Ebenyo wrote:The strategy I used in picking stocks has not worked very well.Its now time to change strategy.
Dividend strategy has enabled me build an income from dividends but my portfolio has suffered badly from paper losses.
NMG-60% paper loss,Kenre-85% paper loss.
Carb-38% paper loss.
Now I'm going to use value investing strategy.I will only buy stocks which I view as undervalued after my research.I will reorganize my portfolio by getting rid of stocks which are overvalued.
Are your stocks paying dividends at above the market Dividend Yield? The NASI Market Dividend Yield is now 5.3%.
If your individual stocks have a higher DY than 5.3%, hold on and wait for the bull. Correction will be automatic. This is a sure way to make sure you are invested in undervalued stocks.
Life is short. Live passionately.