Shares or Funds - food for thought

shays_mum

Deemy, would pls repeat the 3 investment trusts you recommended? thanks

deemy2004

shays_mum wrote:

Deemy, would pls repeat the 3 investment trusts you recommended? thanks

I will update the thread in late december

My original target was 200 - 300% over 3 to 5 years... So far they have not done anything to suggest a change in expectations ... Have some new trusts that i will add for further investments in late Dec.

its just that I have been bearish ..... well okay skeptical of the market rally since the start of Nov so am not going to suggest buying in at this time.. a case of waiting and watching what it does, having liquidated 40% of my portfolio (individual stocks ) between 3-4 weeks ago. so plenty of cash waiting to go back in ... probably .... lots of lovely investment trusts to diversify yourself out of the UK

MSE_ForumTeam1

Just a quick reminder guys, no specific financial advice allowed I'm afraid. This is all fine at the moment but we are not able to allow advice on specific investments.

Regards

shays_mum

cool d, don't want to get you in any trouble

EdInvestor

deemy2004 wrote:

The problem is volatility... look at vodafone . one minute its 150 next its 130 !

Look at SPW - One minute its £5.80 next its £5.30 !

I used to think this might make me nervous before I started owning shares - and if you only had one or two companies, I imagine it could be a bit of a problem.

But I have about 25 shares and I find I've not really had much trouble getting used to the prices wobbling up and down.

While one share might go down quite a bit on one day, you usually find others will go up and balance it out.Also you have dividends coming in regularly, which provides a kind of safety net.

Small cap stocks are a bit of an exception - they can plunge dramatically in a short space of time, not for beginners. But FTSE100 shares normally don't go up or down by more than about 5% a day, and that much is unusual.Marconi was a very rare exception.I find my overall portfolio often goes up - or down - less than the index on a daily basis.

I think it's very useful ( and interesting) to get to know how "Mr Market" behaves: every now and again he gets totally over enthusiastic and goes roaring ahead, quite OTT - after a bit of this, you get to realise that a period of depression will soon set in, returning you to more or less where you were before.

"Manic depressive" might be quite a good description Periods of depressions are good times to go out on a buying expedition as you can pick up good shares cheap.

But it's not worrying when you get used to it I find. The secret seems to be safety in numbers - get say 10 shares if you can, diversification into different sectors (not all techs or utilities say ) and big is beautiful: don't buy risky small caps.

blinko

question to MSE if i was to post say my trading blog would that be ok as it would only encompass past events ?? thanks