The screen shot I used as the photo for this post is of Commonwealth Bank of Aust. share price as of 12/5/2015. As you can see there has been quite a drop off in price over the last couple of weeks.
When’s a good time to buy Aussie shares?
There is (as they say) no time like the present. In the last week or so there has been a lot of uncertainty because of the troubles in Europe and in particular Greece. There is speculation over whether they will be able to fulfil there obligations to pay back debt to the European Monetary Fund and this has triggered a dip in markets all over the world. Australia has also suffered and many of our major stocks including the banks have lost more than 10% of their value. This happened rapidly over the past couple of weeks and has opened up buying opportunities in the Aussie stock market.
The banks are a good buy.
For example, the Commonwealth Bank has decreased from a high in late March by around $13.71 or 16.53%. There is not many opportunities such as presently to buy a stock like CBA or the other banks at such a discount. When you also add in the price of the dividend it makes for quite a discount on prices only a few weeks ago. CBA is not presently paying a dividend but ANZ Bank is going ex-dividend this week, so you can pick up the stock discount and the dividend.
If you’ve been thinking – take the plunge!
If you’ve been thinking for a long time to start a portfolio or you are adding to some shares you may already have, there is no time like the present to act.
At a later date I will go into more detail about dividend yielding shares and how they can help grow a structured portfolio but I thought I would add this quick post as I thought the opportunity was too good to go unmentioned.