Sometimes Hindsight Is 20/20 Greed
Luke 12:15 – Then he said to them, "Watch out! Be on your guard against all kinds of greed; a man's life does not consist in the abundance of his possessions."
As a brand new stock investor I’ve just tasted my first dose of financial hindsight or as I now realize greed. Thankfully this time it was a painless lesson from the Lord.
After the market collapsed late last year literally dozens of high quality stocks tumbled far below their true value. Experienced investors had a literal smorgasbord cleaning up and fattening their portfolios with excellent, profitable and well managed companies held hostage in the global market turmoil.
For new investors such as me it was probably the absolute worst time to enter the market…or so I’ve been told. All in all I’ve bought roughly 6-8 stocks and have fared pretty well (up 240%) thus far with the good Lords blessing. I’ve learned what to look for in stocks, how to read in between the lines of press releases and how to remain emotionally detached with my stocks. What I’m still learning, as I’m sure many are, is how to become a more confident investor.
Back on February 2, 2009 my first financial “opportunity of a lifetime” arrived by the name of: Ashland Inc. (ASH).
ASH is a distributor of chemicals and plastics, and a manufacturer of chemical specialty and performance products. Most notable of these products is their brand Valvoline, maybe you’ve heard of that.
Anyhow, back in February ASH was trading at a paltry $7.28 when in February 2008 the stock traded at $45-$47. In June 2008 it peaked at $58 before the financial collapse pushed the stock all the way down to a criminally low price of 7.34.
This was and still remains my best stock purchase to date…but I’d didn’t fully pull the trigger. With all the data I had pored over I decided to be cautious and bought a mere 80 shares. After all, this was my first stock purchase.
And then ASH skyrocketed.
It absolutely destroyed projected targets and continued to climb. Now seven months later ASH closed $43.82 and continues to climb.
As I reflected on my decision in utter agony thinking about how much money I could have made investing in hundreds of shares of ASH I realized that sometimes hindsight is 20/20 greed.
I thank the Lord for his generosity and many blessings in my life. Here I am with a stock up 480% and I’m annoyed I could have made more money with it! Tsk, tsk.
As Jeremiah. 6:13; 8:10 tells us "everyone is greedy for gain.” Forgive me Lord and thank you for teaching me a valuable lesson as a Christian investor…
Fortune favors the bold. Just kidding, it everything I have is from the Lord and it is always enough.
-- Weather When Posted --
- Temperature: 85°F;
- Humidity: 54%;
- Heat Index: 86°F;
- Wind Chill: 85°F;
- Pressure: 29.97 in.;
2009 Yamaha YZF R6 Modifications – Vortex/Regina Sprocket Power-Up Kit and SpeedoHealer
I love my 2009 Yamaha R6 but like all things I own that consume gas I wanted more power and acceleration. After some quick research online on how to squeeze as much inexpensive horsepower out of my R6 as possible, I came across the Vortex/Regina Sprocket Power-Up Kit on www.KneeDraggers.com. After reading a few rave reviews on this sprocket and chain modification for the R6 I purchased it from KneeDraggers for $229.00 with free shipping and handling.
Vortex/Regina Sprocket Power-Up Kit
The stock 2009 R6 comes with a 525 chain size. The Vortex/Regina Sprocket Power-Up Kit is a 520 conversion. That might not seem like much but every little bit helps squeeze out some hidden acceleration. As for the back and front sprockets I decided to go 1 up/2 down, any more than that and I would be spending more time shifting than necessary.
I didn’t have the tools (or experience) to perform the 520 conversion so I took it into my dealer (South Seas Honda Yamaha BMW) for a professional install. It only took about 2 hours to install so with $150.00 spent for installation the total cost of this 520 conversion came to $379.00. And let me tell you it’s worth it!
Acceleration from rest is remarkably faster than the stock setup and roll-on acceleration pulls just as hard. Lifting the front end up is considerably easier in first gear and even highway speed wheelies on the 600 are now possible with the right amount of finesse finesse!
However, with the new sprocket gearing your speedometer and odometer will be completely off. With my 1 up/2 down ratio my speedometer was reading roughly 12mph faster than it actually was, which obviously threw my odometer readings way off too. To compensate for this I purchased SpeedoHealer from HealTech Electronics Ltd. for $115.00.
SpeedoHealer v4
SpeedoHealer is one slick piece of electronics. It’s a plug and play device that plugs directly into your 3p plug. Cailbrating and programming your SpeedoHealer to your correct sprocket gearing is fairly straightforward thanks to their online calculator. Once you have it set up properly you can regain 100% accuracy in your speedometer and odometer readings. In addition, SpeedoHealer has a Top Speed Memory button you can press to display your last true top speed on your speedometer.
SpeedoHealer will fit almost every bike on the market. If you have an older bike and aren’t interested in resale value you can just have someone pace with you to get your true speed. However, if you’re thinking about selling your bike someday the $115.00 price-tag is money well spent to keep your bike from depreciating that much faster.
So there you go. If you have a 600 sportbike I feel the 520 conversion is well worth the added performance. However, if you have a litre bike I would probably stick to your 530 (or whatever you have) over the 520 conversion. It’s too much wear and tear with all the horsepower a litre bike puts out in my opinion.
-- Weather When Posted --
- Temperature: 76°F;
- Humidity: 73%;
- Heat Index: 76°F;
- Wind Chill: 76°F;
- Pressure: 29.95 in.;
1 Trillion Dollar Stimulus or Spending Plan?
Seriously people of America…this is a stickup. What in the world is going on here?! Look, I’m no economist but are we really going o sit back and let this ridiculous “stimulus package” get passed without a peep? The worst part is even some professional economists are unsure whether it’s even enough:
“It’s possible that this won’t be enough to jump start the economy — that, in fact, policy makers will have to come back and provide more help to the economy before all is said and done,” Mark Zandi, economist with Moody’s economy.com, told ABC News in an interview.
Well that’s super. Now let me tell you what some of this one trillion ($1,000,000,000,000) “stimulus” plan entails.
- $500 tax cut for most workers – (Didn’t we already try this? Last year’s $600 rebate checks failed to “stimulate” the economy.)
- Dog Parks
- Federal Building Reparations
- Water Slides
- Frisbee golf courses
A few months back we were told if the $700+ billion financial institution bailout (Troubled Asset Relief Program (TARP)) was not passed immediately the earth would stop on it’s axis, the stars would fall out of the sky and life as we knew it in the US would cease to exist. So after much debate it was passed…and the credit sector did not rebound and no stars fell out of the celestial heavens…that I’m aware of.
So after that monumental debacle of a precedent was set, money seemed to flow out of the capital on what seemed like a daily basis in bailouts and beggar handouts at your expense. Now, after the zombie mantra of “change” has finally started to wane we get whacked with a near one trillion dollar stimulus plan.
God help our children who will have to shoulder much of this epic burden.
The housing market has tanked, many hard working Americans now find themselve’s jobless and we see the US government taking more and more control of the commercial sector and centralizing it’s power. Is taxing the American citizens another one trillion dollars really going to make things any better? I’d rather just roll the dice and ride it out at this point. What do you think?
-- Weather When Posted --
- Temperature: 79°F;
- Humidity: 56%;
- Heat Index: 80°F;
- Wind Chill: 79°F;
- Pressure: 30.08 in.;
My New 2009 Yamaha YZF R6
I just picked up my new Raven 2009 Yamaha YZF R6 and this bike is incredible. Specs:
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| 599cc liquid-cooled inline 4-cylinder; DOHC, 16 titanium valves | |
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| Bore x Stroke | 67.0 x 42.5mm |
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| Compression Ratio | 13.1:1 |
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| Carburetion | Fuel Injection with YCC-T and YCC-I |
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| Ignition | TCI: Transistor Controlled Ignition |
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| Transmission | 6-speed w/multi-plate slipper clutch |
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| Final Drive | Chain |
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| Chassis | |
| Suspension/Front | 41mm inverted fork; 4-way adjustable, 4.7-in travel |
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| Suspension/Rear | Single shock; 4-way adjustable, 4.7-in travel |
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| Brakes/Front | Dual 310mm floating disc; radial-mount 4-piston calipers |
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| Brakes/Rear | 220mm disc; single-piston caliper |
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| Tires/Front | 120/70-ZR17 |
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| Tires/Rear | 180/55-ZR17 |
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| Dimensions | |
| Length | 80.3 in |
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| Width | 27.6 in |
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| Height | 43.3 in |
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| Seat Height | 33.5 in |
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| Wheelbase | 54.3 in |
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| Rake (Caster Angle) | 24° |
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| Trail | 3.8 in |
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| Oil Capacity (with oil filter change) | 3.6 qt |
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| Fuel Capacity | 4.6 gal |
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| Fuel Economy** | 40 mpg |
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| Wet Weight | 414 lb |
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| Other | |
| Main Jet | Not Applicable |
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| Main Air Jet | Not Applicable |
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| Jet Needle | Not Applicable |
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| Needle Jet | Not Applicable |
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| Pilot Air Jet 1 | Not Applicable |
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| Pilot Outlet | Not Applicable |
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| Pilot Jet | Not Applicable |
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| Primary Reduction Ratio | 85/41 (2.073) |
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| Secondary Reduction Ratio | 45/16 (2.813) |
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| Gear Ratio – 1st Gear | 31/12 (2.583) |
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| Gear Ratio – 2nd Gear | 32/16 (2.000) |
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| Gear Ratio – 3rd Gear | 30/18 (1.667) |
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| Gear Ratio – 4th Gear | 26/18 (1.444) |
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| Gear Ratio – 5th Gear | 27/21 (1.286) |
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| Gear Ratio – 6th Gear | 23/20 (1.150) |
-- Weather When Posted --
- Temperature: 76°F;
- Humidity: 76%;
- Heat Index: 76°F;
- Wind Chill: 76°F;
- Pressure: 30 in.;
My Safe Haven Investment Plan
Due to the current financial debacle we’ve been witnessing these past few weeks I’ve been forced to re-evaluate how I invest what the good Lord has blessed me with. I’m no Warren Buffet…yet…so for the immediate future I’ve decided to sit on the sidelines and invest my capital in more secure alternatives rather than the stock market. Have I lost faith in the stock market entirely? No, but since I do not have decades of stock experience and hate the fact of someone else managing my money I’m sticking with a tried and true plan to weather this financial storm. Here’s my simple plan…free of charge:
1. Checking Account With Charter Bank: http://www.charterco.com/personal/turbo.cfm
Under the Charter Turbo Checking Account you’ll earn 6.01% Annual Percentage Yield (APY) on all balances from $0 – 25,000. This is NOT an introductory offer provided by Charter making them probably the highest entry level checking accounts you can find. You’ll earn 1.01% APY (rate of 1.01%) on all amounts above $25,000, and 0.25% APY on all balances if the requirements are not met each statement cycle.
- 6.01% APY* on balances to $25,000
- 1.01% APY* on balances above $25,000
- 0.25% APY* if requirements are not met**
- No ATM Fees Nationwide
- Overdraft Privilege
- Free Online Bill Pay
To earn the 6.01% APY on this high interest checking account, you must:
- Make at least 13 debit card transactions monthly (excluding ATM transactions)
- Receive one direct deposit or ACH auto debit monthly
- Receive your monthly statement electronically (e-statement)
- Access on-line banking at least once before month end
From a marketing perspective I’ll probably redirect my direct deposits from Commission Junction, Shareasale, Linkshare, Google Adsense and Yahoo! Publisher over to Charter Bank and redistribute the balance over $25K to other investments (i.e. Money Market Accounts, CDs, etc.).
2. WaMu Online Certificate of Deposit Investing (CD): https://www.wamu.com/personal/certificate_deposit/online_cd/default.asp
I know you see Wamu and are probably thinking that’s a bad pick. However, with JP Morgan Chase running the show now I don’t think you have anything to worry about. Just before this acquisition WaMu was running a lucrative promotion to get some much needed capital. The’re CD Online will earn you 5.00% APY on a 1yr turn with a minimum deposit of just $1000.00. As far as I can tell there is no cap on that. That is a pretty good rate by any standard so you’ll probably want to lock yourself into this great rate for a year before JP Morgan pulls the plug.
3. EverBank Yield Pledge Money Market Account: http://www.everbank.com/001MoneyMarketYP.aspx
At the time of this post EverBank has the highest APY out of any of the entry level Money Market Accounts I’ve seen. If you set up a Yield Pledge Money Market Account you’ll earn a hefty 3.82% APY and as a bonus you’ll earn 4.65% APY for the first three months. Most decent MMAs are between 3.0% (like the raved over ING Direct) and up to about 3.75% (like OnBank). With the Everbank MMA you’ll need to invest a minimum of $1,500 but you can invest up to $50,000. In addition, unlike some MMAs which seem to charge you for everything there are no monthly fees as long as you keep your balance over $1,500. Otherwise you’ll be charged a monthly fee of $4.95. There is a $6/month transfer and withdrawal fee but that is also negligible.
I’m pretty sure I’m not the only novice investor who is a little leery about investing in the stock market at the moment. Unless you really know what you’re doing it may be more prudent to just hang in the wings and slowly grow your money in safe havens for a while. Hopefully this will help you identify some solid investment opportunities to grow your nest egg. Otherwise just dig a hole in your backyard or stash your dough under the mattress for safekeeping!
*To review the very best Checking Account, Savings Account, Money Market Account and Certificate of Deposit rates available please visit http://bankcd.com/. The list is updated daily and I’m sure you’ll find some amazing rates that will meet your short/long term investment goals.
-- Weather When Posted --
- Temperature: 85°F;
- Humidity: 54%;
- Heat Index: 86°F;
- Wind Chill: 85°F;
- Pressure: 29.97 in.;