What Would You Buy???

displaced dub

Hi All

Firstly thanks for all your advice recently and after thinking about it we have decided to open a Davy Online Account. This is the link to the previous discussion http://www.boards.ie/vbulletin/showthread.php?p=60822377#post60822377

Anyway we have lodged our €48,000 and are now looking for tips from the Gods in these forums... What do you think about splitting between AIB BOI and ILP??? or Elan, CRH and Ryanair?

Any advice is welcome even negative.

Thanks in advance

TheInquisitor

Kenmare resources maybe. High risk though

CRh aswell as a reasonably safe (compared to other shares)

Diversify Diversify Diversify

Time Magazine

displaced dub wrote: »

What do you think about splitting between AIB BOI and ILP??? or Elan, CRH and Ryanair?

TheInquisitor wrote: »

Diversify Diversify Diversify

Bingo. €48k is a large sum of money. Make sure you do a lot more research than looking at six of the biggest Irish countries companies before you risk your savings.

With 48k, assuming you're not for tracking any particular index, I'd be looking to diversify into at least 15 shares, not 3-6.

Idu

It's hard to make suggestions because you still haven't clearly stated what you are looking for from this investment. Are you looking for a long steady growth or to be actively trading on your account?

As above though diversification is key to any successful investment vehicle IMO. There's a whole world out there besides famous Irish companies. Don't be blinded by their low(in relation to times gone by)stock price. There is better value to be found elsewhere, unless you are looking to flip stock on a regular basis but thats very risky

pocketdooz

displaced dub wrote: »

Hi All

Firstly thanks for all your advice recently and after thinking about it we have decided to open a Davy Online Account. This is the link to the previous discussion http://www.boards.ie/vbulletin/showthread.php?p=60822377#post60822377

Anyway we have lodged our €48,000 and are now looking for tips from the Gods in these forums... What do you think about splitting between AIB BOI and ILP??? or Elan, CRH and Ryanair?

Any advice is welcome even negative.

Thanks in advance

This is a disaster waiting to happen.

In my opinion, (for what it's worth) do not go near AIB, BOI or ILP (not turning this into another God-foresaken bank thread - there are threads dedicated to these dogs already). Elan is the most volatile medium or large cap on the exchange as far as I know. Given what has happened in the past month I wouldnt go near it either.

If you have to Ryanair might perform well in the medium term and CRH is a company I personally like but feel there is no rush to buy into just yet. There is no catalyst that will drive the price higher this side of 2010 imo.

As Idu and the Economist said diversify properly (buying 3 different banks is not diversifying !!) - look outside Ireland - that is where most of the growth will come from and might offer you some interesting opportunities. Given what is going on in the Irish market, your €48.000 could turn into €30,000 in a week if you just look at the names you mentioned.

DaveIRL says it all the time and is 100% right - if you don't know what you are doing, buy ETFs. If I were you, in your position right now, that is what I would do.

I also put together a thread 7 months ago about my favourite 8 stocks, 1 bond and 1 currency to invest in for 2009. In it I give some reasons etc for why I like them.

Best of luck - do some serious research before you invest. Markets are not going to rally anytime soon in my opinion so if it takes you a month or two to investigate companies you like AND UNDERSTAND then fine, take your time. I'm sure it took you a long time to earn the €48k - it could dissappear quick if you rush in.

Hope it works out for you.


.

displaced dub

well after the word Diversify appearing multiple times i will with out doubt take that piece of advice and thanks for it.

will be thinking more long term investment with the very odd burst of more short term trading mixed in also.

i have been looking at apple and google since feb 09 while i was waiting for the €48k to mature and they have basically doubled.

my gamble on tom watson paid off on my each way bet i only hope i get that lucky on the markets!

ixus

Be aware that the Irish banks have largely similar exposure to the same debts. Take Liam Carroll for example:

AIB is owed €489m; Bank of Scotland (Ireland) is owed €321m; Bank of Ireland is owed €113m; Ulster Bank is owed €82m; Anglo Irish Bank is owed €38m; KBC Bank Ireland is owed €23m and EBS building society is owed €8.5m.

So, buying AIB and BOI would probably expose you to the exact same risks. As Idu mentioned, you haven't said what you're willing to risk. Then there's the diversification profile. You have a ways to go yet (imho) before making any purchases based on your posts. There's no rush.

displaced dub

thanks pocketdooz

im no expert and would be interested in reading through your thread from earlier in the year, can you link it?

ixus

displaced dub wrote: »

t
im no expert and would be interested in reading through your thread from earlier in the year, can you link it?

Link


Poor displaced dub, you got hit by some of the most critical posters on this forum in the space of 20 odd minutes.

Shows how much we care!

pocketdooz

displaced dub wrote: »

thanks pocketdooz

im no expert and would be interested in reading through your thread from earlier in the year, can you link it?

here you go

http://www.boards.ie/vbulletin/showthread.php?t=2055450396

This is simply my opinion based on my own research.
Bear in mind it was written in Deb 2008 but might help you get into the mind-set where you are actually

buying a portion of a company's equity - essentially a right to a portion of future earnings.

vs

"hoping to get lucky in the markets"

Buy a company you understand. That's the best piece of investing advice I've ever got.

I wish you the best of luck.

displaced dub

thanks again pocketdooz more interesting reading ahead

Oafley Jones

displaced dub wrote: »

i have been looking at apple and google since feb 09 while i was waiting for the €48k to mature and they have basically doubled.

I wouldn't touch Apple to be honest, their share price was about 200 dollars this time 2 years ago when the iPhone launched. Still feel they're over valued as it is. Best way to make money on Apple for me is if you could short them prior to a keynote. Furthermore, there's the problem with Apple's leadership. Apple for many people is Steve Jobs, and his health/share price of the past 9 months reflected this.

radioactiveman

do some serious research before you invest

+ 1 million, plus also consider an ETF, you could get ok diversification with just one or two, and you wouldn't have to worry about individual stocks going belly up.
Apple have doubled in the recent market rally but you have to consider whether that rally is justified. Ok some of it is, when you consider the extremely low prices of March. But you might get better value in a few months.
(You might not either, but it's just good to examine if the rally is sustainable or not before you buy).
I wouldn't just look at Irish shares either, if you do your research properly you will have no problem finding info about companies, they don't have to be on the front of the Independent.

onetrueone

As above posters have said diversify.

Over the next year up and to 2011 Gold and Silver look like good bets, you could try Gold and Silver ETF's's like Symbol: GLD and Symbol: SLV.

The price of Natural gas is at historically low levels and for the longer term it's a good play IMO.
You could try the United States Natural Gas ETF symbol: UNG

Longer term term the Dollar looks like it is defo on the decline, try an inverse ETF that goes up on a declining Dollar (though I think the Dollar will rally in August).

I bought Oracle shares today, technical analysis looks good for them.

I'd set up an account with Etrade or some other American brokerage firm - the commissions Goodbodys and other Irish frims charge is just a complete rip off.
Good Luck.

displaced dub

thanks onetrueone good detailed advice.

just back from amsterdam and it was a relief to get away from the "R" word for awhile.

still think apple over the medium term anyway are a good bet. there will be plenty more products coming and a lot of suckers (im one) who will buy them.

just look at the first gen ipod and look at the latest, oh and steve is back and investors love steve!!

but seriously im re-thinking the investment route and the whole etf side of things after the ball chewing the other guys gave me a few night ago although it was for my own good.

Raskolnikov

Personally, I wouldn't be buying anything right now. We've had another, nearly uninterrupted rally in the stock markets since March. Apparently the recession is nearly over, all this toxic debt has gone away and China is booming again. Happy days apparently!

Comordha

Petroceltic International for the win. Drilling results out in September and I hear there's oil in them there fields. "There will be blood"

Da Ross

Raskolnikov Doesn't that mean that everything is gonna go up with that news?

foxyboxer

well make sure you use this

http://oak.ucc.nau.edu/del/stockcalcs/sizer.aspx

GoldBullion

I would be very cautious about investing in the markets right now. September is historically a bad month for stocks. The bearish fundamentals have not gone away. Unemployment up, savings and debt repayment up equals lower earnings for companies. The only people spending money at the moment are governments with printed money and that cannot sustain a recovery. People are maxed out and until they have repaid their debt there will be no recovery.

Bullish

Just my 2 cents worth,
I think it would be unwise of you to put your 48k in to the market in 1 hit put it in in stages. ease your way into the positions .. Look up "dollar cost averaging" in google. Just be aware of your commission charges with davey are very high.
If you buy €500 worth of €20 stocks and they unfortunatly drop to €10 and you buy another €500 worth your average price is €13.33
Just something to think about.
Good luck

yobr

Comordha wrote: »

Petroceltic International for the win. Drilling results out in September and I hear there's oil in them there fields. "There will be blood"

I have some of these too....Lets hope so!

MrMatisse

A basket of different etf's

pirelli

Perhaps include property in your portfolio from around the world when it hits rock bottom. You could then enjoy the property on trips abroad and lease it as the market returns.

pog it

Bullish wrote: »

Just my 2 cents worth,
I think it would be unwise of you to put your 48k in to the market in 1 hit put it in in stages. ease your way into the positions .. Look up "dollar cost averaging" in google. Just be aware of your commission charges with davey are very high.
If you buy €500 worth of €20 stocks and they unfortunatly drop to €10 and you buy another €500 worth your average price is €13.33
Just something to think about.
Good luck

Yes, Davy charge well- they add on charges for trading american and european stocks

And stamp duty on Irish stocks of 1% !! (although this is of course charged by every broker).

(Seems crazy when other countries do not force this on people. Much like Ireland having VRT. UK- none)

Time Magazine

pirelli wrote: »

Perhaps include property in your portfolio from around the world when it hits rock bottom.

Got a time for that?