I’m an 18 year old college student. My dad bought Coke, Home Depot, Microsoft, and Intel stock before they were super valuable and I’m looking to do the same, but I’m unsure how to pick “winners”. My dad said basically they were doing really well at the time and so he bought them. When I was young he split me off some shares of Coke and Home Depot and I’ve been adding to them all my life, probably putting more into them then savings. My dividends are automatically reinvested into new shares and I’ve never taken any out. I have around 9k in Coke and 5k in Home Depot. I’m very happy with my Home Depot but my Coke stock worries me. My dad bought Coke stock when he was very young and it did very well from him, but it seems unlikely I’ll see even close to the same kind of returns he did. Don’t get me wrong, it’s done well for me, but I want to go to grad or med school and so I’m wondering if taking out a loan is really a better option than selling the Coke stock. I wouldn’t need a loan until 3 years from now for grad school, but I’m wondering when the best time to sell would be...I know right now the markets are in a boom, but I think the capital gains tax will be lower after the most recent tax bill goes into affect?? Not sure. I also have been interested in trying to invest more in companies that will yield very well in the long term, like over 10-20 years, like my father did. He said he just bought companies that were doing well, but all the companies that I know are doing well are super expensive, bordering on overvalued. I wanted to buy amazon or Facebook last year, but my dad convinced me that the shares were too expensive so I just bought more Coke. I brought up buying amazon and Facebook again a month ago, and he told me he thought they would possibly be considered trusts soon and broken up. Is that true? Is it still possible for the casual investor to find reasonably priced stocks that have great long term potential? My 3 main questions are: 1.a. Would it be better to sell Coke stock or take out loans? 1.b. If I should sell my Coke stock to pay for graduate school, when is the best time to do that over the next three years? 2. How do I build a portfolio of stocks with long term potential when everything that clearly has long term potential is said to be overpriced?
Submitted January 19, 2018 at 08:47AM by wacthc http://ift.tt/2DOzZx1
