Harry Newton's In Search of The Perfect Investment, Technology Investor. Harry Newton
November 24, 2009: Silly, isn't it. Apple,
Google, GLD, EWA (Australia), EWZ (Brazil), and FSAGX (gold miners) continue
to do well. Meanwhile, I'm researching other ideas, with little success (or
enthusiasm) so far.
visited the doctor yesterday -- getting ready for my combined endoscopy / colonoscopy
in December. I don't believe he can meet himself in the middle. But we'll find
gotcha in the tax business. Let's say that in 2009 your stocks paid
you $100,000 in dividends, but lost you $100,000 when you sold the stocks. You'd
You can't contra
one against the other. They're different. One is dividend income. The other
is a capital loss. Though you may think of them your big investment bundle,
the tax man has different mind.
The tax man will
tax you on the dividends, irrespective of all your capital losses. . He'll let
you contra your capital loss against a $100,000 capital gain. If you don't have
any capital gains, you can reduce your dividend income by $3,000 and carry the
rest of your capital losses forward, to be deducted against future capital gains,
or $3,000 a year for the rest of your life.
You'd better use
them all up before you die, because capital losses die with you.
In 2008, my favorite
hedgie invested heavily in dividend paying stocks -- Jim Cramer was pushing
them also. But the dividend paying stocks, like most others, fell. Hence I am
in the uncomfortable position of paying taxes in a losing year.
reform. Imagine you've just taken over a working,
somewhat successful business. Would you rush in and change every aspect of it
overnight? Or would you move slowly, addressing those things in most immediate
need of repair?
you're starting a new business, the key is to limit your risks. Focus on those
few things you can make a difference.
philosophy of mine is what bugs me about health reform. I do believe more people
should be insured. But the Administration is trying to do too much, too quickly.
And I worry that the whole thing will be botched beyond belief. For me, this
photo and caption from The Economist says it all:
A modest proposal.
Minutes, the CBS show, did a piece last Sunday on "The Cost of Dying."
In it, they pointed out that Medicaid spent $50 billion during the last two
months of people's lives. Much of the expenditure was wasted. There are no rules.
The spending is skyrocketing. Medicaid just pays and pays -- mostly, asking
no questions. You can watch the disturbing 60
wary where you click. Your children put you on Facebook. They like
it. But it's not warm, cuddly and benign. Someone scammed my Facebook account
and tried to get money out of my friends because I was "stranded in London."
I read this morning:
On Monday, the
anti-virus firm AVG showcased a worm that has spread via users' Facebook walls.
The worm is an ad with an image of a bikini-clad woman. "Wanna C Somthin'
HOT!??" the worm asks users. "Click Da' Button, Baby!"
When you click
the ad, the worms get posted to your wall.
AVG, the worm uses a tactic called "cross-site request forgery"
to initiate a chain of actions on a logged-in user's behalf. Since the user
is already logged into Facebook, the bug does not need to worry about authentication
and passwords. If more users click the ad, its growth rate will likely increase
geometrically. Evron, who first alerted Facebook to the bug, admits to clicking
it himself before finding out its effects.
From the New
Travel Tips, posted on the New Yorker's site..
+ Dont bring
a second turkey as a gift for your hosts. Instead, bring extra guests.
+ Your flight
is going to be late. If Im right, then you were prepared. If Im
wrong, I hope you didnt listen to me, because you will miss your flight.
+ Yams and sweet
potatoes are the same thing. I know it sounds crazy, but its true.
+ Dont follow
the GPS, follow your heart.
+ Do not waste
space packing your workout shorts or running shoes. The only clothes you need
are eating clothes, crying clothes, and escape clothes.
+ A healthy and
carbon-efficient mode of transportation is riding your bike from your house
to the back of your house where you can hide until the holidays blow over.
+ Between flying
or the train, pick the train: they dont take your guns away.
+ The conductors
on your Amtrak train are actually lost airline pilots.
This column is about my personal search
for the perfect investment. I don't give investment advice. For that you have
to be registered with regulatory authorities, which I am not. I am a reporter
and an investor. I make my daily column -- Monday through Friday -- freely available
for three reasons: Writing is good for sorting things out in my brain. Second,
the column is research for a book I'm writing called "In Search of the
Perfect Investment." Third, I encourage my readers to send me their
ideas, concerns and experiences. That way we can all learn together. My email
address is .
You can't click on my email address. You have to re-type it . This protects
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