by Charles Sizemore | January 14, 2013 7:15 am
The market, like the Greek gods on Olympus, has a cruel streak. It seems to enjoy toying with us mere mortals, and it seems to enjoy teaching us a little humility as well.
Just a little more than a year ago, I threw into the ring of InvestorPlace’s 10 Stocks for 2012 contest with my recommendation of Turkish telecom giant Turkcell (NYSE:TKC). A monster run in the third quarter pushed me into first place, where I kept a tenuous lead right up until New Year’s Eve.
As the final day of 2012 progressed, I maintained a comfortable 2% lead over the TheStreet’s Philip Van Doorn and his recommendation, Capital One (NYSE:COF). Up by more than a percent with less than an hour until close, I felt victory at hand. I pulled a cigar out of the humidor — one I had been saving for a special occasion — and cut it.
So there I sat, cigar in mouth and torch in hand … waiting … when a funny thing happened: In the closing minutes of the trading year, COF had a massive surge while my precious Turkcell flatlined.
I lost the contest by a fraction of a percent in the final three minutes of the trading day.
Needless to say, the cigar didn’t get smoked — it got hurled at my computer screen in a volley of expletives I’m not particularly proud of.
(Congratulations to Philip, by the way, on an excellent choice that would have earned his readers a handsome 38% return.)
So, what lessons can we learn from my humbling tale? Well …
And now, it starts again. InvestorPlace just launched the 10 Best Stocks for 2013, and it should be a fantastic contest this year. I cast my lot with German luxury automaker Daimler AG (PINK:DDAIF), maker of the iconic Mercedes-Benz. But I also hold Jeff Reeves’ Intel (NASDAQ:INTC) and Steve Freehill’s Two Harbors (NYSE:TWO) both personally and in my Dividend Growth Portfolio at Covestor. (Listen to Jeff and me discuss our picks in this podcast).
I encourage you to follow the contest. If you buy Daimler — and it wins this year– we can light up victory cigars together on New Year’s Eve 2013.
The slightly damaged stick that I cut on New Year’s Eve 2012 has been placed back in the humidor … for now.
Charles Lewis Sizemore, CFA, is the chief investment officer of the investment firm Sizemore Capital Management. As of this writing, Sizemore Capital was long DDAIF, INTC, SAN, TKC and TWO. Click here to receive his FREE 8-part investing series that will not only show you which sectors will soar but also which stocks will deliver the highest returns. The series starts November 5 and includes a FREE copy of his 2014 Macro Trend Profit Report.
Source URL: http://investorplace.com/2013/01/lesson-learned-wait-before-lighting-that-victory-cigar/
Short URL: http://investorplace.com/?p=290104
Copyright ©2013 InvestorPlace Media, LLC. All rights reserved. 700 Indian Springs Drive, Lancaster, PA 17601.