Forum Archive Index - September 2000

["tennyson@caverock.net.nz" <tennyson@caverock.net.nz>]

>
> Snoopy wrote
> 
> "But if you are an investor you are raking in the dividends while
> you wait. I would hardly call holding something like RBD and getting
> paid 12% just to sit on your own money a 'losing' position."
> 
>It's a losing position if you paid $2.20 for the shares in which
>case you are only making 6% or so on your original investment - less
>than you can get in the bank. If you assess the return at 12% either
>you bought at the current level OR you have written off the $1 or so
>the share price has fallen since the float. You can't have it both
>ways.
>
Yes you can have it both ways.  I bought some RBD at 80c a couple of 
years back.   By your logic Mike I would be making 20% or so on those 
shares now just in dividends.   I'm not though.   I am making 12% 
like everyone other RBD shareholder.  That is why when you look in 
the paper they are able to publish a *single* yield figure.  The 
price you bought the shares at is irrelevant.
> 
>Anyway how many of us count our profits before they are realised, 
>
I do.
>
>so what's the difference with losses?
>
None

 
SNOOPY


---------------------------------
Message sent by Snoopy 
e-mail  tennyson@caverock.net.nz
on Pegasus Mail version 2.55
----------------------------------
"Q: If you call a dog tail a leg, how many legs does a dog have?"
"A: Four.  Calling a tail a leg doesn't make it a leg."


----------------------------------------------------------------------------
http://www.sharechat.co.nz/          New Zealand's home for market investors
http://www.netbroker.co.nz/        Trade on Credit, Low Brokerage. Join now.
----------------------------------------------------------------------------
To remove yourself from this list, please use the form at
http://www.sharechat.co.nz/forum.shtml.