So here is the thing this run up since the end of December have been up and up for 1 month. Many have wanted to add during the correction, but there just wasn’t one.
Reminds me of the bull run from 2009. It teaches you that
- in a bull run, the pull backs are small and infrequent
- the largest part of the bull run may occur over 10 to 20 days
- you underperformed when you couldn’t get leg in fast enough
- if you see companies that are valued and with a margin of safety you should systematically own it
My portfolio currently underperforms due to being yield heavy. I am comfortable in this 48% invested position. If the market continues to go up, picking up value stocks that yields should still do well. 50% of my returns will come from dividends.
Having a few “strikers” will lets you keep up with the broad market index. But a rising tide lifts all the boats as well, even the dividend cows.
How about you guys? Do you think the end is here? More run to come?
Hi Drizzt,
I think that the market will be flat for at least for the time being. Although the outlook is gloomy, there still seem to be a lot of liquidity. I’m still waiting at the side lines biding my time and building my war chest. Any purchase now will probably not earn me a multi-bagger.
Cheers!
you always think:what if this dip is like 1994 bear which is short follow by a run up till 1999?
Looking at the breadth that the run up is spread throughout all caps. This will be at least a multi-months uptrend.
SG stock is the cheapest in Asia based on PE and PB ratio. So 3 cheers !! Lol…
hi Niubee thanks for the information. its good to know that.
Just dropping by to say you have a wonderful blog on dividend investing. I particularly like your usage of Google spreadsheets for portfolio tracking. Innovative!
hi hyom! thanks but i just want something useful for others to experiment on. hope it has been useful!