May I introduce myself to the thread:
I'm a long time Gorilla Gamer, Mike, and the great thing about gorillas, is you don't have to be right on the purchase timing to make a fortune. You know this, I'm preaching to the choir!
Let me start off my first post on SI with a little bit of my investing history, just so you you can get to 'know' me a little. I've been lurking on SI for a couple of years and I've just recently joined and decided to post. I used to participate on the original Gorilla Game e-mail forum that Moore created after the publication of the first edition of TFM. I stumbled onto this thread in March of 1999, and followed along on the first 10,000 posts or so. (I believe it was a post on the DELL thread by Uncle Franq that brought me here.)
A little about myself: One of my first speculative investments was to buy some Cray Research back in '75. Got in about 4 months after the IPO. I was in college then, and it was my first stock pick made entirely on my own. I held it about 8 years, then cashed in to buy my house. So, I have a long term buy and hold mentality. I was long stocks during October '87. Lost 25% of my net worth in a day. Ouch! But it came back.
A little less than 7 years ago, I started on another kind of investment program when my daughter was born. The rewards of this investment are indeed priceless! Naturally, I set up a stock investment plan for her. Initially, I bought Mutual Funds. After all, I didn't want to mess up her college education fund with my poor stock picking. But after a year, I realized that I really could, and should, do better for her. So I started investing in Gorillas. I didn't know they were gorillas, I hadn't read the book yet. But in January 1995, I bought 100 shares each in INTC, MSFT, and MOT. The INTC and MSFT, you know about. (MOT has been a disappointment.) The timing was perfect: It was the day that INTC said they would replace all the defective Pentium chips that didn't divide right. That told me that INTC would 'do the right thing', so I bought. That $6000 investment is now worth $112,000. That's an example of nearly perfect timing. (MSFT hasn't been exactly shabby, either!)
Forward a couple of years. CSCO. I bought 100 shares on January 28, 1997. In two months, it was down 50%. There's genius for you! How many people could lose 50% in CSCO!?! The only good thing I can say is that I didn't sell. That $6000 purchase is now worth $61,000. Would I have done better to wait for a couple of months before buying in? Sure! Could I have known? Nope.
The lesson I learned, was the power of the Gorillas. My little girl is set for life. Since I rarely sell anything in her portfolio, it grows tax free. (A year ago, I did sell Gillette and bought QCOM!) Every year I add 4 new stocks. Gorillas, kings, or candidates, mostly. This year I added NTAP, JDSU, BRCM, and PMCS.
For myself, I hold stock in Gorillas and Kings, and I trade with a few others. I hold LEAPS on MSFT, CSCO, QCOM, and will sell the occasional put for a little income. The only problem I have with Gorilla Game investing is it's so boring! But profitable!
Mike, I have to thank you and Uncle Frank for your efforts over the past year and a half keeping this thread focused. I have followed the fortunes of Lindy Bill with awe, shock, admiration, jealousy, and humor! Lindy, I'm glad you made it big, and I'm glad you're now diversified! That 'all on one stock' stuff reminded me of Dellhead mentality. There are many other valued members of the thread, and I know I speak for many that this is the best investment thread on the 'net.
By the way, I was discussing my accounts with my Merrill Lynch broker, and he told me that I was 'subjecting my accounts to too much risk' because I was 85% in technology.
I told him to go RTHFM!
AdairM |
