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Strategies & Market Trends : Fundamental Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: bruwin who wrote (2341)	9/30/2012 11:47:39 AM
From: The Ox	Read Replies (2) \| Respond to of 4719

Sure. My idea may make it more complicated and I really do not want to make a large amount of additional work for anyone!! (a small amount, no biggie-right?) In your total line, sum each company's 'total of # shares X dividends paid'. At this time the total would be: $134.63 CMI 48 x .5 = $24 GLW 417 x .075 = $31.27 JOY 89 x .175 = 15.57 PH 59 x.41 = 24.19 SLW 156 x .10 = 15.60 UNP 40 x .60 = 24.00 Not sure how you would want to represent this in the table. You could add a column to show the total dividend for each company. You could also create a separate "cash" column that would be reduced if purchases were made. The only question would be how to handle new purchases in the table? I think the best idea is just to create a separate line for the new purchase, which would then be analyzed on it's own merits. Let's say a stock hit's our target level, down 20%, we would then trigger a buy. Say CMI gets to $82.55 (down 20% from our purchase price), we automatically trigger a buy of one share based on our current cash level. In this case we would use slightly more than our 50% cash level to purchase a whole share. If there isn't enough cash to buy a share, then we don't... no big deal. A new CMI line would be entered into the table, just like it was a separate stock, under the current CMI line, to reflect the new cost and # of shares. This would also be done upon our yearly review process, assuming we decided to buy more stock in one of our current holdings. So the question is, do we set a downside level that triggers an automatic purchase? If so, at what point down 20%, 30%? Not sure how others view this? Again...these are just thoughts....please do not take this as pressure to change what we are doing!!!