Current Situation in my Investment Activities on EA

Current events in my investment activities have lead me to write a few lines about my current investment policies.

As many of you could see, I had earned some remarkable numbers in my activities. On January 5th, I paid pout 1.47 in dividends with a share price of 113.45 and both rising. My activities have not been unnoticed, especially by those that just look for rising shares. For over 90 days, I didn’t have a falling share price. The result in the first January week was a bombardment of buys. One would think that is a good thing. In my case, it forced me to leave my path in order to satisfy all the buyers. I am a real nice guy and I can’t stand it when I have to do something that people that believe in me don’t like. So, I started buying back everyone I could. I couldn’t buy all, I just had to many people waiting for buy backs.

The people that jumped on my shares and bought were for the most part reciprocal buyers. I have nothing against that kind of strategy, in parts I use that as well. However, I must say that the the last two weeks weren’t very pleasant in dealing with these people. I know, “these people” doesn’t sound nice. In this case, however, I have a point in calling some “these people”. It is absolutely outrageous how some step in in “hello, here I am, buy me” style. Since I am on this platform, I have never assumed that everybody here is willing to play after my rules when I come along and force my style on someone. I maxed out on people that have yet to buy a single share in me and that is fine. If I buy someone, I either want to socialize or have checked the numbers and it is, in my eyes, a good investment. Anyway, with changing what I did, I ruined “my game”. With buying huge numbers of shares of people that don’t care about dividends, or don’t know about it, my dividends went down. In five days my divs went from 1.47 to 1.24 while buying like crazy. Two days ago, I put a stop on this. There won’t be any buy backs for low dividends for quite some time, with exceptions of course. There are some nice players that understood my headache and were happy to enjoy the dividend and wait and see on how I buy back. As support to them, I will keep buying them.

The type of “buyer”, however, that, with nothing to show except a few shares, stormed up, bought and two days later sold again, while I was trying to catch up and have bought part of the share back, have accomplished that a lot of nice and good people have to wait for buy backs. That is not good for me and not for them. I can only hope that I get my dividends back up, so that everyone can at least enjoy some return while waiting.

I have now started to clean out my portfolio of the “bad people” and that has freed some cash, which will help me to get back on track. The clean up continues. I have, and had, two notes about my strategy and problems with the buy backs on my profile for everyone to read. My suggestion for these people is, read what others have posted about how they wish to play and respect that.

With going back to my way of the game I was able to book a small success. My dividends went up from 1.24 to 1.30 again, but I am still not over the hill. For the future, if someone MUST have a buy back on the investment, talk to me. I am a real nice guy, very social and I do deals, always did. If you are currently waiting for a buy back, it might take some time until it happens. There are only two choices, enjoy the dividend AND a rise in yours, or sell.

As always, I look forward to your opinion and comments.

Vitus Feldmann

Ex-Professional Soccer Player, International Banker, International Business and Soccer Analyst. Global Marketing & Social Media Leader. Communicator and Connector! I help businesses and individuals to do better marketing and social media marketing. My focus is revenue creation because that is what keeps the business going. I am in business for over 30 years and I have learned to question the status quo. The ability and willingness to do so has given me an edge in my job. Marketing, especially social media marketing is fast paced. Today, nothing is like yesterday and tomorrow is different from today. Your business suffers, if you don't adjust. I am also an avid photographer and my favorite "model" is New York City.

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22 Responses

  1. ransae says:

    The same mistake i have done now…and i am putting a curb onto buying people with dividends less than .5 against a share value of minimum 75…which means 1;1.5 at an average, and will slowly raise it to a ratio of share price : div at 1:1….i reached a div of .99 three days ago and now i am at.92 and think it will still go lower by tomorrow….Thanks for the sharing…..

  2. Simon Harris says:

    Makes sense, Vitus! We can do without the ‘bad people’ as you call them – the problem is that there are too many on Social Networks, and people like us tend to go on trust ie. assume that people are good until proved wrong!

    The good news is, though, that the good guys end up winning in the end because places like EA are really based on reputation, and earning a good reputation based on consistency, honesty and reliabilty is where we get the real value – relationships that go beyond the trivial and virtual!

    • V. says:

      Thanks for your comment, Simon. Bad people is a though call and I am not sure I was right in calling them so. They might not be so bad and just are over excited with a game. Happens to us as well when it comes to soccer, doesn’t it? Sometimes we are wearing our “hat” and forget that we are supposed to be more balanced and even more fair. You know how it is, Simon. “Soccer is Life”! :-)

  3. Tedora says:

    It needs to much energy sometimes when people forget that this is also a game.. I am stil searching my best way.. The true is, not all users with high dividents are also people I want play this game. Some of them are too complicated+unforgiving mistakes from newbees and to heavy for my sensitive spiritual nerves;-)
    I prefere high divs but also serenity and subjective sympathy 😉 I will allow myself the luxury to keep all your shares as one with a small EA Budget., even if you dont buy back them, because you are sympatic :-)

  4. There a lot of ‘bad people’ and even more just plain dumb people involved in social networking sites, but fortunately the people that end up staying and gaining ‘real’ value do so by providing real value through consistent and honest relationship-building!

    You’re totally on the ball, Vitus!

  5. mandyf says:

    I agree. I’m just now starting to get a grip on the game and how to invest better without wiping myself out. Now, I buy little bits as I can in who I choose to, not necessarily who I feel obligated to. Some have great divs, some are just great people I want to get to know better. It has been an approach that made the game more fun for me.

  6. Liz Pullen says:

    I sympathize with you but there is a mistake in your thinking. There is no (NO) connection between the dividends of the stocks that you own and your own dividend rate. If you rate went down, it is not because you invested in low dividend stock but probably because you were spending so much time stressing about this that your social media activity was less than it was before. The dividend rates of the stocks you own only affect the amount of dividend revenue you receive each morning.

    I think it is also important to realize that some stocks are not worth owning. You responded and tried to please people who were demanding buy backs. I’m sure this was a minority of players (less than a dozen) and yet they manage to ruin the game for you when the majority of your shareowners play fairly. These demanding people are worth blocking rather than trying to meet their unrealistic expectations.

    My advice is to stick with your original strategy and people can either accept that or not own your stock.

    • V. says:

      Liz, check again. Your dividend is closely tied to what you are buying. And if you make the wrong choice, no social activity will make it up. As an example, my social activity during the down fall was 30%!!! higher.

      I haven’t counted the number of these people, but in a quick estimation, it was more than a dozen. But you are right, I need to stick with my idea and see how it works. Just as I did with changing it. Whatever works, works.

  7. Mefance says:

    I completely agree with you Vitus. I’ve felt forced to reciprocate buys sometimes, especially by people involved in this kind of strategy, then I found my way and decided not to take part in the activities of reciprocal-buys communities. Personally I don’t think it is a winning strategy in the long term and prefer to carry out a mixed one like yours.

    • V. says:

      Thank you for your comment. A winning strategy is what people like to do for themselves and it works for them. If they are happy with it, good for them. Forcing something is not always a good idea, especially not in this case.

  8. Cole Ruddick says:

    Vitus, I agree with you completely. Around the middle of December, I sent a shareholder message that talked about my strategy (which was very similar to what you’re saying). Then, around Christmas I began a new effort to buy back anyone who invested with me rather than prioritizing those with a good return. I did that for about a week & a half. The result is obvious when looking at my share graph. In fact, it began to dip slightly for the first time since I joined EAv.

    I’ve since turned back to investing smartly, which, in turn, generates a higher div for ANYONE who holds my shares. Again, my share value chart is evidence of the improved difference.

    During both periods, my social network activity was virtually the same. My EAv activity rate was the same. People invested in me & I reinvested at the same rate when I flattened out as today. The only difference is “where” I invested.

    Several people have disagreed with the strategy I use, stating there is no connection between divs in my holdings and my own share’s div. While I truly respect them & have a deep appreciation for them, I must respectfully disagree as I’ve proven through practice that there is.

    As a fairly newer stock on EAv, I’ve also taken a LOT of time to study what others have written as far as strategy. Those who are doing well at the game (strong, steady growth AND high dividend) are playing the same way without sacrificing the purpose of social networking – connecting with people and building relationships.

    Best wishes in your ventures!
    Cole (e)COLR

  9. I am new, and have found you a poster child for activity and specialization in this space. Truth be told I believe in the dividend first, then the earnings from social activity. I am not a believer in reciprocal buys, maybe it will still grow on me.

    The biggest asset is traffic generation, and I feel dividends and earnings create traffic to fund missions. Unless I am missing something of course.

    Keep up the great work :-)

    Shane

  10. Thanks Vitus for sharing! Have a great new week! Best, Lucas

  11. Anne Thomas says:

    Thanks for sharing Vitus :) You are a great guy and I know the pressure sometimes, not too many folks but I’ve felt it too. Just do what I can and I don’t worry too much.

  12. Melody says:

    Have fun and kick anybody who gives you grief to the curb. It’s a game, first and foremost. Enjoy yourself and it’ll all work out. :)

  13. Art Jonak says:

    (e)DUPS stated “The shares you own in your portfolio do NOT affect your share price or your divs at all.”

    In other words, like Liz said, your div and stock price are NOT affected by the the divs or share price of the stocks you hold, your own portfolio has ZERO effect on your own divs or share price.

    The only thing holding higher div stocks will do is generate more eaves for you to invest.

    I’ve found on the flip side, your “stock price” is affected by the amount of people who buy your stock, hold your stock or sell your stock. And I’ve personally found the best way for people to hold your stock is to hold their stock. Very much in alignment with how social media typically works. :)

    And, when you actually work the math, taking into consideration the 5% commission on both ends, the div returns, etc… in many cases by selling, you lose eaves (but I’ll leave that for another conversation).

    There are many ways to play, no right or wrong way, just the way that works best for you. There are plenty of people who do great by simply focusing on high div stocks. So the info above is just FYI type info, not a “rules to play by” info. :)

    • V. says:

      No Art, you are wrong. Your div price is connected to the people you buy. Clearly. This is also stated by Empire Avenue, it is public info. You are right with the share price, that is only affected by the other buying you and in parts by your activity. I am also only selling those that have nothing to offer. No divs, no rising share price. With investing somewhere else, I make more eaves. It was never my intention to make up a rule or write a book about EA, the opposite is the case, I try to make some people stop putting their rules on others.

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