Welcome Kinross Gold Corp (K) in my portfolio! Adios, Horizons BetaPro COMEX Silver Bear Plus ETF (HZD)!

It wasn’t a difficult or easy decision to make. However, my decision took place a day after Eric Sprott sells some gold asset to reinvest an amount 30 million in silver. See, Eric Sprott had previously sold silver just before the silver crash (in May or April 2011?, I don’t quite remember despite the fact that I had lived the silver crash because I has some investment in silver...). This time, Eric Sprott recent move in silver mean to me that silver will probably keep gaining value. If it’s the case, my investment in Horizons BetaPro COMEX Silver Bear Plus ETF (HZD) would have continued to lose in value... Since my last portfolio update – that was back in July – HZD had lost in value on a regular basis.

I had been holding Horizons BetaPro COMEX Silver Bear Plus ETF (HZD) for a little while now. I got stuck with the investment following a day trading try out. But I have no regret. I never did some day trading before. I made a little bit of money, it was fun. But with HZD, I got stuck with it. I had been holding trying to sell at profit. But fact is that now than ever, silver is on the road for glory.

I like Eric Sprott very much and if he had sell gold to reinvest in silver, well, too me, it mean a big deal.

I sold previously this morning my 400 units of Horizons BetaPro COMEX Silver Bear Plus ETF (HZD) at 4.72$, for an amount of 1 888$. I lost a bit more than 1 000$. It’s not something I could avoid, I needed to go through this to become a better investor. I don’t feel bad about. I like to share everything I do and this had been a big part of my learning experience. Generally speaking, I made and lost money in the market. No one wants to lose money. I am not in to lose money at all! BUT.. so far, my gains always had exceed my capital loss. This is what I focus more on. And I promised to stop investing once my loss will exceed my gains. I am not afraid of the market. The stock market always been good to me and I want to continue to invest. I took this new direction, to invest in blue chips for the next couple months. I did a good investment in TransCana. My next one will be in CNR. I am confident that overall, my gain will exceed my lost. That’s what, I think, all retail investors have to focus on. Making investment mistakes is no big deal (as long of course that the gain exceeds the lost...). I hope that this will eventually help people out there to realize the danger of day trading.

I know this will sound strange. But it does actually feel good not to hold Horizons BetaPro COMEX Silver Bear Plus ETF (HZD) anymore. I was getting tired of it. So thank you, Eric Sprott for selling gold to reinvest your foundation money in silver. I am grateful.

I reinvested the money in not a blue chips, but in something that could help me to rebound from my 1k loss: Kinross Gold Corp (K). I purchased more than 100 stocks at 16.58$. Currently, K trade at 16.36$. I didn’t want to reinvest in PHS.U because its trade in US money. I didn’t want to invest in something I already have. K is being well ranked by analyst, so I taught about giving it a chance to save me. Of course, a 1k gains won’t happen overnight. Especially in this market condition. I am responsible for my bad investments. I am happy of my move. Holding HZD was getting depressing. I am about to turn 31 soon and I want to celebrate while only holding good stuff in my portfolio.

Also, K will pay a dividend in September, for which I qualify. Also, I did not want to sell part of my First Majestic Silver Corp (FR) stocks to invest in Kinross Gold Corp (K). I really like FR. It’s the purest silver producer of Canada. Latest quarter results were really great. I mean, no, I wanted to continue to hold FR for now.

And as always, we’ll see how it goes!

Eric Sprott had sell for 30 million worth of Sprott Physical Gold Trust (PHY.U) units

It's been reported by the Globe and Mail that the Eric Sprott has sold his gold units hold in his Sprott Physical Gold Trust (PHY.U). And seem like he is reinvested the money into his silver darling! WOW! The amount collected by his sell is... 30 million. Sprott is trading silver again! It's getting some of interesting!!!

TSX up of a few points, I am now back on the 110K for my non-registered portfolio.

Closing the night with my vote for New Flyer Industries Inc. (NFI.UN) IDS Holders of Non-Cash Rights Offering

That one was not easy to understand. Not easy at all. The prospectus received is really not easy to understand. That’s why I wait until the limit date to exercise my vote. I had vote the FOR, meaning I decided to exercise the rights on my shares. According to some reading done online, it was the best option. Also, I vote according to New Flyer recommendation. I also pick the option with the fiscal advantage, even if I don’t a clue of what it mean, especially knowing that in the prospectus, it is said that we have 90 days to print a document on New Flyer Web site to have those fiscal advantages... So it’s pretty mess up. However, the most important part was to exercise the vote. But what a headache!!! Very unclear and badly explained. The prospectus suck!!! I began to really hate New Flyer at this point for making me going through this.

My shares were bought at an average value of 11.75$. If lucky, this could boost my return to 12$+.  And this being done only by exercising my right! If you are a shareholder of New Flyer Industries Inc. (NFI.UN) and as much confuse as I am, read these posts and this one here. I think it’s obvious that exercising the vote is the best thing to do. It’s also what recommends New Flyer. I did the best I could.

It could take up to 2-3 weeks before I see the results in my broker account at TD Waterhouse. I cannot wait to see what it will be like... No matter what, I am still a proud shareholder of NFI.UN. But I guess they didn't give a damn that a retail investor understand or not what we were going to read and I find it quite insulting. Very shock still about the prospectus. However, I am very excited because this is my chance to recover from the current loss that I am experiencing with NFI.UN since I bought my shares at an average price of 11.75$ each. This is the ultimate chance.

Good night. Today is the last day to exercise your rights. You need to call your broker. If not, no deal.

For your information: Exchange Income Corporation (EIF) getting some media attention

I own Exchange Income Corporation (EIF) to a reader who suggested EIF as investment. That was back in February 2011 and I had been holding EIF ever since. I am very grateful. It can be difficult, all by itself, to find new investment diamonds. The pearl pays a dividend yield of 7.602%. Best of all, EIF distribution are paid on a monthly basis. Following my sell of Yellow Media Inc. (YLO) a little while ago, I made the decision to reinvest the money in EIF, hoping for a big return and recover from a 300$ loss.

I love Exchange Income Corporation (EIF) from the started because their business is very diversified and they have business in the Inuit territory. And I love native and the Great North territory. Will the love pay back? So far so good. EIF is being managed from the West. It’s one of those company you can expect everything. Let’s see what the Globe had to report about EIF:

“Exchange Income Corp. (EIF-T21.31-0.37-1.71%), an acquisition-oriented transportation and industrial manufacturing company, delivered “excellent” second-quarter results, with both sales and margins exceeding expectations, commented Canaccord Genuity analyst Chris Bowes. “We believe the outperformance is sustainable and below the firm’s potential,” he said.

Upside: Mr. Bowes trimmed his price target by 50 cents to $23.75 due to more shares outstanding but maintained a “buy” rating. Stonecap Securities analyst C. Scott Rattee cut his price target by $1 to $27, citing “increasing macro headwinds” in its specialty manufacturing division.”

Fair enough. 23.75$ is a very good price. It’s exceeding my buy price value of a couple of dollars. Right on top of the world.

Gordon Pape positive review of the Claymore Gold Bullion ETF (CGL)

I had been holding some units of the Claymore Gold Bullion ETF (CGL) since March 2010. Back at that time, someone from Claymore had written me an email, which I was surprised of and of course, really pleased. I made the purchased inside my RRSP account at TD Waterhouse. I initially invested 3 587.30$ in some CGL units. In today market value, the investment now worth 5 449$. A very good gain of more than 2 thousand dollars. Kind of cool.

I had been very pleased with my investment in Claymore Gold Bullion ETF (CGL). In good market conditions like in bad ones, the value of Claymore Gold Bullion ETF (CGL) units had remained stable and naturally grow. The CGL doesn’t pay dividend. However, CGL worth it. This is the type of investment you can really rely on without any worries. The investment is very stable and won’t require any attention or management of your part. Investing in CGL is really that easy.

In one of his latest article title “Gold at $10,000?”, Gordon Pape gave a favourable review of Claymore Gold Bullion ETF (CGL). For once, I agree on something he wrote about. I could only applause his words, after holding CGL for close to 2 years now. 

Gordon Pape rock again.

My non-registered portfolio closing August 16 session at 109 714$

Just like unfortunately expected, my non-registered portfolio closed Tuesday session below the mark of the 110k. However, the results were not too bad for August 16, 2011:

Non-registered portfolio value: 109 714$
Money used on margin: 42 861.79$
Money left on margin: 18 170.20$

The market is fragile and may remains this way until Germany came with a solution for the Euro. While waiting for the Euro bonds, I think we’ll have to go through this yo-yo phase. Which meaning the TSX gaining points one day, and the next day, the same point gains disappeared... Over and over again. It takes more than just good investors to be on the today market world. It takes warriors willing to create wealth for the long term. I still believe in a buy-and-hold strategy. It’s just the market out of control volatility make it difficult to handle. But there’s nothing I can handle right.

A good stock market situation indicator is my Sprott Canadian Equity Fund. As long my investment in the Sprott Canadian worth at least 7 000$ (which was about the original amount invested back in 2008), well, that mean that the situation is not that bad. I will be feeling danger if the investment drops under the mark of 7 000$. That would mean that the situation is really getting dangerous for my margin, in the sense that will be in an in deep recession without knowing. The current recession is not that bad. My portfolio is getting through it. I continue to earn great dividend from my investments. My portfolio is very diversified and truly, if I had invested 7 000$ on the same spot, you can be sure I knew, back then, who was Eric Sprott and what the Sprott Canadian could do for me RRSP. I am still waiting for the extraordinary return to come. But while waiting, I appreciate the stability of my investment value. For those kind of things, I can be extremely patient. I just cannot wait to be in my 80s, be extremely rich and scream to the nurses who will be taking care of me: “See, I made it. I made a million out of the Sprott Canadian!” Yeah. And of course, at the age of 80, I will still be blogging and counting each single penny I have. At 30 or 80, everything will be the same damn thing.

While patiently waiting to be rich, I can always dream of...:0)))

This is my 900th post!

My non-registered portfolio is going well despite the fact that the TSX loss more than 100 points. I am currently at 109K. All that trouble just for the European countries who just can handle themselves properly. If it wouldn’t be for the very strong Germany, it would have been a long time that the Euro will have collapse. France? Don’t count on France to save the Euro. It’s the Germany who’s holding the whole thing all by itself. Anyhow, I am hoping for a relatively stable market because it’s not true I am going to wake up on time for the market opening each single day of the week. NO WAY :0) But a good news being, Germany is strong enough to handle it all. I am not under the impression that we will be hit by another market crash, but absolutely anything and everything can happen.

I should take time to update my portfolio value. My last update was back in the beginning of July. I was in vacations for the last 2 weeks of July. And after, in August, we had the stock crash. I never update my portfolio in bad times. Just in good times. It’s a matter of psychology. I won’t show off my results in bad times but I will write about it.

I am just very happy the TSX did not loss too much points and I am very happy that a reader share this new one with me: Aberdeen Asia-Pacific Income Investment Company Limited (FAP). It’s quite an impressive company and I will be working on a post about this one. There are really little things online being said about this stock. But that’s about to change soon. Aberdeen Asia-Pacific Income Investment Company Limited (FAP) going to be in what you know what.

Happy blogging, you are reading my 900th post! Got to reached the 1000 BEFORE my birthday!

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)