My non-registered portfolio closing August 15 session at 110 429$

Finally, the first day of the week is officially OVER. I had been quite busy. I withdraw 2 000$ from my margin account. I used a bit less than 200$ from that money to pay my bills and eventually by next month, I will be making a 200$ on my margin account. And this left a bit more than 1 800$ on my RBC credit line. I was happy to make this payment. My credit line at RBC is at more than 7%, while my margin account is at 4.25%. If the stock market remains stable, I could see myself doing another transfer of 1 000$, but I wouldn’t go deeper for now.

The data on date of August 15 for my non-registered portfolio are very good:

Non-registered portfolio value: 110 429$
Money used on margin: 42 861.79$
Money left on margin: 18 581.30$

In case something happens on the stock market, I have closed to 8k that I can bring in on my margin. So I guess for now I will fine, but eventually, I will need to seek for another credit line or a credit line increase to protect the whole margin. I would need a good 20k credit line increase to protect my asset to be sale in case of a third stock market crash. The stock market crash some time to time, it’s something I am now getting better to understand but it each time it crash, it’s always difficult to believe it will eventually go up again. But it always does.

Following Rob comment in previous post, I am thinking of selling half of my holding in First Majestic Silver Corp (FR) and reinvested that half into Kinross Gold Corp (K)... That could be something interesting to do. K will be paying a little dividend in September... :0)

Sprott Inc. (SII) getting on the spotlight

And for the good reasons. Globe and Mail article mentions Sprott Inc. (SII) as a good pick. Price had been target at 11$. Maybe my 1 000+ stocks will turn into... gold... or almost. What do you think? Also, for a margin loan, Sprott Inc. (SII), despite being at less than 10$ per stock currently, well, at TD Waterhouse, SII has a loan margin value of 50%. This is HUGE. Knowing all that, now you know that SII is a good pick. The good picks? They are ALL in my portfolio. ;0)

"The increasing macroeconomic headwinds favour Sprott Inc.’s (SII-T8.70-0.09-1.02%) bearish investment stance and could help boost the asset management company’s net sales, said RBC Dominion Securities Inc. analyst Geoffrey Kwan. “Furthermore, we believe Sprott is a more diversified asset manager with multiple platforms to drive future growth and has greater growth opportunities relative to peers,” he said.

Upside: Mr. Kwan upgraded Sprott to “outperform” while raising his 12-month price target by $1.50 to $11."

Thank you Mr. Kwan. Thank you.

Geoffrey Kwan is an analyst for the RBC Dominion Securities Inc. Seem like this one actually knows what he's talking about.

My non-registered portfolio is exceeding the 110k

Yesterday night had been absolutely crazy. I spend the night cleaning by stuff. I had been living in here for a couple of years, in my little one and a half apartment. Little, but close to everything you can ever thing of. I like the location, I wouldn’t like to move anyplace else. At least for now. Anyhow, over the years, I had accumulated all kind of financial statements, mutual funds papers, magazines, newspapers.... so I clean and I clean and I clean. I kept of course important papers, like the ones they give you to sign when you invest in mutual funds, statements, etc. I had for about 10 garbage bags of my oldies and I am not even done yet, but almost. I also have all of those old shampoo bottles to get rid of (I know, yacki yacki!). I so not minimalist like this lady. I am a total mess. Or should I say: I was a total mess.

I have to say, it’s feel much better now. My place is now more in order. I wake up late this morning, even if I set myself a bunch of things to do. But I hate Monday. Like this morning, I was supposed to go to my grocery shopping. Did I go? No. Oh well... And yesterday, I was supposed to do my hair coloration. I skipped that as well... I did some laundry however. Impossible to do it all in one night. What I really wanted to do is to clean in my papers. And I did.

The TSX is a rocket stardom... My non-registered portfolio is currently at 110 603.07$. So it’s a good week debut. From what I had read, the week is going to be good. But a turnaround is always possible. As for my part. I am going to take 2k from my margin and use it to pay my 10k credit line. I just received some awesome dividend payment today!

I chat with one reader yesterday and it really help me to understand the response of Derek Foster to my letter. I guess my reaction to the non leverage thing was one of a wild still young and free sometime lazy person that I am still am despite the fact that I am turning 31 sometime in this late of August. When it will happen, I will late you know. Until that time, well, tried to find on the Web someone who’s more addict to the Stop Working thing. Just try. The fact that I am so into it had turn myself into a following guru and Stop Working had all the other books of Derek Foster well, they are powerful. And it’s kind of becoming a religion and his books the Bible. About Derek Foster being a hypocrite, well, I guess it was the reaction of a young person in front of the words of a guru. Nothing more. But I understand now, just that Derek Foster is too hot. The stuff is just too HOT. :0)

Canadian National Railway Co (CNR), next month, it’s your turn

The TSX didn’t close today session on very high gain but at least, the situation remains stable. No matter what, even while the TSX gains less than 3 points today, my non-registered portfolio closed the week with interesting gains.

Non-registered portfolio value: 109 152$
Money used on margin: 40 899.59$
Money left on margin: 19 871.42$

This 109k value is interesting. I am reaching the 109k following a 1 000$ investment in TRP. My original 113k worth non-registered portfolio would have been at 108k, leaving a -5k behind. But knowing what the market has gone through, I think this is not bad at all. More than ever, I am to follow the plan I came previously with: to invest in blue chips once in a while to add value to my portfolio. It began quickly clear that this is the only I will be able to eventually recover from my lost. I am optimist. My next investment will be in Canadian National Railway Co (CNR). CNR pays almost nothing in dividend, but this stock will add a + value to my portfolio. CNR is of a very strong value. On top of that, it will add diversification to my portfolio. So be ready, CNR, because really soon, you’ll be in the club.

Some recent comments are making me laugh. This blog is my personal finance diary and I am totally careless about negative feedback I am receiving. I don’t think those individuals really have the intelligence to realize what this is all about. I have the arrogance to say this: in many aspects, my blog is much more interesting than the other financial blogs there is out there. Many bloggers blog like if they were experts on the topic they write about. And truly, I am pretty sure that the vast majority of them don’t even earn half of my dividend earnings and don’t half of my trading experience. You get to know what they hold once in a wild, but it’s about it. Nothing about their debt situation, portfolio worth, trading, etc. That being as well true with the so call experts that we read on the Globe and Mail like Rob Carrick, or so call debt specialist like Gail Vaz-Oxlade. And I will even say, much of them are just as much as hypocrite as Derek Foster is.

See, in response to my email, Derek Foster reply with this message: “Margin borrowing and other credit scares me...you might consider paying down you debt for increased safety...just my thinking...derek”. Ok, you might ask yourself where is the hypocrite part? Well, Derek Foster pretty much builds his portfolio using leverage. He had used margin and he had borrowed to invest. From my part, I did the reading of Derek Foster on a perpetual basis so I am no longer able to tell you from which part of which books we are able to find information about his leverage but if I am saying that Derek Foster had used leverage, well, it’s because he did. Same thing for another know-it-all, Andrew Hallan said that he doesn’t believe in margin, but he had used leverage himself too! What’s the problem with those guys?

The only way to make it is to use leverage. Derek Foster and Andrew Hallan are kind of being “financial personalities”. They want to look good and be presented at their best advantages. In the financial Canadian small world, leverage is not being well-considered. Derek Foster and Andrew Hallan are more now of the banker type of personalities know-it-all. They are giving advices and are saying what is politically financially correct ONLY. They are representative of the banking high class financial. They want to be known as financial speaker and they want to sell their books. The only way for those 2 to make it happen in term of writer and speaker is to be politically financially correct. If not, no more interviews, no more books will be purchase.

Myself, I am satisfied with my term of leverage. I am coming roughly on those 2, they are just examples. I said very good things about Derek Foster on my blog and I continue to think all of those good things about him. However, I find in him a hypocrite nature. There’s what he had did and use himself to be where he is at this time and there’s that part of him who is an author and who’s coming with politically correct things that he never respected himself. So it’s not only Quebeckers who can be actively hypocrite, the rest of Canadians can also be quite hypocrite, I can tell you something about it.

So why Derek Foster, Andrew Hallan, blog readers who are getting hard on me in their comments, why all of these people are against leverage? Well, there’s a good and bad side to it. Good part being it’s the dangerous nature of leverage but truly, tell you this: if I had been able to manage my margin account and my leverage, anyone can.

While wanted to promote a don’t-use-leverage strategy, Derek Foster and Andrew Hallan are being hypocrite because leverage is what had made it possible for them. And now, they are transforming their methods into non-leverage one just to be out there, not to be just an individual blogging anonymously. So to be part of the financial world, you need to be correct but the nasty side is what I had described. They will tell you in response that the market had change, but the market did not change. For small investors, leverage is the only way to go. So go for it. Forget about paying debt. Paying off debt won’t bring in any dividend income. It will bring nothing at all, if not just an artificial satisfaction of your banker.

So when I read the latest comments on my blog, I am afraid I am facing the hypocrite nature of human being.

My best advice would be: push leverage for as much as you can but keep it safe. Meaning that minimal payment on debt should not exceed a certain point, and that a good amount of money should remain in the margin at anytime. What is missing right now from the Canadian scene is someone who can actually teach how to use leverage. But don’t you ever dare to wait for Derek Foster or Andrew Hallan to teach you that. Of course not.

I can easily make a good living out of an income of 1 300$ a month. Currently, I am about an average of 700$ per month in dividend earning. I should have started to invest in stocks much earlier. But this is how it went for me. The sooner the better. Anyhow, I am more than half way there. Once that goal reach, I don’t plan to stop working, but it will allow me to be much more aggressive in my career choices, to go back to school if I want to, etc. etc. etc. It’s not exactly a stop working strategy, it’s a strategy for a better life. Because don’t expect anyone to help you among the way. You are alone and if, unfortunately you live in Quebec, you are even more alone. That’s what is missing from Derek Foster and other so call guru. It’s missing the intelligence of the beginning. And I am still at a point where I believe in it very strongly. There’s really no one and no comments can stop me while being so deeply into it. Just watch me going. And may you forgive me. 

Let the margin and leverage be for my best advantage.

A night spent with the Awkward Family Photos

I had been quite busy lately at being lazy... I guess it could be the market stress of the past couple days, don’t ask me what it is, my nerves had been attacked badly... but these days I am sleeping in very late. My bed and groceries shopping had not been done and I have tonne of laundry to do. But yesterday, I spend a big part of the night on this Web site and I could not stop laughing and laughing very hilarious Web site: Awkward Family Photos. It’s a very funny page and I with all that fun, I went to bed at 3AM... and now, I am asking myself why I cannot wake up? Being lazy is great sometime, I can assure you.

And while sleeping peacefully this morning-part of the afternoon, my non-registered portfolio is now at a very beautiful 109 877.11$. I am getting closer to the original 113k of BEFORE the August crash and I like that. I like that very much.

Nothing has been done from my home work, BUT, the non-registered portfolio had performed extremely well. Those data of for yesterday August 11, 2011:

Non-registered portfolio value: 108 684$
Money used on margin: 40 899.59$
Money left on margin: 19 605.78$

I like to believe that the worst is now behind us and that the bottom line had been reached. If it continues that way, I will take a couple of thousands of $ from the margin and put it on the 10k credit line I have at 7.52%. I guess I could begin with a 2k, in other not to take too much from the margin. And if goes very well, I could add another 1, 2 or 3k on, depending of what’s going on.

The weekend is going to be very relax and lazy but I really need to get that laundry done. Anyone volunteer?

Welcome to my non-registered portfolio TransCana Corporation (TRP)!

I find the last couple days going on like a yo-yo. But the past few days had been good for the stock market and despite my worries, I decided to invest in TransCana Corporation (TRP). Yesterday, or should I say earlier last night, I said I was going to invest in TRP if the TSX opens on a happy note...

Actually, I was still in bed for the market opening and I continue my beauty sleep until... 12:30pm... I wake up looking gorgeous (ah!), wondering what the TSX was going to be like... To my surprise, the TSX has exceeding the 12 300 points so this was the time. Time has come to invest in the very precious TransCana Corporation (TRP). GO FOR IT!

I kept in mind the advice of Rob Carrick to continue to invest even in a quasi-depression state of the market (and of myself on the same time)... So I just did what I needed to do, I invest in some stocks of TransCana Corporation (TRP) at 40.27$... For now, I have used my margin money, but I will, if not this afternoon, proceed with a 1 000$ deposit on my margin.

While keeping Rob Carrick good advice on mind, I decided to stick to the plan I describe previously before: to invest in blue chips once every month when possible using my very own money. My next investment will probably in Canadian National Railway Co (CNR).

My portfolio is doing fine. Including my newest investment made in TransCana Corporation (TRP), my non-registered portfolio is now at 108 210.20$. Getting closer to the original 113k of BEFORE the market crash of August 2011. I find it very important to continue to invest at this time to bring in more value to my portfolio. Investing in blue chips won’t significantly increase my dividend earning. Anyhow, it’s not anytime soon I will be able to live form my dividend. So having all that in perspective, better to continue to invest in some blue chips really not that generous on dividend BUT who will be able to bring in extra value for the long run.

No worries, it won’t be done on margin. Blue chips paying so little in dividend, they don’t even worth the buy on margin lol. At least just for dividendly thinking. Got the idea? Real cash, blue chips, small extra dividend earnings. That’s the plan for now.

Welcome aboard TransCana Corporation (TRP)! May you have a long and happy existence inside my non-registered portfolio. You’ll see, it’s going to be fun.

Balances Data of TD Waterhouse for August 10, 2011

Today data for August 10 are actually very good:


Non-registered portfolio value: 105 123$
Money used on margin: 40 470.31$
Money left on margin: 17 835.76$

I am under the bar of the 20k on my margin, but that 17k satisfies me, knowing I have a 6k I can transfer over at any time.

I have now this 1 000$ available and I wonder what to do with it, if investing in TRP is really that a good idea. But you know what, I will let the market decided. Tomorrow morning, if the TSX opens on a positive note, I will invest in TRP, if not, well, there will be no investment in TRP, the money will goes as deposit on the margin. It doesn’t have to be complicated, and truly, it is not.

In 16 more days, I will be 31.

EnerCare Inc. (ECI) Derek Foster ex darling is making a comeback!

In the darkness, there’s still hope... I think the past 2 days have been an illustration of that. Holding was the right thing to do. What wasn’t right to do however, according to Derek Foster, was to borrow to invest. Yesterday, the TSX gains point like crazy and Derek Foster has the very good idea to come with a brand new newsletter and I was happy of those 2 combination that I wrote Derek Foster a little email to say hello (because I never did before) and to say that the stuff was working well for me. I also told him I had a margin and that oh, unfortunately I had borrowed to invest. And he’s the answer I got from the master (not to say MONSTER lol...):

“Margin borrowing and other credit scares me...you might consider paying down you debt for increased safety...just my thinking...derek”

I thank him kindly of his answer, of course.

If I expose his answer here it’s just to show that you know, with Derek Foster, you’ll get the best investment ideas and the best advices. My margin and debt situation are not the safest heaven that’s true and I should definitively start to slow down and pay off my debt.

I think this show the willingness of Derek Foster to teach how to build health, but from our own hard worked money and that’s very good and I totally agree. I am not in great danger at this time, but the TSX could loss more points. Remember that guy that say the TSX could go lower and reached the 9 000 points? Well, it could happen, everything is possible.

But my problem being I don’t think we’ll be hitting on the 9 000 points anytime soon. I think things will get better. The Fed, governments, everyone out there will do whatever can be done to save us from a recession and I truly believe will go through this.

But once again, my debt situation is not healthy. I understand the risk associate to it.

At this time, the market is full of possibilities. This is my time to invest in TransCana Corporation (TRP) like I wanted for quite a long time now. This is my time. Ok, I know, the amount invested is just 1 000$, but I am getting overexcited here and if I don’t invest in TRP tomorrow, I will be very sad.

That my debt and margin account turn into a complete nightmare – I have doubt about that. However, Derek Foster is right, I should pay off my debt. It’s a good real advice for the little bummer that I am. Imagine the girl, working at night to follow the stock market during day time, this absolutely BUMMER super sexy. 

Thank you Derek Foster, thank you very much :0)

Ok, this being said, EnerCare Inc. (ECI) is making a HUGE come back!!!! Back in the days, when ECI was trading under a different, ECI was a Derek Foster stock. ECI was well ranked by the one and only Jean-François Tardif. Back in the days, ECI was hot. And after, Dividend Ninja came and said ECI was holding too much debt. Anyhow, do I really know any of it? No.

BUT... I decided to sell my ECI stocks in order to invest in the Sprott Physical Silver Trust UTS (PHS.U). See, at the time, it was the silver mania. Silver was hot and Eric Sprott as well. I made money out of silver, and my PHS.U still continue to perform well, even following the silver crash. The only problem being that PHS.U grow in value, but pay 0$ in dividend. However, I do not regret my move. Holding and trading PHS.U had been quite fun. At least so far. At this time, I do not trade actively silver. I am sticking and holding PHS.U inside my TFSA.

This being said, I may consider buying back some EnerCare Inc. (ECI) stocks back again. Why? Because it’s a stock I know, Jean-François Tardif grades this stock well (long time ago but still) and the experts at TD like the stock.

For the next couple of months, I want to add some stocks CNR and ECI to my portfolio. At more than 8% in dividend yield, ECI is HOT. And CNR? Well, watch it grow, if not explode in value in the next couple of months. It’s going to be FANTASTIC. Check it out in here.

So there’s absolutely no way I am about to pay off debt any time soon but I am aware the advice is good and coming from a big heart.

My non-registered portfolio is now at 105 910.18$ and tomorrow, I will boost the TSX of one more 1 000$.

I think the bottom line has been reached

Because my non-registered portfolio is now at 106 117.87$

From now on, it can only get better, right?

Is that it? Did the Toronto Stock Exchange had reached its bottom line yet?

Reaching the bottom line mean for me reaching the point where we had reached the lowest the TSX could go in those recent stock crash events. For a second day on a row, the TSX is gaining points (it was gaining points until a few minutes ago...). Most fantastic gains were yesterday. On today, the TSX remains stable. So far, TSX recorded a little loss of 5.39 points. For this morning, my non-registered portfolio is at a good 104 257.94$. I am confident that real soon, I will be back on my old 113k value.

Until it happen, I will continue to invest occasionally. This that, what is different is that I am only focusing on high quality stock. And I think TransCana Corporation (TRP) is among those high quality stocks that can help stabilize the value of my portfolio on the long run.

Like it was planned, I will be investing some bucks in TransCana Corporation (TRP) sometime tomorrow. TRP is currently trading at 39.40$.