Show Me the Money
Location: TheDumbMoney's CAPS Blog
There are a lot of new people here, and many of the old ones are gone, including one of my old faves, truthisntstupid, a line-cook with uncommon wisdom. I have been active here now for well over three years. To review, all of my picks in this CAPS account are real money positions, and they are the only stocks I own.* My record is very transparent. Whenever I do an initial purchase I add in CAPS. Whenever I add to or subtract from the position, I note it in the comments.** Whenever I sell out a position I remove it from CAPS.
Recently I rolled two costly 401ks into my self-directed IRA. A number of new purchases are therefore reflective of this, and do not actually represent "new money" going into the market. In fact, because I had to liquidate those old 401ks entirely to cash, I am actually about $20,000 less-invested in the market than I was in April 2013. I will scale in the rest of my investable cash over time, in order to protect psychological capital.
I also run my own blog, TheDumbMoney. You can also follow me on Twitter, @The_Dumb_Money. My biggest fights on the Fool have been with goldbugs, who are temporarily in remission. I famously (in my own mind anyway) bet XMFSincheruna in early 2010 that PM would outperform GLD, and so far I am annihilating him. He was a well-intentioned, though irascible, guy who I respect because he put his money where his mouth was. As for me, I manage about $100,000 of my own retirement money and savings, which is about 1/5 of my family's net worth, as of today. The remainder is in emergency cash savings, my wife's and my present 401ks, and home equity. Every opinion I state is my own conclusion based on how I think I can best manage my own money and/or grow my family's net worth. Always do your own diligence and accept your own risks, which are larger than you probably think.
People who give opinions anywhere -- here, CNBC, or at your dinner table -- on the stock market or the economy, without putting their money where their mouth is, are not worth listening to even for a second. Always understand whether the true motive of the people you are listen to is making money based on trading/investing pursuant to their opinions, or something else. Only the profit motive is strong enough to overcome our biases, prejudices, assumptions, and denialism, and even that motive is not strong enough most of the time.
*Except that I also own ABBV, because of the ABT split. I did not realize the fool.com would not give me a new ticker for this on the split date, and by the time I realized the error, I did not think it was a good idea to add it at a time unconnected with when I truly acquired it. If I had ABBV in my picks, it would add at least 15 points to my score as of today's date.
**Four of my positions, BDX, LMT, UNP, XOM are DRIPS, and I don't make comments on my monthly adds of $50 or $100, because these are automated. Just note I'm making small monthly purchases unless stated otherwise.