Get a loan, buy GE shares, and pay interests with the dividends?

Discussion in 'Economics' started by crgarcia, Feb 27, 2009.

  1. Wait until the Dow is at 12,000 then sell?
    (Even if it takes 7 or 10 years)

    Meanwhile the dividends pay out the interests (the loan must be fixed rate, for safety)
  2. Might work if GE doesn't cut its dividend, and there is a lot of talk that they will have too. Seems too high risk for me.


    PS. I like GE and have been buying it all the way down, much to my dismay
  3. How much they might cut the dividend?

    A 25% cut is still OK to me.
  4. 100% Cut is my prediction.

    But I think a cut is the right thing to do in this environment. Better use of cash.
  5. Just cut it by 66%, good thing you didn't do that.

  6. hAHHAHAHA!!


  7. EXCELLENT CALL! You truly are the King of Shorts.
  8. LOL!
  9. pismo10


    100% div cut and stock at zero would hurt your plan.