Lazy2000.
Thankyou for the private message, but if you don't mind I would like to answer your questions on the open forum just in case there is another individual that may benefit.
1. When did you decide to use leverage? How much do you decide to borrow? I opened my margin account originally in the 1980s but was reluctant to use it initially for fear of getting crushed in the jaws of the bear. I decided I need to have a stronger base to be able to absorb any pain that might come my way. So I've been in and out of margin over the years. When I didn't get kilt in the 2008 crush I decided the time was right to really jump the margin gun. Margin is not a gift - it needs to be earned and you use your equity as collateral. When the market rises your equity rises and provides margin buy power that you borrow against. Margin is also not free - you are charged an interest rate that can vary with margin balance - I pay 2.75% and that is tax deductable against my dividend income. How much to borrow depends on your base and your comfort zone - becasue the girls in the back office will show you no mercy when it comes to using their money. I am currently $3M on margin and I'd like to push that even higher while interest rates are still low and the bull is rampaging. I'm in a position to take the risks - I made +1.5M last year and I'd like to double that this year.
2.You recently mentioned buying some gold wall flowers. Are you looking at miners or something else? I currently own four gold miners and own 15 ounces in gold coins that I bought in 1980. I'm going to be dollar cost averaging my gold stock positions as well as looking at several gold ETFs. For example: DGL, DZZ, DGZ, DGP.
3. What sectors or individual stocks do you focus on? I own 300 stocks plus or minus a few - so I'm all over the place on my selections - widely diversified. So I don't focus on any particular sector - except I'm deep in the coal sector currently because I am a renegade contrarian and can always deduct any loss generated against other gains.
4. What are your dividend investments? Really to many to list but I'll give you the symbols of the 34 dividend increase announcements ytd: DDR, SE, F, OKE, LNT, MSB, CNP, GMT, ONB, VLO, WMB, AGCO, AOS, WPZ, MWV, HBI, AIT, DOW, FIS, RES, ARP, TWC, BKH, LB, SMP, GAS, NU, TWX, AVX, BMS, AVA, TRI, AIG, CSCO. I'm looking forward to my 105 dividends that will be paying in March. I hope this helps provide some direction. Remember, it has taking me 40 years to reach my current level - the old saying that it takes money to make money is true.
