LC Posted July 14, 2020 Posted July 14, 2020 WFC and V. Getting to a self-imposed limit on WFC (currently 3.75%; would go up to 4%), so maybe one more opportunity to average down and then we let it ride.
fareastwarriors Posted July 14, 2020 Posted July 14, 2020 WFC and V. Getting to a self-imposed limit on WFC (currently 3.75%; would go up to 4%), so maybe one more opportunity to average down and then we let it ride. Why V now?
LC Posted July 14, 2020 Posted July 14, 2020 Lack of compelling investment alternatives, I would say is the largest factor.
writser Posted July 14, 2020 Posted July 14, 2020 2222.HK: I initially bought this at 20c a month or so back and then have been adding at 22-28c. Discovered accidentally when KKR bought a majority stake in one of their companies and i saw it in the paper. Just the residual 30% stake in that venture is worth more than the current market cap at that transacted value. Significant net cash plus their remaining biz which is growing well would be worth atleast twice that residual stake. I reckon NAV to be around ~50-60c. Very interesting idea. Obviously the whole company is somewhat of a shit show, it was even featured as a case study in 'Due Diligence in China: Beyond the Checklists (link). Nevertheless, it's not a fraud and the dubious founder has been arrested. The company still owns a minority stake in the business bought by KKR, worth ~800m RMB given what KKR paid for the rest. The endgame seems to be a relisting, FWIW. Then there's a lot of excess cash, and a significant, growing operating business (international lighting) with a book value of ~2000m RMB or whatever and not too much debt. Yet the market cap is only about ~500m RMB. In any sane capital market this would be trading 4x to 5x higher. I couldn't resist buying a few shares.
Spekulatius Posted July 15, 2020 Posted July 15, 2020 Bought some SPAQ warrants. No reason other than I felt like gambling. Come on now RobinHooders, do your thing! $SPAQ down a good amount. Beware Boredom! $SDS also has a dry cough.
Gregmal Posted July 16, 2020 Posted July 16, 2020 rebought a small position in BAM, added to ESRT, and added a little to ILMN.
Gregmal Posted July 16, 2020 Posted July 16, 2020 Bought some SPAQ warrants. No reason other than I felt like gambling. Come on now RobinHooders, do your thing! $SPAQ down a good amount. Beware Boredom! $SDS also has a dry cough. Sold the SPAQ warrants Monday at the open. Was just banking on the Fisker announcement confirmation, which happened. SDS sucks, but to me, especially if you consistently reposition it, it can be a cheaper hedging alternative. Dont at all recommend holding over night for more than a day or two tops, as the decay will kill you.
Spekulatius Posted July 16, 2020 Posted July 16, 2020 Bought some SPAQ warrants. No reason other than I felt like gambling. Come on now RobinHooders, do your thing! $SPAQ down a good amount. Beware Boredom! $SDS also has a dry cough. Sold the SPAQ warrants Monday at the open. Was just banking on the Fisker announcement confirmation, which happened. SDS sucks, but to me, especially if you consistently reposition it, it can be a cheaper hedging alternative. Dont at all recommend holding over night for more than a day or two tops, as the decay will kill you. Thx. I always wonder how folks deal with trades, especially losing ones. I had a small one going on with a “BLM“ Bank, but that was cheap stock that I wouldn’t have mind owning for a bit too. That trade made a little profit. Typically, I find these things just a distraction and rather stay away, but sometimes there is an urge to do something.
Gregmal Posted July 16, 2020 Posted July 16, 2020 Bought some SPAQ warrants. No reason other than I felt like gambling. Come on now RobinHooders, do your thing! $SPAQ down a good amount. Beware Boredom! $SDS also has a dry cough. Sold the SPAQ warrants Monday at the open. Was just banking on the Fisker announcement confirmation, which happened. SDS sucks, but to me, especially if you consistently reposition it, it can be a cheaper hedging alternative. Dont at all recommend holding over night for more than a day or two tops, as the decay will kill you. Thx. I always wonder how folks deal with trades, especially losing ones. I had a small one going on with a “BLM“ Bank, but that was cheap stock that I wouldn’t have mind owning for a bit too. That trade made a little profit. Typically, I find these things just a distraction and rather stay away, but sometimes there is an urge to do something. Yea I'd generally agree. I read a pretty neat quote somewhere about how "more money has been lost "preparing" for the crash, than has been lost in crashes"... or something like that. However I think the current situation is quite extraordinary and to a degree, if the market goes up 15% by the time this is over and done with, and I only make 5%, I'm OK with that provided I'm putting on trades that protect against things going badly the other way.
Gregmal Posted July 16, 2020 Posted July 16, 2020 Added a few more RPTX and some August VIX calls EOD.
Gregmal Posted July 17, 2020 Posted July 17, 2020 SDS sucks, but to me, especially if you consistently reposition it, it can be a cheaper hedging alternative. Dont at all recommend holding over night for more than a day or two tops, as the decay will kill you. Is there a reason why you prefer something like SDS over just shorting ES? I don’t see it, but I may be missing something. Regulatory burdens make it very difficult to operate managed accounts using certain types of instruments/securities. Even leveraged ETFs require a nonsensical amount of paperwork and disclosure/cya material. Futures I won't touch for SMAs.
Spekulatius Posted July 17, 2020 Posted July 17, 2020 SDS sucks, but to me, especially if you consistently reposition it, it can be a cheaper hedging alternative. Dont at all recommend holding over night for more than a day or two tops, as the decay will kill you. Is there a reason why you prefer something like SDS over just shorting ES? I don’t see it, but I may be missing something. IRA accounts can’t use margins so shorting is not possible. That might be one use case for SDS. Puts are preferable imo, but are expensive right now due to high volatility (VIX~28 right now)
EricSchleien Posted July 17, 2020 Posted July 17, 2020 Bought BRK June '22 200 Calls Sold BRK June '22 150 Puts Added to Endor Added to Liberated Syndication Added to LAACO Collected my 100% dividend from Yowie and have a bunch of Australian Dollars just chillin' 8)
EricSchleien Posted July 17, 2020 Posted July 17, 2020 rebought a small position in BAM, added to ESRT, and added a little to ILMN. Why did you sell BAM in the first place?
valueinvestor Posted July 17, 2020 Posted July 17, 2020 Bought more Sea Ltd, and indulgent but meaningless investment in CGX.
Ballinvarosig Investors Posted July 17, 2020 Posted July 17, 2020 Started buying a starter position in LLOY at 30p today. Trading at nearly half of tangible book value now. Its dividend and buy back program has been suspended which has shaken out a lot of the income investors and removed some of the positive momentum. They have already taken a lump of covid related impairments in their Q1 results with more to follow in Q2 - even at that they will still be very well capitalised. Of all the British lenders, they would have one of the most conservative books and are probably akin to the likes of a WFC. If we get to a scenario where Lloyds is in trouble, that is the day when most of the rest of the UK banking system is in even worse shape and we're looking at mass nationalisation like we saw in 2007. If Lloyds can weather this crisis like I think it can, then it's trading about about 5-6x normalised earnings. My guess is that it could be a double in 2 years at these prices.
CorpRaider Posted July 17, 2020 Posted July 17, 2020 Started buying a starter position in LLOY at 30p today. Trading at nearly half of tangible book value now. Its dividend and buy back program has been suspended which has shaken out a lot of the income investors and removed some of the positive momentum. They have already taken a lump of covid related impairments in their Q1 results with more to follow in Q2 - even at that they will still be very well capitalised. Of all the British lenders, they would have one of the most conservative books and are probably akin to the likes of a WFC. If we get to a scenario where Lloyds is in trouble, that is the day when most of the rest of the UK banking system is in even worse shape and we're looking at mass nationalisation like we saw in 2007. If Lloyds can weather this crisis like I think it can, then it's trading about about 5-6x normalised earnings. My guess is that it could be a double in 2 years at these prices. I was/am of the same opinion about the superior business mix/deposit base (following the Wells comparison) and agree they have done a good job simplifying and resisting questions about di"worsifying" into other businesses and continental Europe (so far). I was mulling it over last year and listened to an appearance by the CEO and maybe it was the language barrier, but I was really turned off. I think he was also really hawking insurance and/or investment management alliance? I just put it in the no basket and now I can't exactly remember why. I see he is stepping down so maybe time to take another look, but IDK; looks like new CEO is coming from Centerview Partners? Yikes. Not sure what that means for the clean, simple banking business mix.
rb Posted July 17, 2020 Posted July 17, 2020 LLOY is a wonderful customer focused retail bank in the mold of WFC and TD. Also one of the few FIs that didn't need a bailout in 2008. The reason i wouldn't buy it is the level household debt in the UK. I think that represents a large systemic risk.
Ross812 Posted July 17, 2020 Posted July 17, 2020 I bought a 10% position in WFC when earnings came out this week. I have been pretty active in selling puts on WFC (and now covered calls) and KMI which I think are two of the cheapest companies on the market right now. For the last few years I have been in fixed income using the proceeds to by long dated SPX options. With the VIX so high I have switched to selling options instead.
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