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Old 09-26-2020, 01:11 PM   #1216
dagle
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I was sitting in a patio in Campbell for dinner and overhead the convo on the next table.

A group of 30-somethings were discussing investment strategies. One guy was saying that his Charles Schwab advisor told him to do options trading because it's the safest way to buy stock, since you don't have to actually buy it if the price goes the wrong way.

When I hear conversations like this, I'm pretty sure we are in a bubble.
can i play devil's advocate and maybe suggest that he left out the context? it could be the safest investment vehicle to reach this guy's desired goal(s) on his desired timeline given his investment budget.

in the perfect storm, he's poor, with no savings, wanting to be a millionaire in a short amount of time and his charles schwab guy showed him the only path possible, high risk options parlay with russian roulette at the end.
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Old 09-26-2020, 02:52 PM   #1217
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i doubt that the story is true. schwab has a good reputation.
a fiduciary would never recommend that.
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Old 09-26-2020, 07:28 PM   #1218
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When I hear conversations like this, I'm pretty sure we are in a bubble.

youtu.be/xZTFNizSNGs
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Old 09-26-2020, 07:48 PM   #1219
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Sorry for monster pics









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Old 09-26-2020, 08:17 PM   #1220
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i doubt that the story is true. schwab has a good reputation.
a fiduciary would never recommend that.
Exactly. Especially since it's the best way to lose all your money.

I think a lot of people there days seem to think that option trading is some sort of lossless magic strategy, when it's the complete opposite.
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Old 09-29-2020, 02:03 PM   #1221
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Disney is laying off 28,000 employees. dam
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Old 09-29-2020, 02:13 PM   #1222
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Couldn’t you tell Disney is hurting because of the Pandemic, no one likes their garbage movies, no one subscribed to their channel, and no one going to their parks? I hope it goes back down below 100.
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Old 09-29-2020, 02:15 PM   #1223
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Sorry for monster pics








Aren’t these pictures made by the fund managers though? So there’s also impulsivity bias?
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Old 09-29-2020, 05:04 PM   #1224
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Aren’t these pictures made by the fund managers though? So there’s also impulsivity bias?
You will get similar if not the same advice from very savvy and experienced investors who have no skin in the game.
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Old 10-07-2020, 10:42 AM   #1225
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What do you folks like for relatively safe dividends with good price/return ratios? Here are some I was looking at with dollars spent purchasing one share today relative to dollars received in dividends over the last two years.

ADX: $16.42/$3.35 (4.9:1)
VDIGX: $31.18/$3.35 (9.3:1)
SCHD: $57.29/$3.56 (16.1:1)
SPY: $339.43/$11.17 (30.4:1)
AMT: $242.28/$7.94 (30.5:1)
VTI: $174.19/$5.61 (31:1)
VOO: $312.84/$10.78 (39.4:1)

Making $850/mo for every 100k on ADX sounds pretty sweet...

Adding Pete's list. Again, over two years..

F: $7.23/$1.05 (6.9:1)
NVS: $85.94/$5.61 (15.3:1)
MCD: $226.48/$9.64 (23.5:1)
INTC: $52.67/$2.55 (20.7:1)
DUK: $91.30/$7.53 (12.2:1)
PEAK: $28.34/$2.96 (9.6:1)
BEP: $53.11/$3.44 (15.4:1)
JNJ: $147.88/$7.62 (19.4:1)
DFS: $63.72/$3.40 (18.7:1)
T: $28.80/$4.10 (7.0:1)
ABBV: $87.07/$9.85 (8.8:1)
BTI: $35.48/$5.42 (6.5:1)
ET: $5.49/$2.44 (2.25:1)
MED: $164.49/$7.52 (21.9:1)
BMY: $60.42/$3.44 (17.6:1)

CPB: $48.25/$3.15 (15.3:1)
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Last edited by byke; 10-07-2020 at 06:12 PM..
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Old 10-07-2020, 11:10 AM   #1226
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Originally Posted by byke View Post
What do you folks like for relatively safe dividends with good price/return ratios? Here are some I was looking at with dollars spent purchasing one share today relative to dollars received in dividends over the last two years.

ADX: $16.42/$3.35 (4.9:1)
VDIGX: $31.18/$3.35 (9.3:1)
SCHD: $57.29/$3.56 (16.1:1)
SPY: $339.43/$11.17 (30.4:1)
AMT: $242.28/$7.94 (30.5:1)
VTI: $174.19/$5.61 (31:1)
VOO: $312.84/$10.78 (39.4:1)

Making $850/mo for every 100k on ADX sounds pretty sweet...
Dividend stocks I've seen recommended over the last year or so:

F:
NVS:
MCD:
INTC:
DUK:
PEAK:
BEP:
JNJ:
DFS:
T:
ABBV:
BTI:
ET:
MED:
BMY:
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Old 10-07-2020, 11:25 AM   #1227
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Originally Posted by byke View Post
What do you folks like for relatively safe dividends with good price/return ratios? Here are some I was looking at with dollars spent purchasing one share today relative to dollars received in dividends over the last two years.

ADX: $16.42/$3.35 (4.9:1)
VDIGX: $31.18/$3.35 (9.3:1)
SCHD: $57.29/$3.56 (16.1:1)
SPY: $339.43/$11.17 (30.4:1)
AMT: $242.28/$7.94 (30.5:1)
VTI: $174.19/$5.61 (31:1)
VOO: $312.84/$10.78 (39.4:1)

Making $850/mo for every 100k on ADX sounds pretty sweet...

Re: ADX, too bad I didn't buy that dip at the end of March. Aah, hindsight.....
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Old 10-07-2020, 11:47 AM   #1228
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Originally Posted by byke View Post
What do you folks like for relatively safe dividends with good price/return ratios? Here are some I was looking at with dollars spent purchasing one share today relative to dollars received in dividends over the last two years.

ADX: $16.42/$3.35 (4.9:1)
VDIGX: $31.18/$3.35 (9.3:1)
SCHD: $57.29/$3.56 (16.1:1)
SPY: $339.43/$11.17 (30.4:1)
AMT: $242.28/$7.94 (30.5:1)
VTI: $174.19/$5.61 (31:1)
VOO: $312.84/$10.78 (39.4:1)

Making $850/mo for every 100k on ADX sounds pretty sweet...
ADX is an interesting purchase, I've held it off and on for years. Also the oldest fund in America.

It has upsides and downsides. It has a stipulated purpose of high return dividends, which are sometimes met by selling appreciated shares. It's more market sensitive than many funds. It's also selling at a nice discount. Right now a bit rich for my blood, but who knows, this may be the low point, lol.

Like I said, owned it off and on for many years and never regretted. Remember that you are buying into the December dividend, typically they will have four small dividends and one December large dividend to meet their goals. That also reduces the price by the dividend amount, which means you will see the NAV go down a couple bucks when the dividend issues. Every year this happens. Just something to remember, the dividends are small all year until December. And you won't see much growth, at all. It's strictly dividend CEF. What does that mean? The fund started at $10 a share in 1929, reached a high of $30 in 2000, and currently is selling for $16.50. On the other hand, the dollar in 1929 was worth $15.19 of today's, so there's a pretty good indication that ADX is not going to gain in share price, but be of value for dividend.

PS: Don't be fooled by ADX. That dividend return is not happening every year. The company stipulates that they will return 6% yearly minimum and often return more. But that's more like $500 a month, not $800.
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Last edited by afm199; 10-07-2020 at 01:16 PM..
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Old 10-07-2020, 12:33 PM   #1229
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I have a chunk in VDIGX, in it for the long term.
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Old 10-07-2020, 02:28 PM   #1230
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CPB has a 2.88% dividend yield, and the price is right. I'd buy it if I hadn't already.

INTC is at 2.57% and still well below its historical price trend. Got that one too.
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