Defensive Buying - week ending 2 June 2017

Monday, 5th June 2017 09:59 - by Moosh

The number of shares in a defensive buy is dictated primarily by the asking price and the buy/sell commission that you pay – for simplification I will assume that the buy and sell commissions are the same value and will provide a maximum number of shares to buy for a single commission of £5.25, £7.50, £10.00, and £12.00.

If your commission is not shown here, then round up to the nearest commission level and use that as a potential maximum number of shares to buy, assuming you are happy with the fundamentals at the latest time and price given. I will be adding more companies to the Defensive Buy list when they are ready to appear on it and NOT before!

 

Defensive Buying - week ending 2 June 2017

 

Here is a first defensive buy example in Westminster Group (WSG):

Bought: 989 shares WSG (3 tranches)

Total cost of purchase: £123.90

Return after selling cost: £143.10

Return on investment: 15.4%

Incubation time: 46 days

 

Total profit from defensive buys (rounded down to nearest pound):

£8 (GSK) +£7 (BT.A) +£50 (ARS) +£4 (OMI) +£81 (ARS) +£20 (OXP) +£6 (ARS) +£118 (PLUS) +£7(DLG) +£14 (MTR) +£24 (7DIG) +£30 (MTR) +£21 (CPI) +£15 (MTR) +£58 (PLUS) +£11 (PLUS) +£5 (CPI) +£18 (MTR) +£56 (EME) +£73 (EME) +£158 (EME) +£74 (EME) +£19 (EME) +£4 (UPL) +£9 (EME) +£19 (WSG) = £909

The Writer's views are their own, not a representation of London South East's. No advice is inferred or given. If you require financial advice, please seek an Independent Financial Adviser.


Comments

You must be logged in in order to post. Click here to login.

Login to your account

Don't have an account? Click here to register.