Gyroscopic Investing

I currently hold 15 stocks in my VP with room for a few more, though I'll probably reserve some cash for hedging purposes as the market has been acting very toppy since January: poor breadth, Dow Theory non-confirmation, R2K nonconfirmation, can't break out to new highs (but can't break down to new lows either), rising credit yield spreads.  It can be hard to tell a sideways/consolidation from a top when theres no downwards action, though.  It all relies upon confidence and Joe Sixpack really is not [back] in the market yet.

I suspect we'll probably go sideways or have a minor fall swoon correction into the 2015.75 turning point.  If the latter, there's a good chance it will fake everyone out into a final Treasury bubble high.  Although, I do have a hard time perceiving how Treasuries can possibly peak anytime soon when the rest of the world's Treasuries would have to go belly up first.  Where would all that capital go if not our Treasuries?  We shall see, that much is for certain.

How many stocks do you hold in your VP?

MG,

The book answer is 20. I forget the math details but essentially 20 is the number where you don't get much more diversification benefit by adding more while below that you miss out on some of it. Personally I believe the answer is more accurate depending on what you are investing in and what your VP objective(s) is. For example, one could make a case that BRK.B/A is all you need or if you are doing biotech start ups more than 20 is needed

Kbg wrote: The book answer is 20. I forget the math details but essentially 20 is the number where you don't get much more diversification benefit by adding more while below that you miss out on some of it. Personally I believe the answer is more accurate depending on what you are investing in and what your VP objective(s) is. For example, one could make a case that BRK.B/A is all you need or if you are doing biotech start ups more than 20 is needed

How did you perceive that in my post?  Very interesting!

About 60. Don't ask me what they are, b/c I will shortly be out of town and mostly without internet for about a week.
In general they are dividend raisers, stodgy old stocks from pre-boglehead pre-pp days. I do hold the holy trinity of Apple-Tesla-Google, though.

MachineGhost wrote:

Kbg wrote: The book answer is 20. I forget the math details but essentially 20 is the number where you don't get much more diversification benefit by adding more while below that you miss out on some of it. Personally I believe the answer is more accurate depending on what you are investing in and what your VP objective(s) is. For example, one could make a case that BRK.B/A is all you need or if you are doing biotech start ups more than 20 is needed

How did you perceive that in my post?  Very interesting!

Read it wrong. ?  I have 6.

dualstow wrote: About 60. Don't ask me what they are, b/c I will shortly be out of town and mostly without internet for about a week.
In general they are dividend raisers, stodgy old stocks from pre-boglehead pre-pp days. I do hold the holy trinity of Apple-Tesla-Google, though.

Wow, how do you keep track of so many?  Do these include your client's newsletter picks?

Kbg wrote: Read it wrong. ?  I have 6.

Fully invested or are you keeping space for future picks?

I have one: EKSO (Ekso Bionics - the Wearable Exoskeleton company). I believe its a market poised for growth in the future.

I used to own Tesla. Sold at a 100% profit when it was around $50 a share. Now it's $250 . At least I can have solace in that I didn't think it could go any higher when it was at $50 hah.

KBA, IEV, KRE, CYBR, GILD, SBUX, GPRO, HZNP. That's eight I believe.

1NV35T0R (Greg) wrote: I have one: EKSO (Ekso Bionics - the Wearable Exoskeleton company). I believe its a market poised for growth in the future.

I used to own Tesla. Sold at a 100% profit when it was around $50 a share. Now it's $250 . At least I can have solace in that I didn't think it could go any higher when it was at $50 hah.

That's not as bad as me selling Bitcoin when it was only $40 or something like that.  My only solace was that its unlikely anyone got their money out of that Japanese exchanger.  Storm made out big and he hasn't been seen here since!  He must be living high on the hog.

Reub wrote: KBA, IEV, KRE, CYBR, GILD, SBUX, GPRO, HZNP. That's eight I believe.

How many more do you plan on buying?