long term investment portfolio

[CJ]

WHS vs RYM is no comparison.

Agree. WHS pays dividends as it cant expand anymore. It is at saturation in NZ for Red sheds. It tried and failed in Australia and it tried and failed in Nz with grocery.

Ryman on the other hand can use its funds to build more villages (no where near saturation in NZ) where it earns fantastic returns. It is also feeling out Australia but is doing it right and if it fails, wont face big right offs like WHS did, but if it succeeds, will fuel further growth, and interest from Australian institutions.

[POSSUM THE CAT]

CJ it can only keep building villages if there are people that can afford to live in them or are you expecting Govt subsidies most elderly people could not afford to live in them.

[CJ]

CJ it can only keep building villages if there are people that can afford to live in them or are you expecting Govt subsidies most elderly people could not afford to live in them.

Plenty of baby boomers with cash.

Eventually they (and other village operators) will reach saturation, but I dont think we are there yet.

[ENP]

CJ it can only keep building villages if there are people that can afford to live in them or are you expecting Govt subsidies most elderly people could not afford to live in them.

If RYM starts to get decreasing returns on it's equity and assets, starts paying a higher % dividend or uses all spare cash to buy back stock or pay off debt, then you can tell they have run out of ideas to expand.

[voltage]

thanks for all the comments. If you were to extend this portfolio to some global blue chip stock what would you add. I know the list is really endless but with the low USa dollar and pound what an opportunity. I have added google and apple.

[ENP]

I have added google and apple.

Reason being?

[voltage]

a long term investment portfolio should be diversified. Apple and google chosen has long term growth engines. Mainly my brokers recommendation. ENP your thoughts appreciated.

[percy]

Be careful with ownership of US shares.Best to have them in a broker's nominnee holding.The reason being if you die ,your estate will have great difficulties selling the shares.Sorry if my post is unclear, but your broker will explain the problems.Also you pay double brokerege,and divie's are very low,and have to be added to your NZ taxable income.
I am sorry but I cannot see that US investing is worthwhile. The countries driving the world's growth will be Asian,Indian,and Brasil.If you invest in what they want,ie Aussie minerals and NZ food,and stay away from what they produce ie refrigerators your portfolio should be strong.
I agree with previous poster's views on RYM vs WHS.
I would buy BHP.RIO,or KZL before any US stock.

[voltage]

Thanks percy, isn't global consumer brands good growth stocks to get into, egs like coke, mcdonalds yums, proctor and gamble, unilever etc.
Agree about ownership and do use a brokers nominee account for all funds outside nz and australia.
I have increased holding to rym. I also own Kingfish which has a high holding in ryman and mainfreight. Two top holdings for a long term portfolio

[ENP]

Apple and google chosen has long term growth engines.

Apple keeps needing to bring out new technology every 1-2 years to keep ahead of the competition. If it doesn't make the next best thing all the time, it's products will become obsolete and it's business will suffer. A lot of the growth that Apple has had over the last wee while has been from Ipod, Ipad, Iphone, etc. Who knows what people will be using 5-10-15 years from now.

Compare to something such as Coca Cola, Colgate Palmolive, etc. People have been drinking coke and brushing their teeth and washing themselves in the shower for years. I doubt toothpaste will become an obsolete product in 5-10-15 years time. Same as people will continue to drink the same coke recipe years into the future.

Also the fact that you said "broker recommendation" isn't very re-assuring. You should drill your broker and ask why he is making these decisions, what are his reasoning's behind his recommendations and do they suit your investment ideas. After all, it is your money you are playing with.

Let me know what you think.