Electronic Cigarettes International Group Ltd fka ECIGQ

[ChuckBits]

You've mentioned that other stock a couple times now. You also indicated you are somewhat new to investing. I hope it works out for you.

Respectively, I don't think a "dividend investment" is a good comparison to something that people thought had great growth potential. I previously owned 2 "wonderful" dividend payers. A couple times I thought "why not put all my money in these 10-15% divided payers?"

One was an MLP that consistently traded within pennies of $8 & payed a sweet monthly dividend. One day they cut the dividend from about 15% to 3%. The pps dropped to about $3 and then they did a 1 for 5 RS. All the money I accumulated went poof with no chance to recover at a few dollars earned per month.

The other was a mortgage backed stock that made a drastic cut to the div & the pps dropped from $32 ish to the high teens. Would take decades to recover the principal.

How confident are you that the div will be sustainable that you are comfortable recommending it? Also, since it's TSX, TD Ameritrade in the US doesn't even list it. Have you considered the liquidity?

Also, for those of us in the USA, a "foreign tax" is automatically withheld from the div. If you hold it in a "regular account" you can get the tax refunded after waiting up to a year on your 1040 tax return, but if it's in an IRA account, you can't claim it, the tax money is gone.

Finally, suppose I found $25k & bought it. Assuming I don't reinvest the div (just to simplify), it would take me about 26 years to recover what I'll lose with ECIG. Of course that is also assuming the div is sustained.

Just something to think about. Like I said, I wish you well...