3Mon·

Freenet...

Good morning, maybe it's a mistake, maybe not... but I'm selling part of Freenet in a bank, with a significant profit (+17% in last three months)

05.03

FreeNet

Sold x12 at €33.68

€404.16

17.52%

12 Comments

finanzperpetuum@finanzperpetuum

3Mon

But why? Because of the +17% (+60€) or because business is over? Since 2016 I have received more dividends than my initial investment, 8,5% YoC and this year dividend will be on top of that.

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Jose@Kspykee

3Mon

@finanzperpetuum Thanks for your reply. I'm just closing out positions with profits and trying to buy back a little lower. I think it's in the overbought zone and I could buy/accumulate again at 32.5...

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wasi@wasi

3Mon

Trying to buy back a little lower is mostly not efficient, especially at a 60€ gain! Keep in mind the trading costs and the taxes.

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Jose@Kspykee

3Mon

@wasi I'm just a newbie here, so I believe I can give a lot of mistakes sure :)

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finanzperpetuum@finanzperpetuum

3Mon

@Kspykee so, long term is key 😉 But to be honest, I did the same mistakes at the beginning. If I just had sticked to some of my early investments … gosh 🤓

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Jose@Kspykee

3Mon

@finanzperpetuum I only train with 300-400€ packages. Fortunately, I can easily make similar mistakes. And I remain a Freenet fan with the remaining 50% of my portfolio :)

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Simone B.@TheRealSimone

3Mon

One thing... suppose you buy the stock X at 340 dollars, and you sell it at 400 (17% profit). Then the taxes (based on you country) 26%are of the gains. So 15.6 dollars gone by taxes. Even if you spent almost nothing for each transaction (like 2 dollars each so in totals 4 dollars), it would be profitable to invest in the same company again only if the price fall below 400-15.6-4-4 = 376 dollars. This mean that only if the stock drop more than 6% and you buy it below that level you can be profitable (and also that taxes and costs drained almost half of your gain). If it is a solid stock it may take alot of time to go under that level and you might loose all the raises in the price that the company realise in the mean time. What i wonder is... Is it worth it?

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Jose@Kspykee

3Mon

@TheRealSimone I understand your argument. One of my biggest problems is assessing when to sell. I think I choose a good stock with a chance of growth (Freenet is one of the easy ones to bet on), but then I have a lot of doubts about selling. I set a stop loss between 6-10%, but once they go up... I don't know what to do. I just joined Getquin to learn from everyone. Thanks again for your time.

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Simone B.@TheRealSimone

3Mon

@Kspykee the problem I think is that you are trying to buy low and sell high... In practice you trying to do market timing.... (And even the great investors many are not able to do it) There are plenty of papers that demonstrate that time in the market is better than market timing. If your goal is to build a portfolio over the time... A PAC on a diversified ETF May serve you better than paying a lot of fees and taxes

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Jose@Kspykee

3Mon

@TheRealSimone Stocks are only 32% of my current portfolio. The rest are SP500 funds, some in Japan, one specific to the Spanish IBEX that works wonders... Of course, my exclusive stock part is where I do trial and error, with very small groups of stocks. And it is normal that I fail more there.

I don't know how to put the rest of my portfolio in this comment...

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Chris@Longus1970

4Wk

I have 800 pieces of freenet and am the happiest person in the world. I bought them for 19.98 euros and I wouldn't think of selling them for a second.

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Jose@Kspykee

4Wk

@Longus1970 Hello, I own considerably fewer Freenet shares, but I still consider them important.
My current holdings are Mapfre, Freenet, HSBC, and Poste Italiane.

$MAP
$FNTN
$HSBA
$PST

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