Investments

[MarillionFan]

Yes, let's see how many dirty spekulants are back after lunch

I've been 'investing' in shares for the last few years since it's been super volatile. I would say 'investing' more like trading at speed. I have two accounts setup, one for me and one for the other half. By using two accounts I can trade up to two lots of capital gains, so effectively £20000 tax free.

I've mostly been on FTSE shares. Banking, insurance & mining. Closely watching 15 shares for volatile movements. Swings in shares have been horrendous and can move 10/15% easily in a day for one of the banks. So I've been buying in when shares have moved 10% or so below the mid point of the range I expect them to trade in. I've also jumped into shares which have been horribly shorted and gone for a few dead cat bounces. Basically start at £2k per purchase, selling at 7-10% above my purchase and averaging down if the share drops 10%. If it continues to drop I add £2k, £4k, £8k for each 10% drop, up to a maximum exposure in shares of £50-£60k (Never put in more than £60k). I then track every trade in a large spreadsheet I maintain so I know how much I've lost / made per each account. I then use the two accounts to trade against for cap gains(if that makes sense).

Excluding divvies, I've notched up £38k profit since April 2010.

As a word of advice though, only expose a % of available funds in stocks and don't tulip yourself(like I do) when the market moves against you and drops £10/£15k in a day. (At one point at the end of last year I wiped out almost all of my 2 year profits in two days when I got in too early - I just sat it out).

And for the record. I stopped trading a month ago and I've moved back into BTL instead.

[shaunbhoy]

Made a fair amount recently in British Gas ..

Yes. In the production thereof. You must be making a killing on Hot Air and Hogwash shares too eh?

[Troll]

Yes. In the production thereof. You must be making a killing on Hot Air and Hogwash shares too eh?

All that uphill gardening activity and limited employment prospects appear to be making you really bitter, I'm sure things will pick up for you soon & then you'll also be able to really participate in this economy rather than just signing on.

Perhaps you should consider moving?

[shaunbhoy]

All that uphill gardening activity and limited employment prospects appear to be making you really bitter,

Wouldn't know about any of that, but I'll take your word for it that the two go hand in glove.

Perhaps you should consider moving?

Nah. That might tip people like you over the edge into a spiral of grief.
I'll just stay down here while there is still beer to drink and birds to doynk.

HIC!!

[AtW]

I've been 'investing' in shares for the last few years since it's been super volatile. I would say 'investing' more like trading at speed. I have two accounts setup, one for me and one for the other half. She takes all the losses and I take all the profits. The End

FTFY

[BlasterBates]

My advice is get some rag that gives you the analysis, you can't do it yourself, you need some reputable source eg from S&P on international stocks or something else. Then invest over time not all at once. Look for the longterm and make sure overall you have some decent dividends. Do not overlook dividends I get between 2 and 5% on the value of the portfolio depending on where the stock market is. Not to be sniffed at by any means.

Invest worldwide, emerging markets now look gr8 compared to Europe or the US so you want to be in there. Never invest more than 10% in any one stock, though if you have a stellar stock and you don't want to pay capital gains tax I see no harm in holding on to them if they're still attractively priced. This means you want at least 10 stocks, I have about 30 in my portfolio.

Now some stocks will become worthless that is almost inevtiable, I would say on average one in 10 stocks really goes to the dogs, mainly small/mid caps. I have 1 stock wiped out and 2 further stocks, worth virtually nothing. I got out of American Airlines well in time otherwise that would have been another one. But remember you can only lose 100% on one stock but you can gain several hundred percent on another stock. I have several stocks with over 300% gains.

If you're really stumped as to what to buy, buy a selection of stocks that match an index. Big co's are fairly safe they won't go to nothing but if you buy them overvalued you can lose a lot. The P/E ratio is everything. Never buy stocks with high P/E ratios, you're asking for it. Try to see yourself as investing in a company and what that company is worth, don't just buy because it's going up. So read up on how to evaluate shares. There is an exam for brokers where they have to be able to evaluate a company in 10 minutes from their annual report. Ideally you should know what they do, and what to look for (liquidity, debt, growth, P/E ratios etc). The analyses from the rags should summarise that for you, and you should be able to follow it.

[scooterscot]

Don't play the stock market. If I did I'd go to Vegas, same difference imo.

Much of scooter's investments is locked in the ground, land. It's value is steady, does not show unrealistic growth, is in finite amount and unlike gold is always useful.

[sasguru]

Don't play the stock market. If I did I'd go to Vegas, same difference imo.

Much of scooter's investments is locked in the ground, land. It's value is steady, does not show unrealistic growth, is in finite amount and unlike gold is always useful.

You sound like the pub bore. "I'm tellin you, land is safe as aaahzes. And anover fing ....".
I'm afraid you're destined to be poor.

[DimPrawn]

You sound like the pub bore. "I'm tellin you, land is safe as aaahzes. And anover fing ....".
I'm afraid you're destined to be poor.

Are you suggesting prime toast rack property isn't safe?



PS Your people skills are required here

[scooterscot]

Are you suggesting prime toast rack property isn't safe?



PS Your people skills are required here

People skills

Is property = land?

Are investments fun or end of dinner party conversation I'm slitting my wrists?