Friday, February 13, 2009

Taking new positions and adding to old ones

I made several trades today, some of which were new positions, and some of which were additions to existing holdings. My new positions include long-dated calls on GigaMedia (calls 4.5% of portfolio) and common stock in Delia's (2.0% of portfolio). The latter trade is obviously a retail play, which is risky in this tough environment for the consumer. However, the company recently received a large amount of cash from an asset sale. So the stock is essentially trading near cash levels, reducing the risk.

Additions to existing positions included purchases of common stock in Noble (5.2% of portfolio), Finisar (5.3% of portfolio) and LDK Solar (2.6% of portfolio). All have suffered terribly in the past year, but I'm holding for the longer term, and so I wanted to add to my holdings of each at these levels.