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

To: Jurgis Bekepuris who wrote (56010)	9/7/2015 7:18:57 PM
From: E_K_S	2 Recommendations Recommended By Jurgis Bekepuris Mr.Peabody Read Replies (2) \| Respond to of 78628

Hi Jurgis - I noticed a lot of changes to your portfolio and wondered generally what your basis is for a 'Sell'. Is it because the value proposition is no longer valid and/or something has changed in your original Buy premise and/or switching out of a 'sour' sector to one that is better and/or gave up on the stock in favor of something better and/or the stock price hit a hard stop loss price? Also, what is your average holding period for a stock (and your portfolio turnover rate)? Paul had mentioned that he turns stocks over on average every 3 years (that may have changed since our last discussion). I find that I a generally will begin to peel off a few shares of a position after 3 years (36 months) and if it is in 'fair' value territory. I typically will sell when I am trying to build up my cash reserves and/or have found a better value proposition. I also will SELL part or the entire position to harvest a loss (to offset other capital gains). Losses come in two categories for me: (1) close out the entire position because of a company specific problem and/or I was wrong in my original valuation proposition or (2) sell my high cost shares and look to re-enter that portion of the position in 31 days reducing my avg cost basis and maintaining my portfolio position weighting. I make several buys over several months when establishing a new position so my average cost basis can vary from the current market stock price (sometimes as much as 25%). If I still find the stock attractive (based on my original value proposition), I will usually add shares every 5% lower (3 adds max). For me, there is a lot that goes into making a SELL and I have developed my current strategy after years of portfolio re-balancing and trying to let my winners run and selling my losers when they just do not perform. With my current portfolio management system, my premise is to let my winners run and grow. I only sell if the value proposition has changed significantly. I tend to find I keep some 'value trap' positions too that may/could eventually realize full value (at least BV). It would be interesting to see what others do when looking to sell a position. EKS

To: Jurgis Bekepuris who wrote (56010)	9/9/2015 10:14:33 AM
From: Graham Osborn	Read Replies (1) \| Respond to of 78628

I was recently rereading Buffett's letters noting they prefer the BRKs to trade around book. Fundamentally I don't like having someone else manage my money (if Buffett was getting started now I don't think he'd own BRK), but if I were to buy it would be at book.

To: Jurgis Bekepuris who wrote (56010)	9/9/2015 2:39:35 PM
From: Paul Senior	Respond to of 78628

I'll follow you and open a position in MON. Monsanto's relatively (to itself) low p/e and low p/sales attract. Small dividend yield, but increasing dividend every year at least for past ten years. finance.yahoo.com

To: Jurgis Bekepuris who wrote (56010)	9/18/2015 2:54:43 PM
From: Paul Senior	Read Replies (1) \| Respond to of 78628

BRKB. I'll follow you with a small add to my few Berkshire shares now. Continuing to add to my starter Monsanto position.

To: Jurgis Bekepuris who wrote (56010)	10/4/2015 1:27:04 AM
From: Jurgis Bekepuris	1 Recommendation Recommended By Spekulatius Read Replies (1) \| Respond to of 78628

My top (>2%) positions in no particular order: FRFHF, JPM, BRKB, LMCA, GDWN.L, MKL, AAPL In: Out: TESB.BE - price drop Fixed income: 2% Cash: 22% Sectors (kinda): Insurance(FRFHF, BRK, MKL): 24%, Malone/media: 10%, Banks: 5%, Oil: 8%, Tech: 3%, Agri: 1%, Various owner-operators (not included in other categories): 15% New positions: DNR bond, Nanocap C, ROIQW Positions increased: PRDGF, DNR, FRFHF, NOV, BRKB, GENGF, LVNTA Positions reduced: Nanocap A Positions eliminated: Flip-flop: Not much exciting this month. Fixed income: Bought a small position in DNR bond. Oil & gas: Added more DNR, NOV, GENGF. At this point I think that DNR bond is more attractive than common. Adding good businesses at good prices: FRFHF and BRKB Added a bit of LVNTA to Malone basket. Adding lottery tickets: PRDGF, ROIQW