Long investors opinion wanted: Hold as many LPs as possible?

Trying to decide how to expand my portfolio and what to target going forward, with the goal of medium-long term investing, not trading.

I am not a big time individual stock investor, primarily passive and rental real estate for retirement, but in my TFSA right now I have positions in EAT, N, and GLH as my "penny upside" investments and ACB, OGI, and FIRE as my LP investments.

I am thinking about adding Emerald, Emblem, and THC to my portfolio now as well given their current price to both diversify my Canadian LP holdings as well as potential acquisition/merger targets down the road.

Does that sound reasonable?

EDIT: Going to learn more about market cap re: potential increase in value, so ignore below as others have posted great answers. Still looking for insight on above, and I do know that I could simply hold an ETF that invests in those LPs. Assume I want to own stock directly if you care to add your $0.02. Cheers!

I haven't bought any WEED because of the price…but my rationale might be wrong: In my mind, buying the lower priced LPs now gives more room for price increase over time combined with more shares purchased earlier. If I had $1000 invest, I'd rather have 1000 shares of $1.00 company that could increase to say, $5.00/share, versus 100 shares of a $10.00 company that will also increase to $15.00/share (in theory, the "same"/similar dollar price increase) but the lower share volume will cap my potential profits. I know it's not that clear cut and obviously the lower value stocks need to GROW for that to pan out…but is that an acceptable rationale?

Cheers for any insight or opinions!

Submitted July 14, 2017 at 07:06AM by ndhl83
via http://ift.tt/2sYD73e

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s