BAGAKOAA; November 2, 2012 Pruning Time

Post 734

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November/2012

We had a few minutes today and looked at the 77 folk currently listed as blog readers.  About 48 of you open the blog each day.  Some of you are religious about opening it everyday.  (Yes Ben, I know you open just so I don't give your crud about not opening it.)

 

We actually had to send a couple of notes out because we had readers who I could not recognize by their e-mail.  (Hello Christopher.  Here is a formal welcome aboard.)

 

We get asked occasionally if you can send these blogs to other people.  Yes we would be honored to have you send them.  Ideally we like to know who is reading it and that they acknowledged my disclaimer about NOT being a financial advisor (If they see my YTD performance later in the blog, that should be self evident.).

 

We did cut off a few folk who had signed up from the link in the blog and they have not responded to requests to let me know who they are and if they could kindly acknowledge the disclaimer. 

 

I am personally honored and flattered that so many of you take the time to open and read my little ditties each day (Ok Dave I know its not each day, but I'm trying.).  I welcome your questions and hope you continue to find this blog entertaining and occasionally informative.

 

Not much happened today in Croninland.  As usual we had plenty of company at the house today as one of our contractors was finishing the second rebuild of our master bedroom closet and another contractor was starting a new entertainment center in our office.  Much of this post was written with the gentle roar of circular saws and belt sander humming in the background.  Those lovely sounds were occasionally interrupted by the subtle ripping of wainscoting from our wall in the office.

 

Tonight we had the opportunity to see our SMCHS Eagles play football.  We went up against a very good St John Bosco team.  I know my aunt knows the back round of Giovanni Melchiorre Bosco, but in case the rest of you don't he was and as a result is the patron saint of illusionist.  

 

Well Bosco made just about all our hope for a back to back state championship disappear.  Our second string quarter back who had really risen to the challenge last week, one Mr. Kyle Sweet, got injured on the third play of the game.  Mr. Canty, our third string junior QB was showing promise, but the Bosco Braves took advantage of our injuries and some questionable officiating and won by a large margin.  It was a good game.

 

Now I had an interesting observation on the way to the game.  We were traveling north of the major highway Interstate 5.  Ok traveling would be a bit of an exaggeration as it was Friday at 5:15.  We made it to Bellflower in over an hour and half. 

 

On the way I noted a sign, "Illegal use of the Diamond Lane fine $341."  The diamond lane is the high occupancy vehicle lane.  You must have two people or more or one person and a very life like blow up doll to use this lane.  

 

With all the plastic surgeons and botox train wrecks it is very hard for highway patrol to tell the difference between blow up dolls and insecure housewives of Orange County.  But I Digress.

 

$341 dollars?  Where do they come up with that figure.  I am betting there are month long meetings in Sacremento determining what fee to charge when a person steals the use of the diamond lane.  $341 dollars really?

 

Anyway we had a good time at the game.  Devin was a bit tired and I spied her "resting her eyes" a couple of times during the game.  She should be tired as she works really hard and runs around all day long.

 

She is getting used to me being home.  I spent the last 25 years managing people and one of the hardest things to teach folk is what and how to delegate.  Devin has become quite proficient at delegating.  She now starts almost every sentence to me with, "Do you know what you could do . . . . "  I am very proud of her delegating abilities.


 Ok I promised a portfolio forensic.  Unrealized gains I am holding at .09%.  My biggest looser is, of course my Jan VXX option down 98.25%.  It is my anchor.  If I adjust for the VXX hedge, I am up 2.24%.  My biggest gainers are BRK-A, a Citi Group 6% bond holding, BOFI, a GM Smart Note holding, and SYY.

 

My realized gains for October were 100%.  Yes we had several put options expire, allows us to keep the entire premium.  My YTD realized gain (or in this case a loss) is .15%.  To clarify I am dead even on the year.  We are not too proud of that when the overall market (S&P 500) is up 13.4%.  I really suck at this.

 

Come the holidays, I need to do a real serious look back at my big losses and learn from them.

 

In case you were wondering, we did not get our follow through day today so we are still in a red flag condition.  Even the better than expected jobs report did not put a smile on Mr. Market's face.  We did see the S&P 500 run up to the 1425, then the 1435 levels making a follow through look possible, but alas (I like having a blog just to use the word alas), resistance was too much and the ugly day for AAPL sucked the life out of the market. 

 

Keep polishing up the watch lists, but sit tight.  We will dig more into the numbers tomorrow morning at breakfast whilst (another word you really don't get to use in real life) reading this weeks Barron's.

 

Salve Lucrum

 

 

 

 

 

 

 

Brian Ireland
 
 
Since 10/10/2012
BAGAKOAA;

I am not a professional investment advisor. Anybody reading my blog and investing accordingly must be out of their minds. I have made more money than I have lost. There are many more qualified people than I to actually tell you how to invest your money.

BAGAKOAA=Boys And Girls And Kids Of All Ages

Salve Lucrum=Latin for Hurrah for Profit.

2012 Year Ending

Dow 13,073

S&P 500 1,358

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