Friday, April 26, 2013

Out of BMC Once Again

I sold my position in BMC Software, Inc. (Ticker: BMC) today at $45.62 generating a net gain of 0.42% over a 2 day period. I was just reviewing my risk once again. The potential 5% gain from here (assuming a buyout price of $48) just wasn’t worth it. It’s a relatively small position so the potential gain would not have had a big impact on my performance. I made a little bit on BMC and now I’ll move on…


At April 27, 2013, Anonymous Anonymous said...


Sorry to here we lost you again. I know it is risky when you buy stock due to the large amount of capital at risk. Hypothetically, for 100 shares to potentially make $300 is not that inviting or to lose thousands is to risky.

I thought I read in the past where you used some options as a tool in your LIFE investment. Just a thought with deals like BMC, maybe you should consider using options versus stock that way you can limit any downside risk and still reap profits similar or better on the upside



At April 27, 2013, Blogger Money Turtle said...

I just don't have a strong conviction on BMC where as I went in big with STZ and LIFE. I did use options in both STZ and LIFE to maximize the gains.

Who knows, I may be back again...???

At April 28, 2013, Anonymous Anonymous said...

I bought Aug 47C and sold 2Jan 50C for a credit.. doubt the stock goes up without a deal and if it goes make some money since looks like only PE are involved instead of a public company..


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