Comments on: How the bear market hit the high yield portfolio http://monevator.com/2009/02/23/how-the-bear-market-hit-the-high-yield-portfolio/ Make more money, invest profitably, retire early Thu, 09 Sep 2010 00:47:23 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: The Investor http://monevator.com/2009/02/23/how-the-bear-market-hit-the-high-yield-portfolio/comment-page-1/#comment-17319 The Investor Fri, 04 Dec 2009 13:16:20 +0000 http://monevator.com/?p=1240#comment-17319 I agree that's the general principle, but I've moved my personal position a little over the past few years and now think it's not appropriate for a semi-active investor to ignore capital values. (Fine for Stephen Bland's famous Aunt Doris). I agree a big flaw in this article is I didn't track the income then or now. All the tools have flaws, making it a bigger job than I have had time for. I'm thinking of doing an ongoing demo Monevator trading portfolio for fun, and if I do I will likely use real money to get around this problem. Thanks for your thoughts. I agree that’s the general principle, but I’ve moved my personal position a little over the past few years and now think it’s not appropriate for a semi-active investor to ignore capital values. (Fine for Stephen Bland’s famous Aunt Doris).

I agree a big flaw in this article is I didn’t track the income then or now. All the tools have flaws, making it a bigger job than I have had time for.

I’m thinking of doing an ongoing demo Monevator trading portfolio for fun, and if I do I will likely use real money to get around this problem.

Thanks for your thoughts.

]]> By: EmergingMarkets http://monevator.com/2009/02/23/how-the-bear-market-hit-the-high-yield-portfolio/comment-page-1/#comment-17312 EmergingMarkets Fri, 04 Dec 2009 12:31:34 +0000 http://monevator.com/?p=1240#comment-17312 I believe the whole point of HYP investing is long term hold for the dividend. The capital values are generally irrelevant (unless there is going to be a massive fall or bankruptcy when you will have to get out). But that is usually stock specific. A market wide fall should have no influence on the underlying philosophy of HYP investing. the key with with is to make sure that you invest in a diversified portfolio of good dividend paying stocks, use the dividends to buy new stocks if you don't need the income, and hang on in there. there is probably another fall coming along to take the market back to feb/march 2009 levels, but that is no reason to lose confidence in HYP strategy. I believe the whole point of HYP investing is long term hold for the dividend. The capital values are generally irrelevant (unless there is going to be a massive fall or bankruptcy when you will have to get out).

But that is usually stock specific. A market wide fall should have no influence on the underlying philosophy of HYP investing. the key with with is to make sure that you invest in a diversified portfolio of good dividend paying stocks, use the dividends to buy new stocks if you don’t need the income, and hang on in there.

there is probably another fall coming along to take the market back to feb/march 2009 levels, but that is no reason to lose confidence in HYP strategy.

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