O-K, O-K....
Maybe my "Eggs and Basket' metaphor was taken too literally. My approach is to think about my eggs as being in a basket; but each egg is an individual. If one falls out of the basket and breaks, the other don't jump out too!
I was only trying to illustrate how I use one common cash reserve for all (now 7) issues in my AIM basket. I still keep a separate Newport holding on each one, dividing the cash by 7, and moving on from there.
If I need cash in one, I'll 'borrow' from another. Newport's total return calculation is only value/$ invested anyway right? So if you add or subtract cash at anytime, it immediately changes the return %.
I will try to calc the 'baskets' total, annualized, FIFO, LIFO and whatever other kind of return I can think of, but it's still just how many more $ you have now than when you started, right?
Maybe I'll try this old idea I had......instead of calc'ing return rates ad infinitum, I take the $ gain divided by the # of days invested and think of it as my daily salary. Multiply that value by 365 and it's my annual income. I can relate to $. There's an old 'rule' in the retail business.....When a buyer tells you that their margin rate is 3 points higher than last year (but their sales are down 50%), your response is...."We don't pay the bills with percentage points".
I'm rambling aren't I.
Regards: Fuzzy in Fredricksburg |
