03-10-2012, 02:35 PM
(03-10-2012, 01:54 PM)Some-one Wrote: Basically, the margin of safety is so huge that I decide that it might be best for it to form a small part in my portfolio considering the bigger risks involved.
(03-10-2012, 01:54 PM)Some-one Wrote: The reason why it forms a small part in my portfolio is not because I am not confident in the company but because the returns that I am getting is eaten by brokerage charges, custodian charges, FX risk.
Hi - I am not trying to "interrogate" you or question your position make life difficult, but I feel that the two statements are somewhat contradictory. If you believe in the Nokia story and there is a turnaround coming, the scale of the position should be made such that you outweigh such costs, and can position your portfolio for outsized gains. If you are not sure, and you want to take a chance, why do it in a manner that is sub-scale and guarantees a loss when there are other things you can potentially look at, many of which are highlighted in this forum?
However this is just my two cents FWIW, wish you the best for your position in the stock.
PS: I like Nokia phones and I think their reception and talk quality is the best among all the phones I have used and I would still buy a Nokia if I had to get a simple, no frills phone. But where they are today, from a layman's point of view, I think you will not need 10-20 years to find out how this investment has done - its either a 10 bagger in five years or its bust.