Networth Update

I have dreaded this day for the past week, realizing that today would be the day all my crazy spending will really strike home.

Although certainly the month had circumstances that are abnormal, ie. moving into a new apartment and having to buy a new computer, it nevertheless is just an excuse for the spending, rather than a financially responsible situation.

Compared to last month's networth update, I have made a 0.12% decline, decreasing my networth by $1,200. $500 still continues to be tied up in my student loans, as my new lender has not received the refund from my old lender for paying too much yet (and I may have lost this $500 if it weren't for the fact that blogging made me remember).

My networth is -$21,251.37 or -2.13% of the way to my million dollar goal.

Stocks on my mind

After a week of tumbling stocks last week, and a huge gain for the market today, I think its a good time to recommend to the world the stocks I've been thinking about.

Typically, my top 3 choices are Apple (APPL), Google (GOOG), and Exxon Mobile (XOM). This week it's no different.

Why do I pick these 3 stocks consistently when I talk to my family and friends? Because these three company continue to amaze me.

And this week especially, I recommend these stocks because two of the three (Google and Exxon) missed earnings expectations, making them especially juicy buys after the initial dip in their stock prices.

Let's start with Apple. With all the hype of iPhone, and the continued success of the iPod, it shouldn't be hard to see the media attention Apple gets. But, with initial reports that the iPhone sales were below analyst expectations, the market was worried, until they heard about the "sweet deal" AT&T gave Apple (story here). AT&T is not only subsidizing the cost of the iPhone, but Apple is picking up monthly residuals on each subscriber, each $9 a month per user. Apple may be an one-product company now, but when that product is so huge, it doesn't really matter.

Speaking of one-product companies, Google is another one of those technological wonders that has succeeded off the back of one good product, their search engine. However, they too felt a huge hit to their stock price when their quarterly reports missed analysts expectations. But the stock has been creeping back slowly. Why? Because a further analysis of the 10 cent miss, and according to their CEO Eric Schmidt (story here), shows that a majority of the miss is attributable to a 10% increase in headcount and a shoring up of their accounting procedures. For a large stable company, such a hiring bonanza is cause for worry, but for a growth company, such an increase is akin to buying a larger factory or any other asset. Sure it costs money now, but eventually, they'll figure out how to turn that expense into profit.

On to Exxon Mobil. I don't need too much of an explanation. With continued high profits and soaring crude oil prices, who wouldn't think a gas company is a great (long-term) buy?

One day away...

Judgment day is upon me, or at the very least, month-end reconciliation is coming, and I fear the damage.

Simpsons Movie is AWESOME!

For fans of the show, the entire movie is about knowing the characters and understanding the references. For those who have never seen the show, you will be disappointed the first time, but if you watch the show for a bit and then watch the movie again, it'll be a whole lot funnier.

I can't wait to see it again tomorrow (Friday night, since it's still Thursday for me until I go to sleep.

CFA Level I Results are in

And I, along with 60% of the other test takers, did not pass CFA Level I's. Like the OWL's of Harry Potter, I won't be moving on to the next level until I can pass this one.

Honestly, I saw this coming, as I didn't really spend as much time as I should have studying all the material, figuring my MBA studies were enough. Not until later, did I realize how true the saying, "MBA is a mile wide in business and an inch deep in finance, and CFA is a mile deep in finance and an inch wide in business."

Looking at the breakdown of the section, the parts I was good at was ethics, economics and quantitative analysis. Other aspects, such as portfolio management and alternative assets, I did not do as well in.

I'm just going to have to hunker down and study hard for the December one.