Welcome April!

April is finally here, and I hope this longish, snowy, cold winter is finally ending.  I heard on the news that the Cherry blossom festival in Washington DC, did not have the cherry blossoms. They are blooming now.  I noticed on my walk yesterday the trees that are normally leafed out by now here locally are just starting to bud. The Pear trees are just about in full bloom, a few weeks late.  Better late than not at all!  I am afraid the pollen is going to be a problem this year. 

There are a few issues I wanted to blog about, but did not have the time to formulate my thoughts into writing.  Now its seems like too late to write those thoughts into a post.  Time to move on to other issues I think.

Investment update, the stock market was so so in the first quarter of the year.  Today we begin a new quarter and hope for better times.  Of course we cannot always expect the stock markets to be always positive. the bull will give way to the bear from time to time. Or there are bubbles in particular sectors.  I have completed a re-balance of my Roth portfolio, but the new stocks I want to add are expensive, so I will wait for those to moderate their price.  I have added some fixed income mutual funds that are no load, no transaction fee funds.  I did consider moving my Roth to another firm that charges less for trades. However, when you add the cost of transferring and other fees, it was not worth it, and would be a wash. 

401K, my employer is changing from one investment service provider to another. This is on top of a 2012 change in how they match my contribution, and the defined benefit they provide.  So I will need to evaluate how I am invested in light of what this new provider offers. Maybe it will have something better to offer. 

That is all to share for now.  Happy April!  Happy Spring! 


 

An Investment Plan

As I stated in the previous post, I want to share something about my investment plan.  Yes, its important to have a plan.  That way there is a direction to what one does.  This year, I have changed direction slightly.  I recalibrated my portfolio by selling positions (stocks held) I held in companies that have not and do not pay dividends.  I reallocated those funds and profits to strengthen positions I already have that pay dividends.  This year, I focused on stocks I want to have for a long term.  Now with the upturn in stock prices, it has been difficult for one like me to purchase the companies I want a price I can afford.  So its little by little, as funds are built up, I invest in a few shares.  Dividends can amount to enough to pay the stock fee or even a share of stock.

Now there is a cost to investing in individual stocks.  So I have a minimum number of shares I purchase.  When considering a sell the price must be enough to cover the fee plus profit. Otherwise its best to hold the stock. 

So for this new year, pending how the economy and markets fare, I am going to invest in mutual funds.  Two types of funds, an equity fund, and  bond or fixed income fund.  I do not have either in my Roth portfolio.  I have not picked the funds yet, but they will be No Load (no initiation fee) No Transaction fee funds.  Also the minimum investment has to be on the lower end to make it an affordable move.  So each pay period I plan on making deposits to my Roth account, and as the funds build make appropriate purchases. 

I also have an add on Certificate of Deposit at my Credit Union that is a long term saving, as well as a small emergency fund. 

I hope that when I get to retirement to have sources of income from Social Security, a small annuity I am vested in, then my 401K, Roth and then long term savings.

I hope these two posts have given you some food for thought about your saving plan.  You build it one deposit at a time. If its $10 or $100 a month, it adds up after a while.  I encourage you to explore your options!

ARE YOU INVESTED?

As we approach the end of 2013 and look to 2014, there are always articles, News pieces that give suggestions of what we should do and how to "prepare" for a new year. 

Well how does one do that?  Its not like we have a crystal ball and know what a new year will bring. No one can do that. They can look at trends and suggest where the trend might go. Sometimes that works!  This is especially true when it comes to saving and investing.  I am blessed to have a 401k type retirement plan at work.  I also have an add on CD at my Credit Union I am using as a long term fixed savings. Then there is my Roth IRA I have with a discount brokerage firm, which I usually make deposits to each pay period and as the cash grows I make investments according a plan. 

This year the stock market has grown significantly, all times highs actually, which is good for the economy and those investors who were able to cash in some profits.  However for someone like me an extremely small investor, not so much.  Higher stock prices makes it harder for me to buy shares I would like too.  Though I am a long term investor,  I buy and hold positions in companies for a long term.  Two years ago, I did buy two companies whose shares plummeted as a speculative move.  I was blessed that move paid off.  I held those positions for about a year and sold them at a profit for my ROTH. 

A mistake I made was not buying Netflix when it was at $58 at share.  I did not think the stock was going to do much.  Boy was I wrong, its sitting at over $300 a share!  Oh well that is what I mean, that no one knows what the future will be.. 

So I ask are you invested?  Do you have a saving account?  If not now is the time to do something about that. 

Stay tune for the next post. My investment plan.