106
Off topic / Re: JSE End Of Day Data Download
« on: November 06, 2013, 10:35:22 pm »
Www.investordata.co.za, not free I believe, waiting for pricing myself.
Show Posts
This section allows you to view all posts made by this member. Note that you can only see posts made in areas you currently have access to.
107
@Orca, what triggered you into buying CML at the start?
Do you invest in it purely on technicals or do you use the fundamentals too?
Are you constantly adding to your position?
I guess if the fundamentals aren't sound enough hitting that 145 mark might be a challenge.
What is your stop loss set to? and are you using higher highs?
Surely when it starts turning you'll be stopped out. If you made a massive gain on it over time, you should be safe...Not like it could drop 10% or more in 1 day?
Do you invest in it purely on technicals or do you use the fundamentals too?
Are you constantly adding to your position?
I guess if the fundamentals aren't sound enough hitting that 145 mark might be a challenge.
What is your stop loss set to? and are you using higher highs?
Surely when it starts turning you'll be stopped out. If you made a massive gain on it over time, you should be safe...Not like it could drop 10% or more in 1 day?
108
Off topic / retiring early
« on: November 05, 2013, 09:29:01 pm »
Very interesting read, this guy makes a lot of sense.
http://bit.ly/HrC3wq
Interested to read every else's views.
http://bit.ly/HrC3wq
Interested to read every else's views.
109
Off topic / Re: Google ads
« on: November 05, 2013, 09:25:37 pm »
Just don't click on the ad to get the URL, google get's very upset by that! You should be able to get it from looking at the ad itself.
see what you doing there110
Shares / Re: SAtrixindi
« on: October 31, 2013, 08:55:39 pm »I would most likely be investing in property for income or a place to live when I need it.I do not own property,but I do work abroad.
I read your thread Gios.
Correct me if I am wrong,from what I read it appears that the INDI is the way to go for the highest return on financial/time/effort investment.
The Downside
Off course, this would mean I would have to rent and will not have an income should I return to S.A .I could always sell some of those stocks should I need them,cheers for the advice.
I'm not offering advice, you need to draw your own conclusions. I too lived overseas for a few year while renting my props out. I can tell you it was a freaking nightmare letting agents do it. You are so far away with no control. The minute I got back I started managing them myself and things improved. Still quite a pain though, especially when tenants vacate. Frankly had I invested in the Indi instead I would have much more capital today. There's so many variables with property though. Your case you're looking to purchase for yourself to live in one day, so different scenario. You never mentioned whether you were going to bond or not?
If you were going to buy cash, why not bond the property to a point where you'd break even every month once rented, let the tenant pay the bond while you abroad, claim the tax rebates on expenses and bond interest and then invest your cash lumpsum/monthly surplus in the indi. Like orca says, 3yrs holding period you'll only pay cgt. So if you going to be abroad for that period longer you'd probably be in a position to pay the bond off with your gains if it continues to grow as it has historically.
There's no guarantee that the indi will continue to grow at the pace it has over the last 5 years. But if it does, it will most definitely outpace residential property growth.
111
Shares / Re: SAtrixindi
« on: October 30, 2013, 01:42:11 pm »Here's a random question.Will buying property(example,a flat) in South Africa be a better investment that the Satrix Indi in the longer run(3 years or more)?
I think you need to ask yourself what your strategy is. Are you investing for growth or income? If you invest in the property, are you bonding it or paying cash? If you're investing for income. You need to do the calculations. If you're purchasing the property cash your ROI is going to be crap. The more of your own funds you put into the transaction the worse your ROI will be. However, compare the income you'll receive from it if purchased cash to an INDI25 portfolio of the same purchase value and the yield you're going to receive should outweigh the income you'd receive on the ETF. I do my calculations, based on a 4% draw down so it can safely continue growing.
From a capital growth perspective, the INDI historically has outperformed capital growth of residential property. But is it giving you the same income yield of the property on a 4% annual drawn down?
Go and look at my post on paying off property before investing equities. I did some calculations of which you can see the results on historical 5 years INDI25 prices.
You also need to factor in tax, expenses, SARS refunds etc.
112
Shares / Re: Share growth comparison and timeframes
« on: October 24, 2013, 08:44:06 pm »
Orca Im keen to learn how you pick those stocks. Would you mind sharing your stock picking strategy?
113
Off topic / Re: anyone paid off their bond/s before investing in equities?
« on: October 24, 2013, 12:07:57 pm »
I've been feverishly doing some scenario calculations in excel Using last 2 years Month end Closing price data of Stxind25.
Option 1
Monthly investments of +- 40K, divis reinvested
Result = total invested 1,007,688.09, value 1,418,012.39, growth 41.05%
Option 2
Lump sum investment 1,000,000, divis reinvested
Result = value 1,826,366.15, growth 82.02%
Option 3
Lump sum investment 1,000,000 at the start with +- 40k monthly investments, divis reinvested
Result =total invested 1,999,512.59, value 4,997,620.86, growth 149.94%
The penny is dropping for me now gcr
Based on the 2 year, weekly close candlestick chart, I've got a 15, 30 and 60 day MA. The results shows it's been an uptrend for some time. 15 day MA is above the 30 day MA, and 30 day MA is above the 60 day MA.
Option 1
Monthly investments of +- 40K, divis reinvested
Result = total invested 1,007,688.09, value 1,418,012.39, growth 41.05%
Option 2
Lump sum investment 1,000,000, divis reinvested
Result = value 1,826,366.15, growth 82.02%
Option 3
Lump sum investment 1,000,000 at the start with +- 40k monthly investments, divis reinvested
Result =total invested 1,999,512.59, value 4,997,620.86, growth 149.94%
The penny is dropping for me now gcr
Based on the 2 year, weekly close candlestick chart, I've got a 15, 30 and 60 day MA. The results shows it's been an uptrend for some time. 15 day MA is above the 30 day MA, and 30 day MA is above the 60 day MA.
114
Off topic / Re: anyone paid off their bond/s before investing in equities?
« on: October 14, 2013, 09:34:43 pm »
Thanks Patrick.
My comparisons are made against a portfolio with a 4% draw down in order to cover annual living expenses. One is going to pay income tax on the sale of those equities too in order to generate income annually off of that portfolio.
I'm looking at this from an income perspective.
Let me keep it simple by not including expenses, taxes and dividends
Total of 2 rental property bonds = 1.36 mil = rental income 14.5k p/m excl expenses=174k p/a, the investment capital never diminishes. Yes the properties values might go through periods of slow growth or even lose value depending on multiple factors, but the income should remain the same or increase with inflation. I never invested in property for the capital growth but rather for income and don't think anyone should invest in residential property for any other reason.
Compare that to an equity portfolio of the same value with 4% draw down = R4533 pm
So, in order to achieve the same income as the property portfolio generates with a safe 4% drawn down on an equity portfolio, it would need to be worth 4.35mil.
My target figure is x25 my family's annual living expenses, as they say that would be sufficient with a 4% annual safe draw down on an equity portfolio, of which that portfolio should achieve 15-20% growth every year. That annual draw down would increase every year as the portfolio value grows too. My current figure is around the 8mil mark and I don't want to get the by 65.
I'm not finished with my response but need to run and will expand further another day. I hope this explains my aim a little better for the time being.
My comparisons are made against a portfolio with a 4% draw down in order to cover annual living expenses. One is going to pay income tax on the sale of those equities too in order to generate income annually off of that portfolio.
I'm looking at this from an income perspective.
Let me keep it simple by not including expenses, taxes and dividends
Total of 2 rental property bonds = 1.36 mil = rental income 14.5k p/m excl expenses=174k p/a, the investment capital never diminishes. Yes the properties values might go through periods of slow growth or even lose value depending on multiple factors, but the income should remain the same or increase with inflation. I never invested in property for the capital growth but rather for income and don't think anyone should invest in residential property for any other reason.
Compare that to an equity portfolio of the same value with 4% draw down = R4533 pm
So, in order to achieve the same income as the property portfolio generates with a safe 4% drawn down on an equity portfolio, it would need to be worth 4.35mil.
My target figure is x25 my family's annual living expenses, as they say that would be sufficient with a 4% annual safe draw down on an equity portfolio, of which that portfolio should achieve 15-20% growth every year. That annual draw down would increase every year as the portfolio value grows too. My current figure is around the 8mil mark and I don't want to get the by 65.
I'm not finished with my response but need to run and will expand further another day. I hope this explains my aim a little better for the time being.
115
Off topic / Re: anyone paid off their bond/s before investing in equities?
« on: October 08, 2013, 11:42:33 pm »
Working on it gcr 
you are correct.
My sums thus far with 6 year horizon.
45k invested at 20% annual return would produce a total figure of R4.9 bar. Have not done the sum for the R8 bar figure yet. Would probably need to achieve an estimated 40% return or double the time horizon.
Logic is telling me free up as much disposable income as possible to up the 45k monthly figure, grow passive income by paying off the rental properties and use the proceeds of such to add to it. Have not factored in salary increases or bonuses either yet.
Having said that and should the above hold true, and I follow my own advice of paying off all 3 bonds, I'd only start investing in the market in 3 years time which means it will take 9years to reach a mark of 4.9mil. So my question I'm battling with is what is the opportunity cost. I know for sure that those 2 properties with total outstanding bond amount generate passive income of R14500 p/m currently. An equity portfolio of the same value will not safely produce that type of monthly income.
Thoughts?
you are correct.My sums thus far with 6 year horizon.
45k invested at 20% annual return would produce a total figure of R4.9 bar. Have not done the sum for the R8 bar figure yet. Would probably need to achieve an estimated 40% return or double the time horizon.
Logic is telling me free up as much disposable income as possible to up the 45k monthly figure, grow passive income by paying off the rental properties and use the proceeds of such to add to it. Have not factored in salary increases or bonuses either yet.
Having said that and should the above hold true, and I follow my own advice of paying off all 3 bonds, I'd only start investing in the market in 3 years time which means it will take 9years to reach a mark of 4.9mil. So my question I'm battling with is what is the opportunity cost. I know for sure that those 2 properties with total outstanding bond amount generate passive income of R14500 p/m currently. An equity portfolio of the same value will not safely produce that type of monthly income.
Thoughts?
116
Off topic / Re: Isn't it great when you exceed your goals
« on: October 08, 2013, 10:50:16 pm »
Well done Patrick.
Looking forward to that blog post.
Looking forward to that blog post.
117
Off topic / anyone paid off their bond/s before investing in equities?
« on: October 08, 2013, 10:48:03 pm »
Got about a year left or perhaps less to zero the primary residence bond. Reduced the monthly installments by 75% over the last 3 years. Sitting on the sidelines watching the market is frustrating as hell! Cashed all previous STX investments in to move to bond and have made considerable lifestyle adjustments to throw plus minus 75-80% of nett income at it. Have no short term debt either.
Also got 2 bonded rental properties which I can start attacking a year later 1 by 1. This approach would guarantee passive income for life from the end of year 2 and 3, then start chucking all earned surpluses at STXIND,FINI,RAFI,RESI etc. to build up to my 8mil magic mark OR I'm leaning towards chucking the surplus at STXIND instead as soon as the primary residence bond is zeroed for that 8mil mark.
Keen to hear who's done this or also doing aiming for and what your experiences have been.
Also got 2 bonded rental properties which I can start attacking a year later 1 by 1. This approach would guarantee passive income for life from the end of year 2 and 3, then start chucking all earned surpluses at STXIND,FINI,RAFI,RESI etc. to build up to my 8mil magic mark OR I'm leaning towards chucking the surplus at STXIND instead as soon as the primary residence bond is zeroed for that 8mil mark.
Keen to hear who's done this or also doing aiming for and what your experiences have been.
120
Shares / Re: Reaching financial freedom
« on: August 16, 2013, 10:26:27 am »Just fixing the link for everyone, this one works: https://soundcloud.com/primediabroadcasting/julia-savingThanks Patrick