Sample Forum Posts

Anyone who buys the Simply Investing "Value Package" or the "Premium Package" automatically receives a lifetime membership to our informative and supportive private member’s forum.

Enjoy a selection of sample posts below:

1642% yield based on purchase price. Is that even possible?
Yes it is. Read on.....
This recently appeared in the Money Reporter (issue #1121):

"An investment in Coca-Cola stock in 1938 might be a bit of an extreme example, but it does show using a buy-and-hold strategy in a good company with rising dividends can improve your current yield over the years.

Current yield on shares purchased in 1938 at today's price: $1.36 / $0.08283 = 1642% "

May, 2007

Well it's been a good run and now it's time to say goodbye.

We purchased Claire Stores in Jan 2005 for $20.60, the shares will now automatically be tendered for cash at $33.

Not counting dividends we are looking at 60.2% return in about 26 months.

PEMBROKE PINES, Fla. (AP) -- Costume jewelry retailer Claire's Stores Inc. said Tuesday it agreed to a $3.1 billion takeover proposal from New York-based private equity firm Apollo Management LP.

July, 2007

For an individual with no income other than taxable Canadian dividends which are eligible for the enhanced dividend tax credit, approximately $50,000 can be earned before any federal taxes are payable in most provinces.

http://www.taxtips.ca/dtc/taxcomparison.htm

While we are on the subject of mutual funds today, here are 150 reasons not to buy mutual funds:

http://www.dividendgrowth.ca/pages/old_site/fundno.html

With all the economic doom and gloom being presented in the media, I thought I'd share some positive news with you today.

March, 2008

With all the economic doom and gloom being presented in the media, I thought I'd share some
positive news with you today.

Three more companies in our portfolio, recently announced dividend increases:

- Power Corporation of Canada increased their dividends by 20.2%
- Johnson & Johnson increased their dividends by 10.8%
- Southern Company increased their dividends by 4.0%

For Johnson & Johnson this represents the 46th consecutive year of dividends increases.

For Southern Company this represents the 7th consecutive year of dividends increases.

Dividends increases are great because they increase the amount of cash the shareholder receives. Over time the dividend yield based on the original purchase price also goes up. Here's my example:

I purchased TRP (TransCanada Pipeline) on Oct 20, 2000, the dividend yield at the time was 5.97%
With consistent dividend increases since then, my dividend yield today based on the purchase price is 10.75%.

Not bad considering a term deposit (GIC) will only give you 3.2% today.

February, 2010

Warren Buffett was in Toronto this week and as usual his speech and candid Q&A session revealed numerous one-liners, here's some of my favorites:

"As I've said in the past, it's only when the tide goes out that you find who has been swimming naked. Well, the tide has gone out and it has not been a pretty sight."

"The people who brewed this toxic Kool-Aid found themselves drinking a lot of it in the end".

"...it's "poetic justice" that some big-name U.S. banks are getting hurt by the complicated packages of debt securities they helped create and sell."

January, 2009