About Me

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Interested in saving and investing for financial freedom. Mid to late career IT worker with 20+ years in the state retirement system seeking alternate income through dividend growth investments. Final goal is to pass it down to my children and that they do the same for their children-a continuing generational wealth transfer.

Saturday, April 20, 2013

What if....? and March/April activity

I was reading my favorite financial web site and going over the commentary that followed an article from a favorite author. A civilized but pessimistic investor asked the doomsday scenario questions that dog all of us from time to time; what if American prosperity is at an end, what if there is a depression and no recovery, what if permanent recession is the new normal? Here is a link to the entire article and comment thread-

http://seekingalpha.com/article/1339941-the-dirty-secret-about-the-1929-stock-market-crash


I just received an options assignment for GE, 200 shares. I'm glad-it looks reasonably valued and they have a projected 10% dividend increase in the immediate future. PE~15, P/B<2, 3.35% dividend, 220B market cap, RSI~35-to me these are good numbers. GE is an industrial that manufactures turbines and jet engines, medical devices and appliances and a conglomerate-they recently acquired Lufkin to increase their oil, energy and drilling services space. GE Capital is their financials which they may spin off. They beat estimates and still took a 4% beating yesterday-ripe for a comeback.

I sold off SPLS and F. I'll re enter on F if it pulls back. Still waiting for ARNA release, using options on ARNA to generate capital. I sold both a call and a put on it-put just expired. Put on XOM expired. CAT looks interesting at ~80.