What Did You Buy Today?

[NilesMike]

(05-09-2015, 02:09 PM)hendi_alex Wrote: I'm overweight in REITs and am overweight in HCP in particular. HCP is no longer part of my investment plan. I tried to get rid of the shares by selling $42.50 calls for $2, but the price dropped. The $42.50's were closed mostly retaining the option income, and now I'm trying to sell the shares via $40 calls. Eventually the shares will get taken out. Until then, they are generating more than 2x the dividend payment.

Selling near the bottom is not a negative when the replacement REITs are selling at similar valuation. What you said about HCP probably applies to most property RETS.

Thanks but I don't understand the last sentence when related back to the first sentence.

If you are overweight REITS, why are you looking to replace HCP?

If you never loved HCP as a long term play, 47 looked like a nice area to take profit?