Twil's (future) portfolio

[twil]

I have been following my plan of 1k monthly investments(i don't have much for bills yet ) until I get to about 13-15 holdings.

Yes it is "boring" but I am fine with that, because I know it will get me somewhere in 30-40 years. Currently it does feel like I'm getting nowhere compared to that hotstreak TSLA had when I owned it. But, I have an Eng. degree and know the wonders of compounding. Also, comparing my portfolio to my good friend, who lost ~40k this last week due to the small cap "hot" stocks, I'm happy

Now to my question. I've been looking at XOM/CVX for my next purchase since oil is down as of late. Would that be to much exposure for my young portfolio in oil?

Any suggestions on the next purchase?

I'm currently watching: VZ, SBUX, MO, WAG, XOM, CVX, AFL, MMM, DE

I would like to eventually own them all.

[EricL]

(10-23-2014, 08:33 AM)twil Wrote: Now to my question. I've been looking at XOM/CVX for my next purchase since oil is down as of late. Would that be to much exposure for my young portfolio in oil?

In my opinion, you will be building and adding to this portfolio over many years, so as you do there will be different sectors that rise and fall with the world economy. If a sector is giving you a sale on a stock and you like the company, I wouldn't be concerned about being too exposed at this point.

You will have another $1000 next month, and the next month, and the next month...you will add diversification as you go. If interest rates take a jump and utility and REIT stocks go on sale you can overweight them for a period. If we have a tough winter and consumer stocks go on sale you can pick them up cheap and overweight them for a period.

If you were retiring tomorrow and needed the dividend income to live off of, my answer might be different, but with new money coming in monthly and many more purchases ahead of you, buy what deals the market is giving you now and worry about diversification later.

[Dividend Watcher]

Ditto.

Nicely said, Eric.

[twil]

Cheers! Thank you for the advice.

[Kerim]

(10-23-2014, 09:24 AM)EricL Wrote: In my opinion, you will be building and adding to this portfolio over many years, so as you do there will be different sectors that rise and fall with the world economy. If a sector is giving you a sale on a stock and you like the company, I wouldn't be concerned about being too exposed at this point.

..... with new money coming in monthly and many more purchases ahead of you, buy what deals the market is giving you now and worry about diversification later.

This! Could not agree more.

[twil]

I read somewhere that the market is usually the lowest on monday, is that true?

[rapidacid]

[Be Here Now]

(10-23-2014, 02:10 PM)Kerim Wrote:

(10-23-2014, 09:24 AM)EricL Wrote: In my opinion, you will be building and adding to this portfolio over many years, so as you do there will be different sectors that rise and fall with the world economy. If a sector is giving you a sale on a stock and you like the company, I wouldn't be concerned about being too exposed at this point.

..... with new money coming in monthly and many more purchases ahead of you, buy what deals the market is giving you now and worry about diversification later.

This! Could not agree more.

Excellent advice. You never know when Mr Market is going to offer a bargain or what that bargain might be. However, you don't want to be without a written plan that includes the criteria you will use to identify bargains. With a plan, you will not be forced to make spur of the moment decisions that might not be well thought out or that you might not stick with. This is one more reason to write that plan, if you have not already done so.

[twil]

I went with SBUX as my most recent purchase. I really like how they sell a product that is seen as healthy and at the same time addictive. I was reading some articles and the future seems pretty good for them.

Saving for the next purchase.

Question:

When should I start adding to my positions I already have vs adding new positions?
Buy when the stock price is on sale? Impossible to time.

[earthtodan]

Good purchase. I have limited exposure because I can't tell whether it's expensive, but I guess we'll see when they report on Thursday after the close.

[EricL]

I like the SBUX purchase as well, great company.

I own a small position and have been waiting patiently for the price to come in a bit before I add to it. I think its a great idea to start a stake now and then keep your eyes on it and add opportunistically when it falls back into fair value in the future.

[twil]

Time for monthly investment. I wish I had the funds a week ago to get into the big oil dip oh well there will be others.

Now it's time to start researching.

I will edit my first post when I finally reach a decision.