03-18-2015, 04:42 AM
I think Lewys made a good point.
I consider selling only when the dividend was cut/suspended myself and the reason for that is that I have a very long time horizon for the holdings.
As long as they give me my salary (dividends) on time and without a pay-cut than I'm perfectly happy letting the money I sent to work there continue to do so.
Unlike Lewys I don't pay attention to financial figures or payout ratio once I purchased the stock (I do look at them before I make a purchase though).
The reason behind my decision is that those issues can be fixed over time and the company can still recover.
I do realize that if they won't get fixed and won't recover than my loses on that particular purchase will be higher.
This is why I plan to eventually hold a portfolio of over 50 companies which can offset the misbehaving ones.
I consider selling only when the dividend was cut/suspended myself and the reason for that is that I have a very long time horizon for the holdings.
As long as they give me my salary (dividends) on time and without a pay-cut than I'm perfectly happy letting the money I sent to work there continue to do so.
Unlike Lewys I don't pay attention to financial figures or payout ratio once I purchased the stock (I do look at them before I make a purchase though).
The reason behind my decision is that those issues can be fixed over time and the company can still recover.
I do realize that if they won't get fixed and won't recover than my loses on that particular purchase will be higher.
This is why I plan to eventually hold a portfolio of over 50 companies which can offset the misbehaving ones.