oh Boy, what a 2016 start

Dear friend,

I am sure that you thought that we left the net after one month without a post. No, we are still on the air, but so many things happened that I had no time or too tired to write new articles.

I will summarize, what happened during the last month:

  1. With Mrs Retired, we took a big decision by buying an apartment in Switzerland (more details to follow in specific posts)
  2. On the 2nd of January, Retired50 celebrated ONE YEAR anniversary!!!
  3. The market goes crazy and the variability is not controllable
  4. First step in preparation of the min 20% equity to put down for the purchase of the appartment (sold SwissRe and Roche shares)
  5. Meet with banker for the first mortgage meeting

So, I am preparing some articles to explain you what is required to buy a house/apartment in Switzerland .

Wish you a good weekend

Cheers, RA50

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The first salary after my job move

Hi All,

Yesterday, the October pay check was quite impressive, as we received the first salary with the 4.3% increase (promotion), the relocation allowance and the 13th salary adjusted to 9 months (based on my previous salary). Next month, I will receive the remaining amount of the 13th salary based on my new salary.

First thing I did is to transfer money to our broker account, now we have a new cash position of 20K CHF, which next month will increase by around 4000 CHF, with the remaining of 13th salary.

I am happy to have this cash position, as the market as been so volatile recently that good opportunities exists to buy shares at discounted prices.

For example, Roche (ROG:VX) is very attractive and with the excellent 3rd quarter results, will prove once again a very good investment.

You may have seen that Credit Suisse (CSGN.VX) will increase their capitalization and I believe the investors should have preferential positions, let’s see. My only concern we are already over-weighted in financial companies with UBS.

LafargeHolcim is another company that I believe should be invested in, they are really discounted now, and the future is bright for the cement Giant.

What about you, any tips on what to buy?

Cheers,

RA50

Markets crisis or should I say tension

Dear all,

I went through the performance of our portfolio considering the markets situation, the Greek endless crisis, the Chinese market falling like hail in summer and the reaction of the global markets. Well, the picture is really not nice. In almost one month, the actual value of the portfolio vs. our calculated selling price of each shares (including all broker fees) went down from -8.3% to -14.1% or in percentage point -71%.

Looking at the positive side, it gives us an opportunity to buy shares at discounted prices or investing on our tax advantage account (3rd pillar), our cash position available is around 156’000 CHF. the split is one-third for the broker account and two-third for the tax advantage account. In order to keep a certain cash value as an emergency fund, we will probably not touch the broker account, but investing in our 3rd pillar.

In next couple of day, I will closely look at the market and evaluate how much, and on in which of the fund we will put money to work.

What is your situation, hopefully better than our.

Cheers,

RA50

Why my god feeling is telling me that we are going to enter a turbulent time

Dear reader,

The world market have reached all time high during the last few weeks, so why I cannot take of my mind that we are going to enter turbulent time.

The DAX lost 1000 points in 7 days, the DOW is stagnating for the last 5 months, today the SMI lost 1.6% today. Is it the first sign of market correction that all of us are expecting with more or less credit and faith.

I am consolidating cash position to be ready for a market drop.

What are position now, do you have cash available to invest or are you fully invested?

Cheers,

RA50

Oh Boy, what a week!

Hi all,

As you probably have seen the SNB decision to leave the CHF to fluctuate to the EUR and the dramatic response of the Swiss shares in the SWX platform. What I must say that we took a big it, I could be devastated of losing around 20% of our portfolio value, but no, I see that as opportunities to buy more shares at DISCOUNTED prices. OK, now I will need to see which strategy to go, cheap and low rending shares or more expensive ones with high dividends. I will probably do a bit of both.

Now the Zurich financial shares are again attractive price wise especially with high dividends they provide.

Let’s see how the week goes!

Cheers

Next Buy

When the SWX open on the 5th of January, I will start looking at the following buying opportunities:

Adecco

Schindler

Sika

Swiss RE

These stocks have big dividend as well as growing opportunities. Sika has lost more than 20% recently and is in the middle of a take over by another big firm (Saint-Gobain).

Let see how the market react at the first day of 2015.