XLF, Banking and Financial Sector Stocks

Top 66. Dec 16, 1999 2:55 PM

» Kirk - Funny

but I am a dog lover and yet I own

C, A and T!

(Only own C in the newsletter which is not real money)

-- posted by Kirk

Top 67. Dec 16, 1999 3:12 PM

» SteveT - Kirk

Perhaps my uneasiness about C is my lack of understanding and dislike of Insurance companies. I understand banks much better. It is really pretty simple get money in but don’t keep it in to long. Lend it or find a way to collect a fee for handling it but keep it coming in and going out as fast as possible. Kind of like inventory turns in other business. Insurance Companies have always been a sore spot with me. If I buy Life Insurance from them if I stay among the living they win, if I die I win. Don’t like the odds personally 8). I do understand your point about the merger and 8%. My mind comprehends it but my heart don’t feel it. Course I could do worse it could be a tobacco stock. Maybe someone can point me to a place to learn more about what makes a good profitable insurance co. vs. a not so good one.

-- posted by SteveT

Top 68. Dec 17, 1999 9:07 AM

» Kirk - Bank Stocks and Funds Update

Some of our favorites:
http://finance.yahoo.com/q?s=xlf+bto+fsr...

Detailed view
http://finance.yahoo.com/q?s=xlf+bto+fsr...

Sector up a bit today...

30 yr bond at 6.39% up another 0.1% today.
<img src=http://iccharts.quicken.com/bin/icenter.... width=470 height=180>
Do I sell some Fidelity Contra (my largest mutual fund) to take profits at new highs (It has a nice chunk of the high fliers and is ahead of the index) and roll them into BTO? Probably not a bad choice...since it is in my IRA.

-- posted by Kirk

Top 69. Dec 17, 1999 10:01 AM

» Thruhiker - Kirk

Enjoyed our back and forth on bank stocks; actually added to my BTO position yesterday. Be interesting to chart the total mkt, XLF and BTO a year from now.

-- posted by Thruhiker

Top 70. Dec 17, 1999 10:48 AM

» Kirk - Yes, this forum is proving to be rewarding.

Yes, this forum is proving to be rewarding - mentally as well as, hopefully, financially!

I ALMOST bought some BTO today using Fidelity but I couldn't do a switch from a Fund to a "Stock" in a single day (and not enough cash to cover it) without a broker and a $110 charge... I then decided to check on my "getting Select funds with no load" and found that all my Fidelity Funds that transfered from HP came with "Full Load Credits" meaning I can switch into select funds or other 3% Fidelity Funds without paying the load.

The SAD NEWS is that once I purchase stocks or non Fidelity Funds, these credits are GONE! Much of my buying has been from selling FCNTX on strength and buying bargains elsewhere. Now I will try to use the sector funds to keep my load credits and do stocks outside the IRA.

Pretty compicated with Fidelity but I am glad to finially understand the why and how of what I can do on the web vs with a broker for my IRA.

I think I might add $2K to my deductable Schwab IRA and buy BTO with that. Commission is 1.5% at that small level so maybe I need to mix it with some other stuff elsewhere. I prefer taxable as I don't know how it pays dividends and capital gains and I prefer to not generate these in taxable accounts.

-- posted by Kirk

Top 71. Dec 20, 1999 9:14 AM

» Kirk - XLF @ $23.000

I used the "Limit" feature to scoop up some XLF between the bid and ask to pay for the commission plus a dinner out had I gone with a limit order.

Moved 1% of portfolio from Fidelity Value to XLF (closing my position in FDVLX). Figure I will have a lower tax bill next year if nothing else! 8)

-- posted by Kirk

Top 72. Dec 20, 1999 9:25 AM

» SteveT - Lower tax bill

Kirk do you have any info on what XLF pays out in dividends? I have looked a little bit and have not found the info yet. If yield is to high it could raise that nasty ol tax bill.

-- posted by SteveT