I heared the lady CEO from Thomas Cook on the radio the other day. apparently within the last two years the share price has gone from 2p to £1.80 a rise of 900%!. IF only I had invested in that share I told myself. But the fear of failure would have prevented me investing over 400k and my fear of greed would have meant I would have bailed out much earlier. My theory is to stick with what I know which is RBS. richer pickings were to be had pre consolidation and to turn a gain did not require as much time. On my previous investment with RBS I was toying with the idea of LLoyds because they were still dealing in old money. At the time they were early 30,s I stuck with RBS and initially regretted it as Lloyds pulled away. I sold my RBS with a 55k gain in the last tax year so I cannot complain.My theory is it is paper money. Yes I am investing a lot but I am playing with past gains and to loose it all would be very dissappointing but would not leave me in queer streetAs long as I keep working I am happy to speculate but if it was the shirt on my back I would not bother as it is far too risky
This causing me to review my strategy! eg: had I bought 13500 BATS in January and sold mid March at 3329 then bought 10,000 Astra on 3rd April, etc., I would have been looking at £19k dividends and £130K profits. These are real figures and, for me, well worth working at identifying shares that can offer these opportunities.
And then there is Astrazenica, 10000 shares bought 3rd April at 3941 have produced £6K dividend and are today sitting at 4817 = £87K book profit. I didn't buy 10,000 Astra but have quite a tidy situation. I am sure there are others that offer similar opportunity and less heartache than RBS.
If you had bought BATS in January at 3012 and sold yesterday at 3572 you would have picked up a £13K dividend and £75K profit with much less risk. I bought in January when I sold my RBS holding and took the dividend but sold in March, not at the same depth but sufficient to be pleasing. I bought back into RBS in March with the same beliefs as you have today but have since reduced to less than 25% of that total. I really have found greater belief in other directions though, now that I have done these figures for you, I rather wish I had stayed with BATS till yesterday!
Or even worse the collapse of RBS!! If that happens I am doomed. it is certainly a daily roller coaster and when I am above break even point as I am now if it dips a few pence I do not take a drop to heart.
At some point , yes but maybe not soon . Like Lloyds the SP is likely to be held at the selling price , whatever that will be , could take a few years for it to get higher than that . Can't see the big players being willing to pay over the odds for RBS at the moment especially with no dividends and better prospects elsewhere .
We all have different ones. mine is a monetary gain. I buy in big and wait and wait hoping that sometime in the next twelve months it will reach my target .I bought in at 3.145 including costs and want to sell at £3.55 giving me a gain of 52k on a 130000 shareholding If I can do this once a year I am quids in. It sounds simple but it does require a lot of bottle when the share goes below£3.00. my stance is don't panic and don't be greedy. When I sell I then wait until the share drops back to original cost and start the process again. I went in alittletoo early this time as I had a gut feeling it would drop to £2.90 and had I waited I would have been back out by now.
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