Category Archives: Stocks

Determining Adjusted Cost Base

CalculatorAdjusted Cost Base is the term that is used to describe the average cost of shares that an investor has bought. This is necessary so that you (and the government!) know how much tax you owe when you sell your shares.  If you bought all of your shares at one time, there is nothing to it. If, however, you accumulated your shares through several separate purchases, you have some math in your future, in the form of the average cost method.

Doing the math

If you’re not thusly inclined, the mathematics of investing can quickly get ahead of you. While you (might!) argue that some calculations that investors routinely do are not absolutely necessary to tracking your investing progress, determining your adjusted cost base is not one of them; there is nothing the bit least optional about being able to determine how much you paid for your stocks. You need to know so you can calculate your taxes. Fortunately, it’s not that difficult. (The math part, not the paying taxes part; sorry, no help there.)

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Where to Go for a Sure Investment?

Used to be a sure investment
Soon to be a thing of the past?

That little wiggle you felt a few weeks ago wasn’t a result of overeating the day before. It was the world shifting. In a meaningful way.

As you may have heard by now, in May, Barclays downgraded Electric Utility bonds across the United States.

For the past several decades, utility companies of all stripes have been one of the best places to park money for safety and income. After all, turning off your power, water, or gas was the last thing you would do if you were in a period of financial difficulty. You might cut back on luxuries, wear your clothes another season, put off retirement savings(!), or even sell you car. By the time you get to the point of not paying your utility bills, you are in pretty dire straits; it’s one of the last places people cut expenses. Add to this the fact that if a utility get into financial trouble (whether of its own making or not) they have a great deal of power to raise their rates. The realpolitik of the situation is that the electric company has you over a barrel, and they know it. When you flip the switch, you want the lights to go on; it’s that simple. Most people will complain about price increases, but they will complain as they are paying the bill. Cutting out water, electricity and natural gas delivery to your home really isn’t something anybody ever wants to do. This is one reason that utility stocks are known as “widow and orphan” stocks; they’re as reliable as anything can possibly be.

Until now.

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Silver Status Nice, but Level II Quotes Not That Big a Deal

Level II Quotes
Level II Quotes let you see the depth of the market. Invaluable for traders, ho-hum for investors.


One of the benefits of becoming more experienced in the investing game is that it usually leads to higher balances.  My user account recently passed the threshold to where I am now a silver-level member of the 5-Star program at InvestorLine.  With this new status, I have been given access to Level II Quotes and a few other perks.  I will be breathing this rarefied air at least until next quarter, when my standing will be re-evaluated.  Acquiring access to Level II Quotes, I have to say, is a goal I have had my eyes on for quite some time.  Apart from the cachet of having attained the balance required for acceptance into this ever-so-exclusive club and the Level II Quotes, what perks do I get for passing muster, and how beneficial are they?

Apart from the Level II Quotes, there are three principal benefits:

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