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Tuesday, August 16, 2011

My non-registered portfolio closing August 15 session at 110 429$

Finally, the first day of the week is officially OVER. I had been quite busy. I withdraw 2 000$ from my margin account. I used a bit less than 200$ from that money to pay my bills and eventually by next month, I will be making a 200$ on my margin account. And this left a bit more than 1 800$ on my RBC credit line. I was happy to make this payment. My credit line at RBC is at more than 7%, while my margin account is at 4.25%. If the stock market remains stable, I could see myself doing another transfer of 1 000$, but I wouldn’t go deeper for now.

The data on date of August 15 for my non-registered portfolio are very good:

Non-registered portfolio value: 110 429$
Money used on margin: 42 861.79$
Money left on margin: 18 581.30$

In case something happens on the stock market, I have closed to 8k that I can bring in on my margin. So I guess for now I will fine, but eventually, I will need to seek for another credit line or a credit line increase to protect the whole margin. I would need a good 20k credit line increase to protect my asset to be sale in case of a third stock market crash. The stock market crash some time to time, it’s something I am now getting better to understand but it each time it crash, it’s always difficult to believe it will eventually go up again. But it always does.

Following Rob comment in previous post, I am thinking of selling half of my holding in First Majestic Silver Corp (FR) and reinvested that half into Kinross Gold Corp (K)... That could be something interesting to do. K will be paying a little dividend in September... :0)


Anonymous said...


There's no need to transfer money from your line of credit to your margin account unless you get a margin call. You have a 20K buffer right now, which is quite substantial. I would believe a 2000 pts crash will need to happen to start getting a margin call. If I were you, pay off the margin account instead of investing more if this worries you so much at that point. You should sell some of your investments that is currently making money so that you no longer have margin against you. Then, what you should do, is to invest with cash and not borrowed funds.

It's up to you, your money your problem about what to do with it. I am giving you advice and from what I can tell from other posters you don't take advice too well. Just better watch out.

Intelligentinvesting said...

Benjamin Graham wrote : «investment is most intelligent when it is most businesslike»

Think about those words.

Sunny said...

Hi there,

It's not that I am not taking advices. I only take what seem to be right to me. And so far once of the best advice I got here came from Susan - where she advices me to get a credit line in order to be more secured in case of a very bad market situation. I am taking that advice in consideration.

Looking day after day at my margin situation is the right thing to do. Need to be prepare to the worst.

Sell some of my investment? NEVER... If not just that TMX Group (X). I will be cashing a 50$ per stock if the Maple Group deal goes through. I don't want to hold any Maple Group shares, that's all bullshit to me. It's about the only one i want to sell and maybe FR, went it will hit big.

Borrowed money or cash, it's all mine. Your point of view is not exactly welcome here, as you know. I want to receive comments that satisfy my ego, and your not doing have that effect on me right now. Go manage your own business and just watch me fail or succeed.

Rob said...

I actually made that move today regarding Kinross. I've been frustrated with Barrick buying a copper miner which I didn't think was a good move. I used to own Kinross a couple years back and now I'm buying again. They've had time to swallow Red Back and they could be ready for a big move. Lets hope for both you and me. Kinross in, Barrick out.


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