Comments on: My Dumbest Investment http://www.canadiancapitalist.com/my-dumbest-investment/ Helping you invest and prosper Sat, 11 Feb 2012 19:27:54 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Canadian Capitalist http://www.canadiancapitalist.com/my-dumbest-investment/#comment-242409 Canadian Capitalist Thu, 12 Aug 2010 17:36:37 +0000 http://www.canadiancapitalist.com/?p=118#comment-242409 @Geoff: That's a tough question. On one hand, it is not that large a sum in the sense that a wipe out would ruin you. On the other hand, 50% of a portfolio allocated to one stock may be a tad on the high side. One option for you might be to own the sector instead. Let's say I work for Royal Bank. I would swap RY stock for XFN or something similar. You get a comparable yield and at least it is more diversified. Just my two cents... Personally, I hold no employer stock. I sell ESPP shares right away and I cash in options as soon as they are somewhat in the money. @Geoff: That’s a tough question. On one hand, it is not that large a sum in the sense that a wipe out would ruin you. On the other hand, 50% of a portfolio allocated to one stock may be a tad on the high side. One option for you might be to own the sector instead. Let’s say I work for Royal Bank. I would swap RY stock for XFN or something similar. You get a comparable yield and at least it is more diversified. Just my two cents…

Personally, I hold no employer stock. I sell ESPP shares right away and I cash in options as soon as they are somewhat in the money.

]]> By: Geoff http://www.canadiancapitalist.com/my-dumbest-investment/#comment-242363 Geoff Thu, 12 Aug 2010 14:51:14 +0000 http://www.canadiancapitalist.com/?p=118#comment-242363 I have employee stock in a major Canadian bank (big five). It's only $20000 but still represents about 50% of my total investments. Should I consider selling it? I'm digging the dividend payments.... I have employee stock in a major Canadian bank (big five). It’s only $20000 but still represents about 50% of my total investments. Should I consider selling it? I’m digging the dividend payments….

]]> By: Wm.Hall http://www.canadiancapitalist.com/my-dumbest-investment/#comment-205098 Wm.Hall Thu, 26 Nov 2009 18:43:11 +0000 http://www.canadiancapitalist.com/?p=118#comment-205098 Set a limit on profits also be sure to have a limit on losses ie. trailing stop loss. Set a limit on profits also be sure to have a limit on losses ie. trailing stop loss.

]]> By: Top Three Investing Mistakes http://www.canadiancapitalist.com/my-dumbest-investment/#comment-127536 Top Three Investing Mistakes Mon, 14 Apr 2008 03:17:52 +0000 http://www.canadiancapitalist.com/?p=118#comment-127536 [...] share of mistakes and have frequently blogged about them. Regular readers know of blunders such as having too much tied up in employer stock or buying into labour-sponsored funds for the “tax savings”. Still, it wasn’t [...] [...] share of mistakes and have frequently blogged about them. Regular readers know of blunders such as having too much tied up in employer stock or buying into labour-sponsored funds for the “tax savings”. Still, it wasn’t [...]

]]> By: Big Cajun Man http://www.canadiancapitalist.com/my-dumbest-investment/#comment-34 Big Cajun Man Wed, 30 Nov -0001 00:00:00 +0000 http://www.canadiancapitalist.com/?p=118#comment-34 Amen brother, potential is great if you are an <B>ELECTRON</B> but that is about it. If your options are worth ANYTHING, SELL! A bird in the hand "shat in my corn flakes", as we say at the former largest High Tech Company in Ottawa Amen brother, potential is great if you are an ELECTRON but that is about it. If your options are worth ANYTHING, SELL! A bird in the hand “shat in my corn flakes”, as we say at the former largest High Tech Company in Ottawa

]]> By: Canadian Capitalist http://www.canadiancapitalist.com/my-dumbest-investment/#comment-35 Canadian Capitalist Wed, 30 Nov -0001 00:00:00 +0000 http://www.canadiancapitalist.com/?p=118#comment-35 Thanks for stopping by. Well, I've learnt my lesson. Fool me once...<BR/><BR/>Cheers! Thanks for stopping by. Well, I’ve learnt my lesson. Fool me once…

Cheers!

]]> By: Caitlin http://www.canadiancapitalist.com/my-dumbest-investment/#comment-36 Caitlin Wed, 30 Nov -0001 00:00:00 +0000 http://www.canadiancapitalist.com/?p=118#comment-36 boy does this sound familiar! My first tech job after getting my graduate degree did an IPO. This wasn't a "hot internet" co, so the scale was smaller...but when some options vested, I cashed in a chunk but left the rest as options in an attempt to be a "fiscally responsible adult".<BR/><BR/>Why I didn't think that cashing them all in and investing them in a more stable and accessible way would also fit that criteria escapes me to this day ;)<BR/><BR/>The hook at my company is that they took so long to do (some would say a little cooking took place) the books that the non-blackout period for selling was usually the last THREE weeks of each QUARTER. UGH.<BR/><BR/>So a lot of folks (me included) would hold and wait for the rare convergence of a "good" price and non-blackout period.<BR/><BR/>By the time I left...most of my options were under water. I didnt have faith in the leadership to make the rest of them worth anything in the future so I left them.<BR/><BR/>but I left them to join a company that did have onsite massages ;) (15 mins in the chair during high stress times...it was a nice perk and didnt cost the company much. THOSE were good times) boy does this sound familiar! My first tech job after getting my graduate degree did an IPO. This wasn’t a “hot internet” co, so the scale was smaller…but when some options vested, I cashed in a chunk but left the rest as options in an attempt to be a “fiscally responsible adult”.

Why I didn’t think that cashing them all in and investing them in a more stable and accessible way would also fit that criteria escapes me to this day ;)

The hook at my company is that they took so long to do (some would say a little cooking took place) the books that the non-blackout period for selling was usually the last THREE weeks of each QUARTER. UGH.

So a lot of folks (me included) would hold and wait for the rare convergence of a “good” price and non-blackout period.

By the time I left…most of my options were under water. I didnt have faith in the leadership to make the rest of them worth anything in the future so I left them.

but I left them to join a company that did have onsite massages ;) (15 mins in the chair during high stress times…it was a nice perk and didnt cost the company much. THOSE were good times)

]]>