Thread Rating:
  • 0 Vote(s) - 0 Average
  • 1
  • 2
  • 3
  • 4
  • 5
Best one to cite as an example?
#21
With AVGO the results are from 9/2009-1/2021

14.22 CAGR
-13.21 Drawdown

W/O AVGO same time frame
11.95 CAGR
-12.58 Drawdown

SPY same time frame
14.66 CAGR
-19.43 Drawdown
Reply
#22
Ken

On another note you have commented you dont understand my conservative options strategy which isn't complicated. You hold a number of leveraged ETFs. The reality is you are blindly playing options. It's all good when you are winning. If the SOXX holdings go completely sideways for a year you are even plus dividends. Just wait if out. SOXL is 3X leveraged and constantly buying those simple options you don't understand. They expire worthless every week and sideways is a loss. No crash required. The capital just bleeds away. Most leveraged ETFS just go away eventually. I believe SOXL will do fine for awhile. Don't be afraid to take profits along the way.
Reply
#23
That makes a lot of sense. Yes, I've read that the market needs to be +5% for leveraged funds to break even. I will have to figure out when to take profits.

Back to the thread's main topic, "Best one to cite as an example", I believe there are two categories. The first is "Best one to cite as an example of dividend growth stock", which I claim used to be JNJ and is now AVGO. The second is "Best one to cite as an example of a vast improvement over bank interest yet with a relatively stable price." That I *think* is AT&T, which seems to have stabilized at $29/share and pays that sweet 7% dividend. Sure I love NLY with its 10% yield, and it has been inching higher ever since the March 2020 drop, but I can't say I would be confident in putting large amounts of money into it.
Reply
#24
The high div game is even more tricky. When you get bored practice punching T, MO and NYL into portfolio analyzer and check out total return. Pick some assorted periods like 1yr 3yr 5yr 10 yr. Stabilized for a couple months in a strong bull market doesn't offer too much assurance. It doesn't matter if you are willing to close your eyes and hold, and not worry that that you gave up more than all of the dividends back on paper this year.

I do own T and MO. I'm real careful when I add and sell covered calls when it runs a few bucks for extra income.
Reply




Users browsing this thread: 1 Guest(s)