Life as an Expat Investor
We’re in the middle of august and I have recently purchase several stocks.
Here is what I bought:
(RIG) Transocean - This stock has a P/E of 9.23 compare to the industry which is 16.43. RIG forward P/E is 11.77, with a 5 year PEG of 0.86. Their forward annual dividend rate is 3.00, forward annual dividend yield is 6.60%, and payout ratio is 53%.
| Asset | Amount | Liabilities | Amount | Networth |
|---|---|---|---|---|
| Cash | $18,646 (+$2,494) | CC Debt | 0 (-$4,598) | |
| Saving | $41,857 (-$30,468) | Home Mortgage | $95,783 (-$199) | |
| Taxable Investment | $197,375 (+$22,938) | Rental Home | $59,515 (-$143) | |
| Retirement | $126,120 (+$9,398) | |||
| Personal & Rental Home | Zestimate: $294,396 (+$18,281) | |||
| Lending Club | $10,843 (+$517) | |||
| Total: | $689,237 (+$23,203) | $155,298 (-$4,940) | $533,939 (+$28,398) |
So I decided to initiate 2 more buys for July. I end up buying (DE) Deere & Company & (MCD) McDonald. I bought these in a recent dip.
(DE)
When analyzing this stock the P/E is at 9.51, compare to (CAT) 17.85, compare to industry 17.53. As you can see De is cheaper than Cat and the industry that it serves. De has a forward P/E of 11.31, with a 5 year PEG Ratio of 1.29. Their forward annual dividend rate is 2.40, forward annual dividend yield is 2.60%, and payout ratio 22%.
I have been investing in Vanguard a little over 1 year now and I’m happy with vanguard, I was using T.Rowe before but decided to switch to vanguard because of their low-cost fee and index funds. I wanted to do an in-depth analysis of vanguard so this might be a 2 - 3 part post. I will show some of the tools that I found are useful in vanguard. From my experience vanguard seem to be better than T.Rowe, easier to navigate, better investment tools, and detailed portfolio analyzer.
We’re not at the end of the month yet, but I have already decided to make a big move this month for July. I have liquidated some of my saving because I decided that I will not be buying another rental property, since I am working oversea it’s hard to find people to manage and deal with the paperwork. So I will put a hold on that goal for now, I also decided to liquidate some of my emergency fund because I don’t need that large of amount. I still have at least 3 - 6 month in my emergency fund.
There are the many type of investor that prefers different styles and methods. One may allow emotion to affect them and can make rash decision by thinking about it too much. Other may be too afraid to jump in the stock market and try to time the market. Some may prefer the automation method and try to set it and forget it. The hardest part is to figure out what style you’re comfortable with. You need to figure out the risk/return and take action. These are the different type of investors.