Thursday, May 16, 2013

Current cash issue

cash, rpoblem, coins, nothing left


Due to Commerzbank I am now ending up in trouble since I stay fully invested at all times. On the end date of this emission (28th of Mai) I will still not have received my salary and I will definitely not have been able to transfer it over to the stock depot (takes 3-5 days). That gives me then two options of which neither is favourable. One is to sell the share rights that I have and the second is to borrow money at 6.5% interest rate. 


Neither option is of interest to me. In this case... due to a nice dividends from E.ON. and by digging really deep into the pocket I will manage to bring up the money but that will not always be the case. I really must consider having a 10% cash for when things like this happen as well as when stocks are crashing unrealistically. Before I have only had some thoughts concerning that but now I was finally faced with reality and I realise that I must build up some cash. Therefore no stock investment will be made from next months salary to try to build up some cash. I also receive 2.75% interest on cash on the stock depot which is fully acceptable.


2 comments:

Anonymous said...

I think you will make a mistake if you don't make that investment in Commerzbank. The price seems to be a lot like in the Swedish banks when they needed money a few years ago. And cash is something every investor should have and also everyone need if the washing machine crashes or something similar. /b

Fredrik von Oberhausen said...

Yes, you are fully correct. I will bring up the money for buying the new stock in Commerzbank because I still look upon the company as having a bright future. The cash issue is something I need to work on and I will try to bring in 3-4% this month and then leave maybe 2% each month in cash until I reach the total of 8-10% cash. So for the next three moths I will buy stocks for less money :(