Looking for AIICO...

On friday, I instructed my broker to sell some units of my GTB, Presco, UTC, Livestock Feeds and First Aluminium. The entire proceeds from these sales would be used in purchasing AIICO. I called late friday afternoon, but couldn't get any detail on these transactions.

I have to say, it's quite hard giving the order to reduce my GTB and Presco holdings. When we talk about fundamentals being right, these companies are near the top of the pack. The future of both companies is definitely in the "black" from the short to medium term. But my current "market" behaviour is strictly driven by my goals and objectives! I am keen to play short term trades for this year as I believe the potentials are definitely huge. In another 3-5 years my strategy may be entirely different, and God willing I'll discuss this future plan with you.

So why did I sell UTC and Livestock Feeds? I'm I anticipating a fall in their prices or do I think they have gotten to their peak already? The answer is NO! I believe these stocks are still rising and may continue for some time to come. Selling these stocks for me was a big test. Before I bought these stocks I had a threshold selling target. This is a very important lesson we all have to learn when we choose the short term trading route. You need to set your taget and try and resist the temptation to hold for much longer than expected. I expected a 30-40% gain in these stocks over a month period. Livestock has done 46% while UTC has returned 77% (initially falling by -5% in 2-3 days) over the one month target. I just had to sell these stocks to be true to myself (it doesn't matter to me if tomorrow they do over 500% return).

Also, I have to say, what made the decision to sell now quite easy is the fact that my unit holdings were not so huge. So it was a perfect opportunity to test if I am only driven by money or by the overaching principle of goal setting. The next big test for me is if I can give an order to sell Equity Assurance(as at Friday, it has returned over 99% in a month!). I think I will give the order....i think!

So what about First Aluminium? Why sell some units of a stock you bought a few days before? Well, I bought some units early in January and this has returned 65%. I thought it necessary to sell some of these units. I still anticipate more price appreciation of this stock and thats why I still hold significant units of the stock.

So I have asked for AIICO...yes I did. This stock should easily do 40-50% in another month. Amongst many reasons, there is a huge demand for Insurance stock out there, and it just seems there is not enought to go round! Furthermore, AIICO did a public offer late last year, the price for this offer was an unbelievable steal(@N2.20 or something close...)! Ofcourse, I did not buy the public offer, because I'm losing patience with the certificate or no certificate drama, I'll rather pay premium on the secondary market and know I can take full ownership of my purchase in less than a week.

I'll let you know if my broker gets through with my purchase...otherwise, I have to come up with another stock...

Wishing you a lovely week ahead...enjoy!

NB: Does anyone know how to insert a table here or create a link for people to b eable to download a table I have created listing possible stock picks for the week/month...if you have any ideas, please let me know.