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+--- Thread: Let's make a 5-6 stock portfolio! (/showthread.php?tid=1967)
RE: Let's make a 5-6 stock portfolio! - crimsonghost747 - 05-31-2021
Righty.
Had some very difficult moments deciding on the utility. I looked at those traditional utes and XEL looked ok but I'm not really feeling it at these prices. Surely not a bad buy here though in indeed would be much better at a slightly higher yield. ATCO from Canada (not the US "atco" ticker) has great yield, pretty limited growth but I would have been fine with that... but yeah tax issues come up so no Canadian ones.
Then I looked at different ETFs. Can't get XLU, and didn't really find anything else that would fit great.
Looked at water utilities... looked at all sorts of infra companies. There are a lot of good companies there but they are all overvalued.
Ended up deciding on NSC for the "ute/infra" slot of this portfolio. Expensive? Sure. But with inflation creeping up, the economy getting ready to run on full steam etc I think they will do well for years to come. 10% div increases are probably guaranteed for the next few years at least. I might not go with NSC for a shorter term trade since it is super expensive but I'm guessing that I'm looking at an investment horizon between 20 and 40 years for this portfolio so it might be worth it to pay a bit extra for quality.
RE: Let's make a 5-6 stock portfolio! - crimsonghost747 - 05-31-2021
So the initial portfolio is now complete.
JNJ
LHX
TMO
UI
PEP
NSC
S&P500 ETF
Aiming for more or less equal weight, so for the next few months it'll be just be investing into the company/companies with the lowest weight in the portfolio.
RE: Let's make a 5-6 stock portfolio! - fenders53 - 06-01-2021
Looks like a solid port to me. For a longiterm horizon quality is never wrong for a friend's port, if for no other reason than you don't need to babysit it when you need a break.
RE: Let's make a 5-6 stock portfolio! - crimsonghost747 - 06-01-2021
Yeah solid is what I was going for. TMO seems to be the only one performing badly... so I'm kinda glad that it's the only one in there that I didn't pick.
RE: Let's make a 5-6 stock portfolio! - rayray - 06-05-2021
might sound redundant because of the same old same old over the years...but the kid is 30 or younger here's my 5
amazon
microsoft
apple
these companies are not going anywhere and they've come into their own
i would see no issue with making these foundation stocks to build a long term portfolio, and i'd start off with amazon and facebook especially being in and around 30
RE: Let's make a 5-6 stock portfolio! - ken-do-nim - 06-06-2021
(06-05-2021, 06:20 PM)rayray Wrote: might sound redundant because of the same old same old over the years...but the kid is 30 or younger here's my 5
amazon
microsoft
apple
these companies are not going anywhere and they've come into their own
i would see no issue with making these foundation stocks to build a long term portfolio, and i'd start off with amazon and facebook especially being in and around 30
Well that's basically the legendary "FAANGM" that you hear as an acronym. (Used to be FAANG but Microsoft joined the gang)
F - Facebook
A - Apple
A - Amazon
N - Netflix
G - Alphabet
M - Microsoft
RE: Let's make a 5-6 stock portfolio! - fenders53 - 06-06-2021
Likely great stocks long-term but they aren't anything like cheap and this is a new investor so I still vote for diversification. No sense getting them killed and turning them off on stocks. It's still wise even if they give up some short-term gains if tech runs.
RE: Let's make a 5-6 stock portfolio! - rayray - 06-08-2021
(06-06-2021, 12:33 PM)fenders53 Wrote: Likely great stocks long-term but they aren't anything like cheap and this is a new investor so I still vote for diversification. No sense getting them killed and turning them off on stocks. It's still wise even if they give up some short-term gains if tech runs.
yea, i understand but imho, amzn/fb/googl are decent buys even at these levels--especially to start a foundation of stocks
looking at it as adding little by little
pico y pico
RE: Let's make a 5-6 stock portfolio! - fenders53 - 06-08-2021
(06-08-2021, 09:33 AM)rayray Wrote:No diversification, shame on you Ray!(06-06-2021, 12:33 PM)fenders53 Wrote: Likely great stocks long-term but they aren't anything like cheap and this is a new investor so I still vote for diversification. No sense getting them killed and turning them off on stocks. It's still wise even if they give up some short-term gains if tech runs.
yea, i understand but imho, amzn/fb/googl are decent buys even at these levels--especially to start a foundation of stocks
looking at it as adding little by little
pico y pico
RE: Let's make a 5-6 stock portfolio! - crimsonghost747 - 06-08-2021
(06-08-2021, 09:33 AM)rayray Wrote:(06-06-2021, 12:33 PM)fenders53 Wrote: Likely great stocks long-term but they aren't anything like cheap and this is a new investor so I still vote for diversification. No sense getting them killed and turning them off on stocks. It's still wise even if they give up some short-term gains if tech runs.
yea, i understand but imho, amzn/fb/googl are decent buys even at these levels--especially to start a foundation of stocks
looking at it as adding little by little
pico y pico
is something I'll never participate in. It's just not a sustainable business model. Interest is already dying down, instead of facebook being about the people (which is what attracted the people there in the first place) it's now about corporations, news (whether real or false) etc. It has lost it's touch, and it won't be long until it loses it's users.
This is not even talking about the ridiculous amount of advertising and the terrible record when it comes to managing and selling user data.
In 20 years people won't even remember facebook. Just like they don't remember myspace now. They are trying to expand (whatsapp, instagram etc) but they certainly can't compete on the software side, so now it's all about seeing if they can win over the users by advertising enough.
Amzn and googl
are both companies that will probably do fine in the long run. I do think they are "too big" and too expensive but they certainly have their fingers in a lot of very promising new technologies. They won't fit in this portfolio just yet (dividend is a must) but I'll definitely keep them in mind for when there is some space for non-div payers.
MSFT
is also what I originally planned for this portfolio. But the choice was to go for more aggressive so UI it is.
So far so good, UI currently up 12.51% from time of purchase, MSFT would have been -3.56%. But we all know which is the safe one and which can crash and burn any moment.
RE: Let's make a 5-6 stock portfolio! - rayray - 06-12-2021
(06-08-2021, 09:51 AM)fenders53 Wrote:(06-08-2021, 09:33 AM)rayray Wrote:No diversification, shame on you Ray!(06-06-2021, 12:33 PM)fenders53 Wrote: Likely great stocks long-term but they aren't anything like cheap and this is a new investor so I still vote for diversification. No sense getting them killed and turning them off on stocks. It's still wise even if they give up some short-term gains if tech runs.
yea, i understand but imho, amzn/fb/googl are decent buys even at these levels--especially to start a foundation of stocks
looking at it as adding little by little
pico y pico
Fenders--HAHA--you're right!!
APPL
AMAT
ABBV
MGA
TD
AMT
or
AMZN
BABA
PLTR
SOFI
TTD
TDOC
i know...dividends vs no dividends
i actually own positions in all except AMT and TTD
but for long term, imho, all will be winners
RE: Let's make a 5-6 stock portfolio! - fenders53 - 06-12-2021
(06-12-2021, 07:25 AM)rayray Wrote:I like most of those, but some are chapter two for a new investor you are trying to teach the concept of DGI. I wouldn't bet the whole farm on one strategy though. A full decade will come out of nowhere and make it feel like you don't know what you are doing. Just a couple extra % in AVG annual returns from a few growth stocks will make a lot of difference in your port balance in just 20 years.(06-08-2021, 09:51 AM)fenders53 Wrote:(06-08-2021, 09:33 AM)rayray Wrote:No diversification, shame on you Ray!(06-06-2021, 12:33 PM)fenders53 Wrote: Likely great stocks long-term but they aren't anything like cheap and this is a new investor so I still vote for diversification. No sense getting them killed and turning them off on stocks. It's still wise even if they give up some short-term gains if tech runs.
yea, i understand but imho, amzn/fb/googl are decent buys even at these levels--especially to start a foundation of stocks
looking at it as adding little by little
pico y pico
Fenders--HAHA--you're right!!
APPL
AMAT
ABBV
MGA
TD
AMT
or
AMZN
BABA
PLTR
SOFI
TTD
TDOC
i know...dividends vs no dividends
i actually own positions in all except AMT and TTD
but for long term, imho, all will be winners