Performance - Week Ending 09/27/2013
For the individual investor, it’s always something. One week the markets reacted to what they think the Federal Reserve Bank will do regarding the dreaded taper. The next week the markets react to what they think the Congress will do regarding the federal budget. As I have often said, being an individual investor is not for the feint of heart.
Personally, if I were the president, I would simply tell the Congress, regardless of party, that I don’t care who does what to whom, I am going to veto anything and everything they send me. And just to make sure they get the message, by Executive Order, when the government shuts down, their pay and the pay for all of their staffers, stops.
Also, after the government shuts down, and I know this would not be popular, the head sponger from Texas, Ms. Jackson-Lee, will now have to hoof it, or buy a bicycle, since the limousine she parks her fat ass in to go across the street would no longer be available. To regain her limousine privileges she would have to give a 60 second speech that contained only words of 6 syllables or more used correctly, including used in the correct context, AND…the speech would have to be on a topic that wasn’t about Ms. Jackson-Lee.
Nope the only folks that would be getting paid would be me of course, the military, a few folks that actually work in the White House proper, and maybe the government ice cream truck guy that pulls up in the front lawn of the White House every other Tuesday between six and seven with my super secret double naught spy ice cream.
This would force the Congress to cut through the political banter and work together. Real compromise would have to be reached. Concessions would have to given on both sides of the isle. And, in the end, the American people would benefit because the country would benefit.
But none of that is going to happen. The reality is the President of the United States, the President of the Senate, the Speaker of the House, and the rest of the band of 536, could care less about individual Americans. Their only goal is to stay on the government teet as long as possible, and to achieve that goal they will lie, cheat, and steal. They are all simply fecal matter on the bottom of America’s shoe.
Into those waters, amidst all of the political wrangling, among this massive den of the thieves, and with Ms. Jackson-Lee looking for her wig tape, wades the individual investor. With all of the obstacles against their success, with all of the tapering logs pushed out of the gigantic rectum that is Washington, D.C., they still believe that as Abraham Lincoln said, “I will prepare myself and the opportunity will come”.
As I have said many times in this weekly tome, being an individual investor, managing your own investment dollars, is simply not for everyone. Ignoring economic upheavals on a world scale is not easy. Ignoring Ms. Jackson-Lee and her misused 14-cent words is not easy either.
Not knowing what MSNBC or CNBC is or what they do, is not easy. Discounting what your perception of factual information actually is and staying a course you have selected is one of the hardest things an individual investor has to do.
Adding to an investment position when your stocks are down day after day is far more difficult than you can imagine. But over time, ignoring the din, thinking for yourself, is what creates outstanding returns, and makes the individual investor the greatest market participant of all time.
Hi. My name is Wax, and I am an individual, working class, investor just trying to do the best I can in a world that was never intended for investors like me.
Throughout the course of the week, I post a Daily Alert, which is my review of an individual equity. It is intended to help the reader decide if that particular equity is worth their time to research.
The other thing I do, is let the world watch as I manage the The Wax Ink Portfolio.
Perhaps watching me make the mistakes I make will help other working class investors avoid the investing pitfalls that seem to find me.
Enjoy your weekend
The Wax Ink Portfolio was down 0.9% for the week. By comparison, the Dow was down 1.2%, the Nasdaq was up 0.2%, the S&P 500 was down 1.1%, the Russell 2000 was unchanged, and the Volatility Index, commonly known as the VIX, was up 17.8%.
Year to date, the Wax Ink portfolio is up 22.8%, the Dow is up 16.4%, the Nasdaq is up 25.2%, the S&P 500 is up 18.6%, the Russell 2000 is up 26.5%, and the VIX is up 1.4%.
The Wax Ink Portfolio breakdown remains unchanged with roughly 70% of the portfolio in equities, 30% of the portfolio in cash, and 0% of the portfolio in bonds.
I finished baseline equity reviews on the following companies during the course of the week. My rating follows the ticker symbol.
Harmonic (Nasdaq: HLIT) – Positive Investment Interest
Panera Bread (Nasdaq: PNRA) – Negative Investment Interest
Juniper Networks (Nasdaq: JNPR) – Positive Investment Interest
Robert Half International (NYSE: RHI) – Negative Investment Interest
Healthways (Nasdaq: HWAY) – Negative Investment Interest
This week's moving on up stocks were technical services contractor SAIC, Inc. (NYSE: SAI), up 6%, plastic container maker Myers Industries, Inc. (NYSE: MYE), up 4%, and general building materials company Griffon Corporation (NYSE: GFF) was up 3%.
This week's floaters in the bunch bowl were airplane repair company AAR Corporaion (NYSE: AIR), down 6%, chicken grease collector Darling International, Inc. (NYSE: DAR), down 4%, and communications equipment company Tellabs, Inc. (Nasdaq: TLAB), down 4%.
The top portfolio choke and puke stocks remain communications equipment company Tellabs, down 58% since being added to the portfolio, garage door and telephone headset maker Griffon Corporation, down
30% since being added to the portfolio, and iron ore company Cliffs Natural Resources, down 38% since being added to the portfolio.
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