Trading A Corus For A Dream

4 Responses

  1. German says:

    Great move to swap Corus for Dream Global. DRG will do fine regardless of brexit deal. They have top-notch office buildings with great tenants like banks, auto makers and other brands.

    I would definitely add $1000 worth of ALA shares. All the mess they’ve been going thru is behind them. It will take some time to rebound. But the business is strong and they have plenty of utility customers in the States. That’s a huge cash cow every month. You can easily lower your average to under $20 bucks and hold it for a year. I predict $20/share in one year period.

    But mind you, my opinion could be biased because this is what I plan to do as well.
    German recently posted…My Investment CityMy Profile

    • Rob says:

      haha German

      yeah its definately on my mind. would be nice to drastically lower that average cost base and i think the worst is behind them too!

      Dream is a nice addition. I like what they have been doing.

      cheers German!

  2. Sounds like great rationale to sell Corus, always difficult taking a loss rather than sitting around hoping things will improve, but you seem to take these in your stride which is fantastic.

    Averaging down is so tempting for the same reasons – it reduces the average price you pay, which feels like reducing your losses immediately, but only worth doing if you still believe in the investment case. Some of the investments I’ve been most burnt on are those where I’ve ‘averaged down’ (too much!), but still find it a great strategy in general. The fact you want to wait to ‘break-even’ before selling sounds like a red-flag to me, but might still work out for the best. Good luck either way!

    Cheers, Frankie
    Frankie @ Fully Franked Finance recently posted…Fund Update January 2019 – Benny Bounces Back (a Bit)My Profile

    • Rob says:

      hey Frank

      Yeah it definitely sucked taking this loss, but at the same time it wasn’t a massive position, so its a lesson learnt.
      As for averaging down, your right. It could burn me, but it would drastically lower that cost. I think they are a good company but want to focus on dividend growth companies. You cut that dividend, we aren’t going to get along. lol

      cheers mate

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