There's a contest happening in this poster's portfolios---involving HLX & MDR versus KNOP.
For the sake of 100% visibility I feel compelled to disclose that I've sold much of my HLX and may temporarily liquidate altogether.
After digesting things said in my previous post, I gradually came to realize I wasn't being 100% true to my own rules of investing, namely that I almost never sacrifice an income-producing winner in lieu of a pure speculative play.
So I came to the conclusion that there's no time like the present to lunge for the income producer...not because of the income, mind you, but the certainty I'm sensing on the capital appreciation side of KNOP.
Spec plays depend upon stars lining up favorably as everybody must surely know. If things go exactly right, then we dance in the streets with a fistful of freshly minted profits. But it's predicated on "...if things go exactly right." Even then, assuming things go according to Hoyle, the dollars result from our being on top of things/events and being available and ready to execute the trades. Also, we usually ladder our sells just as we will on the buy side as we accumulate our desired positions.
With an income producer that we are especially confident about, we don't question the income side until our positions are sufficient to warrant it. Instead, we focus entirely or nearly so on the appreciation side for this is where our chances for immediate gratification will lie. This is what makes distributions so alluring as they become icing on the cake.
There's no doubt in my mind but that KNOP should be at $25+ and not
in the $22 area. And as I look at my holdings it comes as no surprise that KNOP is one of just two out of eleven picks showing green. If I'm right, then, KNOP may surge by 12% fairly soon.
I'm growing ever more convinced that KNOP is destined to become our next major winner and that means I've got to embrace it as determinedly as I have NGL and ALDW.
Then I look at the bigger picture and am hit with the "What if?" syndrome:
What happens if I sell MDR and HLX, two of my three purely spec plays? (HDYN is the third.)
This is a head thing for me as I feel somehow safer with a few of these youngsters hanging around. And this is where and when I need to pick myself up by the britches and get back on track. I am an old man having a huge amount of great fun in the market while sharing details on the boards. Good things coming my way here happen as a result of guidelines I've put in place. Making money is not an accident, by any means.
So I've got to go with my proven winners whose times seem to be opening up right now, not way off somewhere in the future.
Please understand HLX and MDR have been great winners for me repeatedly in the past. But right now---today, in fact, I've found opportunity to grow my KNOP position at a smart price point and I'd be the fool to not respond accordingly.
I hope you folks will make your own decisions independently of my way of going about it. I have no reason to think your instincts are less deserving of our mutual respect than mine or anyone else's. So have at it and let us know what and how you self-manage.
My best of good fortune to all here!
