mr gic

[selkirk]

just an update from the last few trades.
Atp.un hit a low of $11.07 Friday so I got the 400 shares.

The option on CNR is now listed, and the sale of MPT.un and buying of ATP.un is now updated.

MPT.un div of $39.58 and BNS dividend (december div) $75.58 are added to costs. which now stands at $171.17. Costs represent commissions ect.

will reduce in the next few weeks.

thanks
selkirk

Portfolio
update Feb 13, 2004
start date april 16, 2002

Saxon small cap $5000 invested to buy 304.536 units.
$21.46X 316.68 units= $6795.95

Saxon World Growth Fund 294.14
X 16.88= $4965.1051

BNS Dividend Fund 110.3387 X $30.065 = $3317.33

Summit Reit (smu.un) 200 shares (purchase price $14.98/yield 10%)divs=$1275
$18.40X200= $3680

400 BTE.un $12.90X400 = $5160

200 BFI Canada Income Fund BFC.un$10.97 divs= $881.12 $24X200= $4800

500 Riocan REI.un $18.11 X500 = $9055

Dundee Reit D.un divs = $219.99
400 shares X $25.85= $10340

500 IUR.un $10.25
500 X$10.34 =$5170

500 CLC.un bought $10.70 divs $78.91
500 X$13.50= $6750

CIBC $70X 200 shares =$ 14,000

CM July $70 Calls $1.55 (200X$1.55) = $310
Atp 400 shares $11.10 =$4440

2 CNR June $66 Puts ($1.10/$1.25)
200X $1.10 =$220

Tek.sv.b May $26P 3 contracts $1.25/$1.55 $375 credit
CM July $66P 2 contracts $1.85X200= $370 credit

MFC April $50P 2 contracts .75/.85 $150 credit
TLM March $26 3 P contracts $1/$1.20


costs = $171.17
cash = $8365.06

Total portfolio value= $86,243.447

 

[selkirk]

buy 100 tek.sv.b shares @ $43.81
sold 1 $44 August call @ $4.10

Tek is up today, basically bought 100 shares of teck (trade on TSE, metals stock, gold, zinc, coal molybendym,copper,ect) at $43.81.

at the same time wrote (sold) 1 call August $44 for $4.10. (if you do this at the same time save on commissions). so if I lose the stock in August will make 9.3% on my money for six months, not bad.

thanks
selkirk

 

[DOGS THAT BARK]

Not Bad!! --- Wish I was adapt in these puts and calls--seems you have worked them quite well in the years I've been observing--might fit it into my schedule to make trip to Canada if you got time for a short seminar---of course I'd have to study for 2 months prior just so I could understand the terminology

 

[selkirk]

DTB the options are not to hard to understand. though at some time you should visit the country to the north. have some great golf courses will have to practice my game, at this point it is terrible. will have to plan a trip down to the US some winter to avoid the cold.

will start a thread on options, they can be complicated, have books on options that would confuse most (well me anyways) but they can be simple.

buy and hold of stocks can also work out well, own many of the stocks that I write (sell) options on and they have done just as well.

thanks
selkirk

 

[selkirk]

update on dividends the portfolio earned from Jan-March.
SMU.un $76.5, BTE.un $180, D.un $219.60, CLC.un $118.37, BFC.un $70.09, Rei.un $157.50, Iur.un $109.37, CM $130, ATP.un $66.73 2months.
total divdends (jan-March) $1128.16

in the next three months will probably sell SMU.un, would like to sell clc.un around $14, and REI.un over $19.50.

will write a few more options.

Portfolio
update March 11, 2004
start date april 16, 2002

Saxon small cap $5000 invested to buy 304.536 units.
$22.29X 316.68 units= $7058.79

Saxon World Growth Fund 294.14
X 17.15= $5044.501

BNS Dividend Fund 110.3387 X $30.47 = $3362.02

Summit Reit (smu.un) 200 shares (purchase price $14.98/yield 10%)divs=$1275
$19X200= $3800

400 BTE.un $14X400 = $5600

200 BFI Canada Income Fund BFC.un$10.97 divs= $881.12 $26.50X200= $5300

500 Riocan REI.un $18.76 X500 = $9380

Dundee Reit D.un divs = $219.99
400 shares X $26.34= $10536

500 IUR.un $10.25
500 X$11.25 =$5625

500 CLC.un bought $10.70 divs $78.91
500 X$12.95= $6475

CIBC $70X 200 shares =$ 14,000

CM July $70 Calls $1.55 (200X$1.55) = $310

Teck 100 shares $44= $4400

Teck Aug $44 Call $410 credit

Atp 400 shares X $10.70 =$4280

2 CNR June $66 Puts ($1.10/$1.25)
200X $1.10 =$220

Tek.sv.b May $26P 3 contracts $1.25/$1.55 $375 credit
CM July $66P 2 contracts $1.85X200= $370 credit

MFC April $50P 2 contracts .75/.85 $150 credit
TLM March $26 3 P contracts $1/$1.20


costs = $171.17
cash = $5503.22

Total portfolio value= $90364.531

 

[selkirk]

just one more trade

buy 100 inco at $50.51

sell 100calls (1 contract) at $50 August $4.25 (4.35)= $425 credit

okay will buy 100 shares of inco, and at the same time sell a call (which pays me $4.25 a share). will have to sell the stock for $50 in August.

hope to make 8% in just over 5 months, if it works out, if not I pay $46.26 cdn. for 100 shares of Inco. not a bad trade....hopefully.

note was looking at selling puts however plan to sell some of my income trusts off so cash will be built up quickly.

thanks
selkirk

 

[selkirk]

just a small trade

selling 400 BTE.un at $14.50.

if I sold yesterday or early today could have $15. still the trade made money.

want to build up some cash. also have sold all of my energy income trusts in Feb. would look at them again if they fall back 10%.

the yields on them use to be 15-19% in a few years they have fallen to around 9-11% as prices have gone up, just not worth the risk in most cases.

thanks
selkirk

 

[baby johnson]

thanks for your help,,sk

 

[selkirk]

thanks for reading bj,

will sell the remainder of SMU.un for $1.7.50 (if it hits this currently around $17.30.)

had 500 and sold 300, kept the remaining 200, now is the time to cut back on income trusts and take some money off of the table.
this is the one I have wanted to sell the most.

main reason is management has grown the company but not the distributions. they have expanded the company but with no benefit to unitholders (shareholders) most of their purchases have seemed to help management and bankers.

only want trusts that can grow their distributions at this stage.

thanks
selkirk

 

[selkirk]

well time for another update:

sell 2 P OCT TD $48 .95 =$180 credit.

actually wrote this last friday and got 1.25 but if I was to do the trade today it is .95-$1
so will do two, TD is at $50.85 cdn.

I am doing this because may lose my cm at $72 trading over $73.50.

money will be added to cash.

thanks
selkirk

 

[selkirk]

will try to sell riocan 500 shares @ $18.95, order good for the next two days.

like riocan a very good reit, however yield has dropped (price up) to 6.66%. will try to sell it and buy it back cheaper.

the stock has went ex dividend yesterday.

thanks
selkirk

 

[dawgball]

buy and hold of stocks can also work out well, own many of the stocks that I write (sell) options on and they have done just as well.

I think this is the same thing as what I was referring to when I mentioned Closed Calls. Does that ring a bell?

 

[selkirk]

dawgball you are correct except the term is covered calls.

you own the stock and then you write (sell) a call on the stock.

ie.
buy stock X for $10, you buy 1000 shares.

then sell $11 November calls 10 contracts (1 contract = 100 shares) for .80 ($800)

your cost for the stock you bought is now $9.20 ($10-.80=$9.20).

1. you are obligated to sell the stock at $11 until the third Friday in November.

2. if the stock is lower than $11 the options expire worthless, if above $11 the stock will be called off of you.

3. you recieve all dividends because you still own the stock.

4. since your dollar cost average is $9.20 you do not lose until the stock drop more than the price of the option .80

5. you can close out the position of the call, for instant you can buy back the option you sold...close out the position.

6. the main risk in covered calls is you give up gains past a certain point. ie. stock goes to $15 you only get $11.

7. the advantage is you get the cash instantly, lowers your cost base, and if you lose the stock make a nice gain.

note: sold riocan 500 @ $18.95 (hit a high of $18.98 closed at $18.73.

will buy back 500 shares @ $18.50, order good for today and next week. gains from the trade will go to costs.

thanks
selkirk

 

[baby johnson]

sk, do have have any feels on some buy and hold canadian stocks, maybe in oil exploration ??

bj

 

[selkirk]

BTJ three I have owned or have options on that trade in the US

TLM $37.97cdn $30.15US

CNQ $62.40 $49.54US

ECA $80.54 $63.86US

CNQ is developing a large project in the Alberta oil sands. own a position and wrote calls on it....

ECA is the largest producer of natural gas, good mangement. own small positon, and have puts nov $74 out.

TLM of the three seems the weakest of late....good management. do not own any but have $32 puts out (various dates) expect them to expire. cheap.

would wait btj, I am keeping 50% of my money on the sidelines that normally put in this sector.
oil broke below $50, so my guess is there is a greater chance it goes to $45 before $55.

see the oil thread for earnings and cash flow estimates, believe they are in there.


REI.un trade sold $18.95 bought back at $18.50.

proceeds = $225 go to costs

costs= $396.17 (want to increase this amount over time, do not trade much in the portfolio but still you could not do these trades for this little money.)

thanks
selkirk

 

[baby johnson]

thanks sk, at what price should i invest in CNQ ??

appreciate all the info

 

[selkirk]

ahjoah they just came out with earnings and they look good. will review the earnings of the companies mentioned above, and teck, inco, in another thread.

if you believe oil will stay above $45, then CNQ is a great value. it is more of a call on oil. of the three believe CNQ is more volatile of the three.

like all three companies, growing production, good management, however they will act on the direction of oil/natural gas; I could make a case for the bulls and the bears.

three weeks ago some of these companies came out with good news, and the base metals and oils all sold off.

will provide more details on these companies in the coming weeks....good luck.

will try to sell 500 REI.un at 18.90 order good for the rest of the week.

thanks
selkirk

 

[selkirk]

Sold Rei.un at $18.90 actually the day later went to $19.30 + cdn.
now it is trading down,

will put a bid good for the week at $18.50 for 500 shares.

thanks
selkirk

 

[selkirk]

MFC 2 April $50 P $150credit, TLM 3 March $26P, TEK May $26Put $375 credit all expired worthless.

TEK expires tomorrow but it is trading over $38cdn. so assuming it expires.

sold smu.un at $17.50 however now it is over $19, they had a good quarter and seem to be improving. bad trade.

BTE.un sold at $14.50 currently below $13. so good trade.

REi.un hit $18.51, but when I posted was $18.60, and went up from there now at $19.

divs SMU.un, REI.un April, rest will be done at the end of June.

cash updated, portfolio updated will be at the end of June, along with dividends.

orders until May 25,

400 DR.un $13.70 a good trust, medical facilities in the US. yield over 8%. note: own a small positon avg. cost $11.50, regret did not buy more.

300 FMF.un US mortgage lender and higher risk, still yields over 12%.
300 @ $9.10

500 REI.un $18.60

thanks
selkirk

Portfolio
update May 19, 2004
start date april 16, 2002

Saxon small cap $5000 invested to buy 304.536 units.
$22.29X 316.68 units= $7058.79

Saxon World Growth Fund 294.14
X 17.15= $5044.501

BNS Dividend Fund 110.3387 X $30.47 = $3362.02

200 BFI Canada Income Fund BFC.un$10.97 divs= $881.12 $26.50X200= $5300

Dundee Reit D.un divs = $219.99
400 shares X $26.34= $10536

500 IUR.un $10.25
500 X$11.25 =$5625

500 CLC.un bought $10.70 divs $78.91
500 X$12.95= $6475

CIBC $70X 200 shares =$ 14,000

CM July $70 Calls $1.55 (200X$1.55) = $310

Teck 100 shares $44= $4400

Teck Aug $44 Call $410 credit

Atp 400 shares X $10.70 =$4280

2 CNR June $66 Puts ($1.10/$1.25)
200X $1.10 =$220

CM July $66P 2 contracts $1.85X200= $370 credit

Inco 100 shares @ $50.51 purchase price

Inco 1 call contract August $50 $425 credit

TD 2 P contracts $48 Oct .95 = $190

costs = $396.17
cash = $19896.55

Total portfolio value= $90364.531

 

[selkirk]

400 shares of DR.un was filled yesterday at $13.70

300 Fmf.un @$9.10 and the riocan order now good for the end of the week, though it looks like they will not be filled.

thanks
selkirk