whether you borrow money or spend cash you have in the bank, if you lose it you have to pay it back. It costs you regardless.
I keep thinking what the situation would be if the GFC didn't occur. What values would the shares be? CER assets have lost market value. But like we tell ourselves, it's a paper loss. It's not solidified. Hell my house has gone down and up in value so why have I not panicked? Because basically nothing has changed.
Due to a discipline / investing error, I stared at a $175k RED paper loss on CNP for about 18 months. Bought at 32c and held all the way to single digits and then back again to .32c. True this was a wasted time but I got my money back and some when it spiked to .52.
So are you buying for what it will become or for what you can gain in the next month?
Life is errors. Life is double guessing. Life is trying to make the right decisions without crucifying yourself with hindsight.
I now hold CER and MDT. Both long term (3 years plus) before I expect a decent ROI. Will I get it? I think so. Is it a certainty? (read gamble backed by logic) no it's not.
Is CER headed for a fix? Yes. Will Macquarie let a trust, MDT, it has it's name on fail? I don't think so.
Is the GFC a daily talking point in the media or is Global Warming now the topic.
The engines will still turn, the GFC will take a step back in people's minds and normality will return. If it doesn't it'll be the first time in history and I'll be out some money.
Money isn't a magnet, if you don't spend it on yourself, someone will spend it for you. And not on you!
Borrow what you feel comfortable with and buy what you deduct as a good purchase. I think CER is fine.
CER Price at posting:
18.0¢ Sentiment: Buy Disclosure: Held
