALLY feel.

 

[weatherweenie]

I only have 3 dividends on the line today, so the weakness in the R2K seems like over kill but I won't complain. More dividends to run next week and I'm golden with prices.

Do you reinvest all the dividends you receive?

 

[Birchtree]

Yes, I reinvest all my dividends at the current time. I stepped into the market today and bought some more SDRL at $28.01. I think we are in for a nice melt-up come October.

 

[Birchtree]

Bubble Stage Of This Bull Market May Be Nigh | Seeking Alpha

It turned out to be a very slow week for my oceanic account - purrfect for dividend reinvestments: -$34K, +$53K, +$19K, +$21K, -$53K for a whopper gain of +$6K. There are seven more trading days for September and I haven't even counted how many more dividends there are waiting to file in - just bring'em.

I have high hopes that the last quarter will be better than last years' - here is what happened on a monthly basis last year. October (+$225K), November (+$128K) and December (+$249K) for a nice gain of +$602K. I think I'll end up beating that amount this last quarter. All that is needed is something from Mario Draghi offering up some QE out of the ECB and up we go.

 

[maverick06]

every time i get out of the market, i screw myself over.

Every time i get back into the market i tell myself to follow the Birchtree method, just stay in.... maybe adjust what fund i am in, but stay in...

some day i will learn...

now it seems like another terrible choice!!

 

[Birchtree]

Five dividends on the line today - buy things of extraordinary value at a time when nobody else wants them. I'll take all the wall flowers I can get. Investors who have missed out on the recent bull run for stocks may find that compelling investment opportunities remain - the 4th quarter could really be exciting.