Thursday, January 8, 2009

more cheese please

On December 1, 2008 I initiated a new stock position in Canadian food products firm, Saputo (SAP). You can read why I like Saputo in my Saputo purchase post. I picked up this first group of shares at $22.20.

This week I added to my Saputo position at $19.91, that is over 10% below my initial price. This brings down my adjusted cost base on the stock. Saputo now makes up about 5% of my non-registered portfolio. 3 out of my last 4 stock purchases have been food related....mmm food..

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Nurseb911 said...

Great grab MG! I'll be looking to add to SAP shortly, but I think the company over the long-term is very well managed and able to execute on their growth intiatives. I doubt cheese, milk and their other products are going to disappear anytime soon.

POL said...

MG, How much different stocks do you think an indivudual investor like you or me should own?

Right now i have 10 stock and I don't feel like I'll buy some more. I feel comfortable with 10 stocks, next time if I want to buy a new one I may juste sell another one. If I had something like 25 i'd feel like a have to much to follow...

Right now, here's my portfolio:

Husky Energy 21%
American Eagle Outfitters 16%
Wells Fargo 16%
Reitmans 15%
Procter and Gamble 10%
3M 7%
Rockwell Automation 4%
Yellow pages 4%
National Bank of Canada 3%
Richelieu Hardware 3%

Leave me your comment if you have a chance!

MG (moneygardener) said...

Hi POL, I don't think there is any magic number, however I believe that you are putting yourself at too much risk by holding individual equity positions as large as your positions In Husky AEO, WFC, and Reitmans. Just consider the possibility that any one of your stocks can go to zero and how that would affect your portfolio. It really depends on how much of you net worth is involved and what you risk tolerance is as well.