This week was one of those weeks that was totally consumed by working around the clock, but then with a happy ending, because we got to go a weekend away with the family 👨👩👧👦
A nice little city called Wroclaw was our destination and I must say that it is a very nice old and historic town. If you are looking for a nice city-trip idea, then I can definitely recommend you Wroclaw.
I am currently writing this post from the train while we are on our way home, so I will keep this intro short.
#BerkshireHathaway #WarrenBuffett #FIRE #Inspiration $MMM #3M #BuyTheDip #Options #OptionTrading #Carnival
5-Bullet Sunday is a weekly blog post with 5 topics that were on my mind this week related to Financial Independence and Dividend Growth Investing or something that just fed my curiosity. An overview of other earlier posts can be found here
🌟 Berkshire Hathaway’s Annual Letter
Yesterday ($NYSE:BRK.B) posted their annual letter to shareholders. Reading this is one of those typical things that I am really looking forward to. The other one is the letter from Jeff Bezos and Amazon.
I will read it tonight, in my reading chair and like every year, knowing that this might be the last one in its current form. Let’s hope not.
Enjoy the read! 📄
🌟 Special FIRE story
The great thing about the WordPress app is that you can easily discover other blogs via its Reader. This is how I recently stumbled on FIRE with Family.
They live quite frugal with the whole family and their journey isn’t easy. They seem to be a typical middle class family, but very accountable in the way they live from both a debt and building wealth point of view.
I very much encourage you to have a look at their blog. It’s still having limited content because they just started out, but I find their story very inspiring.
🌟 Purchase order 3M
The #coronavirus is still keeping the invisible hand above the market and companies with a strong dependency on China are typically impacted. This is no difference for 3M ($MMM) with their large manufacturing sites in China.
I find these kind of share price dips very interesting even though it will have an impact on their quarterly earnings. I look at it in a very simplistic way: it is either of short-term nature and the stock will recover quickly, so this provides a buying opportunity OR a pandemic breaks out and we will be all screwed anyway 😷
Having said that, I placed a purchase order to add few shares at 155 USD and I placed an order to sell a put-option at 140. The latter will give me a small premium for waiting and hopefully even an opportunity to buy additional shares at a 10% further discount.
🌟 Options Trading
I have been trading some options in the past to add some additional income and it has done me generally quite well . Lately however I haven’t really been doing it anymore, because stocks often seem so overvalued that I didn’t even consider collecting option premiums.
From the other side I agree with Jim Cramer’s quote that “there is always a bull-market summer”. Inverted it means to me that there is always a stock near to undervaluation, hence why I will put some more attention to selling put options again.
From my experience this can sometimes cover around 50% of my monthly dividend income, because I am still in the accumulation phase.
This weekend is Carnival in several regions in Europe and I know that the strong wind has resulted in some parades being cancelled. This is definitely no fun, because some groups have been working on their cars for several months.
Luckily the wind is not able to get into the pubs, so your beers should be save 🍺🍺🍺
For everyone who is celebrating this, enjoy and send me some pics 🍻
This was it for the week. and I hope that you enjoyed this week’s 5-Bullet Sunday.
Feel free to ask any question via the comment section or subscribe to this blog if you want to be notified for any upcoming posts.
For now, have a great Sunday!