what are you selling today?

[keegomaster]

Closed my ATVI positions. Exited at $91.92 (19.8% return in 15 months, or about 15.8% annualized).

I think there are better options than the residual 3% upon transaction close, and some risks still remain (albeit minor) with the UK's green-light.

[Luke]

1 hour ago, Spekulatius said:

wrong GIF:

 

Hahahaha spek! 

[Spekulatius]

1 hour ago, brobro777 said:

 

Oh man I watched this video so many times. I mean it never gets old baby

 

Never gets old

 

This is value investing in a nutshell, in China or elsewhere. The feeling when the pain subsides is unsurpassed.

[brobro777]

1 hour ago, Spekulatius said:

This is value investing in a nutshell, in China or elsewhere. The feeling when the pain subsides is unsurpassed.

 

Yea that's why I don't like value investing, sometimes there is too much pain involved. It's not as bad as trying to make money shorting but still.  

 

I prefer to make money copying other people's good ideas. That's the good stuff, and you can even pretend like it was your idea all along!

 

 

 

[Spekulatius]

6 hours ago, lnofeisone said:

Sold enough JXN shares on the pop to cover cost basis and then some. Holding on to house shares. 

Looks like JXN got a bump due to inclusion in a small cap index.

I wait for tomorrows dividend  - $0.62 and likely will sell some too in tax deferred accounts.

[Spekulatius]

4 minutes ago, brobro777 said:

 

Yea that's why I don't like value investing, sometimes there is too much pain involved. It's not as bad as trying to make money shorting but still.  

 

I prefer to make money copying other people's good ideas. That's the good stuff, and you can even pretend like it was your idea all along!

 

 

 

I try to include both growth and traditional value picks and do a good deal of diversification. That way, the kicks in the groin get more manageable.

 

As for cloning other people,  - this has never worked for me. I do get ideas for interesting stocks but mostly are not directly actionable for me- they are more like additions to my watch list.

[Paarslaars]

Sold my UBS dec '23 20$ calls as the thesis has +/- played out. Roughly 440% return in 6 months, very happy with it.

The sale brought me from -10% cash to 30% cash.

Have not bought anything yet but will add on dips in existing positions (FFH, JOE, Nintendo, OXY...)

 

[sleepydragon]

55 minutes ago, Paarslaars said:

Sold my UBS dec '23 20$ calls as the thesis has +/- played out. Roughly 440% return in 6 months, very happy with it.

The sale brought me from -10% cash to 30% cash.

Have not bought anything yet but will add on dips in existing positions (FFH, JOE, Nintendo, OXY...)

 

nice ! Mind if I asking how did you decide to use calls instead of buying the stock? I bought the stock too but I have no idea when this will work out.

[Paarslaars]

Well the main 'risk' with calls is the time frame. Since there was a clear deadline of August 31st with the earnings report, this eliminates the risk since my thesis was that we should already see substantial benefit.

I mean they got a 30B company for 3B (+5B in debt)... and the stock went down... that was just insane. The upside had to be visible right away on earnings... hence my choice for calls (+ the fact that it's nice leverage :)).

 

Alternatively I'm a strong believer in the Nintendo thesis but honestly have no clue on timing so I only hold the stock. I rarely do options to be honest, this was just a 'slap in the face' special situation for me.

Edited August 31, 2023 by Paarslaars

[sleepydragon]

4 minutes ago, Paarslaars said:

Well the main 'risk' with calls is the time frame. Since there was a clear deadline of August 31st with the earnings report, this eliminates the risk since my thesis was that we should already see substantial benefit.

I mean they got a 30B company for 3B (+5B in debt)... and the stock went down... that was just insane. The upside had to be visible right away on earnings... hence my choice for calls (+ the fact that it's nice leverage :)).

 

Alternatively I'm a strong believer in the Nintendo thesis but honestly have no clue on timing so I only hold the stock. I rarely do options to be honest, this was just a 'slap in the face' special situation for me.

Thanks!  I need a lot these “slap in the face” 

[Gregmal]

Cut half of UBS. 

[keegomaster]

Trimmed down some BRK.B.
At 1.45x BV it's getting a bit pricy. Planning to repurchase when PB goes back to around 1.3x

[wolverine890]

i bonds

[KPO]

40% of my SHEL purchased when oil prices went negative in ‘20. Nothing specifically is negative about SHEL, but I own too much O&G(&P)! 

[dipod]

1 month CSPs on M at $12. Decent premium and a nice way to get the already undervalued stock at a discount.

[Spekulatius]

Reduced JXN and sold WTW

[Paarslaars]

Exited BRK.B in my personal portfolio (still heavy in my family portfolio)

[sleepydragon]

Questions for the board:

 

I have some realized long term loss. I have the following thoughts, wonder if people think is correct:

 

1. Since it’s a tax benefit, it might be better to use it earlier by selling one of my other position with long term gains now, instead of keep waiting and rolling it forward?

 

2. when selling my other position with gain, is it better to sell those with lowest tax basis or highest tax basis, assuming I sell just enough to take advantage of the realized tax loss?  I am thinking it might be better to sell the highest tax basis one because that gives me the most optionality after sale?

 

Basically, I have realized some of my baba loss and now I am thinking if I shall sell some of my Berkshire (less than 10%) to take advantage of the tax benefits now (and use the proceeds to take some other bets like RTX etc)

 

[Spekulatius]

5 minutes ago, sleepydragon said:

Questions for the board:

 

I have some realized long term loss. I have the following thoughts, wonder if people think is correct:

 

1. Since it’s a tax benefit, it might be better to use it earlier by selling one of my other position with long term gains now, instead of keep waiting and rolling it forward?

 

2. when selling my other position with gain, is it better to sell those with lowest tax basis or highest tax basis, assuming I sell just enough to take advantage of the realized tax loss?  I am thinking it might be better to sell the highest tax basis one because that gives me the most optionality after sale?

 

Basically, I have realized some of my baba loss and now I am thinking if I shall sell some of my Berkshire (less than 10%) to take advantage of the tax benefits now (and use the proceeds to take some other bets like RTX etc)

 

1. I think it does make sense to crystalize tax losses in general. You can sell and buy back the same position after 31 days to avoid wash sale rules , unless you think that a large move is likely in 31 days. You can also buy a similar or correlated stock in the meantime.

 

2) I would sell the position with the highest tax base.

[Luke]

33 minutes ago, Paarslaars said:

Exited BRK.B in my personal portfolio (still heavy in my family portfolio)

Why?

[sleepydragon]

10 minutes ago, Spekulatius said:

1. I think it does make sense to crystalize tax losses in general. You can sell and buy back the same position after 31 days to avoid wash sale rules , unless you think that a large move is likely in 31 days. You can also buy a similar or correlated stock in the meantime.

 

2) I would sell the position with the highest tax base.

Thanks Spek. I already crystalized the tax losses, just hesitating if I shall keep rolling the benefit forward or use it now by selling some brk.

I bought some other stocks recently which resulted in I have a margin balance. 

I could sell some brk to raise cash, but I really hate doing that. Peter Lynch said let your winners run!.  maybe I shall just sell more of my lossers like the baba!

 

[Spekulatius]

7 minutes ago, sleepydragon said:

Thanks Spek. I already crystalized the tax losses, just hesitating if I shall keep rolling the benefit forward or use it now by selling some brk.

I bought some other stocks recently which resulted in I have a margin balance. 

I could sell some brk to raise cash, but I really hate doing that. Peter Lynch said let your winners run!.  maybe I shall just sell more of my lossers like the baba!

 

Whatever you do, do not less tax consideration guide your investments decisions too much, the tail should not wag the dog. If you like the winner at current prices, let them run. If you think they are overextended or fundamentals are not that convincing any more and you can do some tax moves that make sense, I think reducing or selling them makes sense.

[Saluki]

Well, my understanding is that the tax loss / wash sale rule applies if you are planning to buy/sell the same securities and try to declare a loss on it (not a gain).  Assume you have, say a $10k loss on stock A, which you sold, and a $10k gain on Stock B, which you own.  Why can't you sell Stock B and buy it back it back right away?  You have the stock at a new higher basis.  

 

If I sell, AMZN today (for a profit) and I  buy it back after it goes up tomorrow (or down), I don't see anything weird in my brokerage account. My broker only does weird things to my basis when I sell for a loss and buy it back within 30 days. 

 

I should add that I'm not a tax guy, so if I'm wrong about this, please let me know. 

Edited September 15, 2023 by Saluki
mistake

[Paarslaars]

3 hours ago, Luca said:

Why?

Expecting higher returns from FFH coming years... BRK at 1.5x book is fairly valued.

Edited September 15, 2023 by Paarslaars

[bizaro86]

I would roll forward the losses and just be mentally aware that I can sell some winners without tax considerations. 

 

Whether you pay 0 tax on winners now or later doesn't make any difference, and I think being able to trim things that get overvalued without tax considerations can sometimes improve returns.