Q: Happy new year, 5i team,
I’ve read TOI Q&A back to around Sept ‘21. It seemed a sound strategy for me to buy them as my first tech stock, when priced at $140; just 40 shares. They’re non-registered so as to fit my goal of future tax advantages of capital gains if I ever needed to sell some. I was thinking that periodically I’d buy more to increase my tech weighting as well, overall in all accounts.
Reading your reply on price for ‘good, great and table pounding’, I am wondering if I totally misunderstood this stock. Did I overpay, or is the last 3-4 months drift down simply the manifestation of a higher risk stock. Your reply to a reader on your predictions on future P.E.s , TOI at 200x made me think that how this fairly new stock is doing is just what this kind does, and why a hold for 5+ yrs is best.
Do you have guidance if what I’ve written shows a big gap in my understanding please?
Would you buy more today?
Another note (please deduct credits)- when an investor is growing their portfolio and goes from say 5 stocks to 10 stocks, then to 20 stocks, the weights could be 20% each then drop to 10% each, then eventually get to the 5% max you advise, as more stocks are added. To me this seems logical and realistic, then I paused that maybe one must buy less of more stocks so one is closer to the 5% from the start of the journey rather than seeing that as the goal (say at the end of a 4-5yr period). Which strategy is better, does it not matter so long the investor eventually gets there, or, is this related to one’s risk profile?
Much appreciated as always :)
I’ve read TOI Q&A back to around Sept ‘21. It seemed a sound strategy for me to buy them as my first tech stock, when priced at $140; just 40 shares. They’re non-registered so as to fit my goal of future tax advantages of capital gains if I ever needed to sell some. I was thinking that periodically I’d buy more to increase my tech weighting as well, overall in all accounts.
Reading your reply on price for ‘good, great and table pounding’, I am wondering if I totally misunderstood this stock. Did I overpay, or is the last 3-4 months drift down simply the manifestation of a higher risk stock. Your reply to a reader on your predictions on future P.E.s , TOI at 200x made me think that how this fairly new stock is doing is just what this kind does, and why a hold for 5+ yrs is best.
Do you have guidance if what I’ve written shows a big gap in my understanding please?
Would you buy more today?
Another note (please deduct credits)- when an investor is growing their portfolio and goes from say 5 stocks to 10 stocks, then to 20 stocks, the weights could be 20% each then drop to 10% each, then eventually get to the 5% max you advise, as more stocks are added. To me this seems logical and realistic, then I paused that maybe one must buy less of more stocks so one is closer to the 5% from the start of the journey rather than seeing that as the goal (say at the end of a 4-5yr period). Which strategy is better, does it not matter so long the investor eventually gets there, or, is this related to one’s risk profile?
Much appreciated as always :)
