In the darkness, there’s still hope... I think the past 2 days have been an illustration of that. Holding was the right thing to do. What wasn’t right to do however, according to Derek Foster, was to borrow to invest. Yesterday, the TSX gains point like crazy and Derek Foster has the very good idea to come with a brand new newsletter and I was happy of those 2 combination that I wrote Derek Foster a little email to say hello (because I never did before) and to say that the stuff was working well for me. I also told him I had a margin and that oh, unfortunately I had borrowed to invest. And he’s the answer I got from the master (not to say MONSTER lol...):
“Margin borrowing and other credit scares me...you might consider paying down you debt for increased safety...just my thinking...derek”
I thank him kindly of his answer, of course.
If I expose his answer here it’s just to show that you know, with Derek Foster, you’ll get the best investment ideas and the best advices. My margin and debt situation are not the safest heaven that’s true and I should definitively start to slow down and pay off my debt.
I think this show the willingness of Derek Foster to teach how to build health, but from our own hard worked money and that’s very good and I totally agree. I am not in great danger at this time, but the TSX could loss more points. Remember that guy that say the TSX could go lower and reached the 9 000 points? Well, it could happen, everything is possible.
But my problem being I don’t think we’ll be hitting on the 9 000 points anytime soon. I think things will get better. The Fed, governments, everyone out there will do whatever can be done to save us from a recession and I truly believe will go through this.
But once again, my debt situation is not healthy. I understand the risk associate to it.
At this time, the market is full of possibilities. This is my time to invest in TransCana Corporation (TRP) like I wanted for quite a long time now. This is my time. Ok, I know, the amount invested is just 1 000$, but I am getting overexcited here and if I don’t invest in TRP tomorrow, I will be very sad.
That my debt and margin account turn into a complete nightmare – I have doubt about that. However, Derek Foster is right, I should pay off my debt. It’s a good real advice for the little bummer that I am. Imagine the girl, working at night to follow the stock market during day time, this absolutely BUMMER super sexy.
Thank you Derek Foster, thank you very much :0)
Ok, this being said, EnerCare Inc. (ECI) is making a HUGE come back!!!! Back in the days, when ECI was trading under a different, ECI was a Derek Foster stock. ECI was well ranked by the one and only Jean-François Tardif. Back in the days, ECI was hot. And after, Dividend Ninja came and said ECI was holding too much debt. Anyhow, do I really know any of it? No.
BUT... I decided to sell my ECI stocks in order to invest in the Sprott Physical Silver Trust UTS (PHS.U). See, at the time, it was the silver mania. Silver was hot and Eric Sprott as well. I made money out of silver, and my PHS.U still continue to perform well, even following the silver crash. The only problem being that PHS.U grow in value, but pay 0$ in dividend. However, I do not regret my move. Holding and trading PHS.U had been quite fun. At least so far. At this time, I do not trade actively silver. I am sticking and holding PHS.U inside my TFSA.
This being said, I may consider buying back some EnerCare Inc. (ECI) stocks back again. Why? Because it’s a stock I know, Jean-François Tardif grades this stock well (long time ago but still) and the experts at TD like the stock.
For the next couple of months, I want to add some stocks CNR and ECI to my portfolio. At more than 8% in dividend yield, ECI is HOT. And CNR? Well, watch it grow, if not explode in value in the next couple of months. It’s going to be FANTASTIC. Check it out in
here.
So there’s absolutely no way I am about to pay off debt any time soon but I am aware the advice is good and coming from a big heart.
My non-registered portfolio is now at 105 910.18$ and tomorrow, I will boost the TSX of one more 1 000$.