The sky is Falling, the sky is Falling!

Invest in companies you: understand, believe in, have good financials.

You don’t lose money until you sell your assets.

So, the markets are dropping, dropping and dropping. If you have the knowledge, understand trends, you will not have as much fear, after all everything goes through cycles.

How’s that going for you? Well, the portfolio is down 10-20% (Scary stuff) but still making money every week. If we had more capital available, we would be investing more, and we are making more capital available as we speak.

  • TSLA – Down
    • Long-term hold
    • If I had the capital I would sell Puts for amazing premium.
  • NIO – Down
    • Long term hold
    • Selling Puts – Dollar cost averaging position lower
    • Selling Calls
  • UNG – Down
    • Selling Puts – Dollar cost averaging position lower
    • Selling Calls
  • TUP – Down
    • Holding – Dropped too much, bad earnings report, do not want to invest more.
    • Selling Calls out of the money – This lowers basis and break-even point.
  • ARKF – Down
    • Holding
    • Selling Calls out of the money

Last week we made several thousand dollars as the markets declined. This week is just beginning and we have made a few hundred and counting. By utilizing Options/Stocks when the markets drop everything is on sale. When everyone is scared and selling the volatility goes up and you make more premium on the option contracts. So, you make money on the way up, you make money on the way down.

Where do we get more capital? Real Estate. They just don’t make any more land and it has been appreciating through the roof. Selling low-cost assets purchased years ago we can now take that appreciation of 100+ % and shift it into higher end real estate that will have even better appreciation in the coming years and the dropping stock market. You buy low and sell high, unlike the majority of people who get scared and sell low when the bottom is dropping, only to watch it go back up and jump back in at the top again. You have to do your due diligence and only invest in things you know, not your neighbors’ hot stock pick.

You cannot say enough about real-estate. To buy a $70,000 property for $20,000 down, have someone else pay the mortgage, taxes, interest, expenses for several years then sell it for $150,000. So, while the stocks are going down, the real estate is going up. Maybe next time I’ll write about the house I bought for $5,000 that I still own. Spoiler – Zillow says it’s worth $138,000. Not bad real-estate, not bad at all, I think I’ll keep investing.

Meanwhile the dividend stocks sit in the corner ignored, appreciating, buying more and putting cash in the account. I own and have owned a variety of stocks over the years, but QYLD is becoming one of my favorites. Month after month it works for us providing paycheck after paycheck.

This material has been distributed for informational and educational purposes only, and is not intended as investment, legal, accounting, or tax advice. Investing involves risk.


Published by Jay

I came from a single parent house with four kids. My mom was a waitress and my sister helped pay the bills. I didn’t have any silver spoon in my mouth but I was able to break that cycle and I’m still learning about money and finances everyday. They just don’t teach you these things and it seemed like people didn’t want to share!

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