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BUY SMALL (TINY) POSITION IN SBLKL. PAY 8% (AND OIL PRICES)

November 11. 2014.  Go to “Core Portfolio” for current holdings.  Hit the “Follow” button to get updates. 

(update Saturday:  The highest probability is for an end of year rally.  I suggest staying fully invested.)

Interview with Jim Rogers:

http://www.businessinsider.com/jim-rogers-on-oil-russia-investing-mistakes-2014-11

(Update:  The best and most simple explanation of what is going on:

The Fed is printing money and throwing it at Companies and the banks to keep the stock market going up.

(Update Wednesday:  It appears we may get a short term pullback, which may give us a “double bottom” formation on the charts.  I think long term the trend is UP.)

(Update:  Go to Core Portfolio for current status on this position.) Greek ship owner Star Bulk Carriers Corp has sold a 8% Senior Note offering.

This issue has a maturity date of 2019.  I do not love the shippers but I am buying this ONLY because Oaktree Capital (a huge outfit with $93 Billion in investments) is a 60% owner.  And you have to love the 8% yield.  There is really no way you can lose money on this unless the Company goes belly-up.  And the shares are redeemed at $25.00 so DO NOT pay more than $25.00….if you want this buy today as I think the price will hit $25 quickly.

Buy a small number of shares.  Do not go overboard.

Star Bulk Carriers Corp., 8.00% Senior Notes Due 2019, issued in $25 denominations, redeemable at the issuer’s option on or after 11/15/2016 at $25 per note plus accrued and unpaid interest, and maturing 11/15/2019. Interest distributions of 8.00% per annum ($2.00 per annum or $0.50 per quarter) will be paid quarterly on 2/15, 5/15, 8/15 & 11/15 to holders of record on the record date that will be 2/1, 5/1, 8/1 & 11/1 respectively

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Yesterday I paid $2.67 for gas.  While we are happy at the low prices, you are very UNhappy if you hold oil investments like we list in the Core Portfolio.  This is not good.  We are getting hit hard.  So now what?  I suggest you hold on for the long term.  Oil prices, and the positions we hold, will go up but we don’t know when. The rising dollar is causing this decline because everyone in the world sees the US dollar as safe…this is causing a decline in oil.  But that will change.

In dividend investing sometimes you just have to endure the pain.  This is why I strongly recommend you buy very small positions…….a single investment should be no more than 1% of the portfolio..and certainly no more than 3%.

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Favorability for the Democrats has hit a record low as things go from bad to worse for the party after significant midterm losses, according to a new poll.

Only 36 percent had a favorable view of the Democratic party, a 6-percentage-point drop from before the midterms, the Gallup poll released Wednesday found. With the GOP standing with 42 percent favorability, it is the first time since 2011 the GOP has had a higher rating than the Democrats.

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The problem with Obamacare architect Jonathan Gruber’s comment about the importance of stupid voters in passing the healthcare law isn’t that he said it, it’s that it’s what he thinks, former Democratic Vermont Gov. Howard Dean told MSNBC’s “Morning Joe.”

Massachusetts Institute of Technology economist Jonathan Gruber came under fire when a video surfaced of him speaking at the University of Pennsylvania in 2013, where he said that passing Obamacare relied on the “stupidity of the American voter.”

Gruber also called a lack of transparency about Obamacare “a huge political advantage,” but on Tuesday told MSNBC he regretted the remarks.

“The problem is not that he said it. The problem is that he thinks it,” Dean said Wednesday.

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