spoonman's Journal

[spoonman]

#144 11/22/2015 -- A Glass of Absinthe at Bar Marsella

There’s a really cool bar in El Raval neighborhood that serves absinthe. I was told about Bar Marsella by some friends and absolutely had to go. The place has retained most of its old decor, which gives it a really cool Old Barcelona and bohemian vibe. When we walked in at around 11pm it was already packed and were lucky to find a table right away.



Above is an image of my glass of absinthe. Please forgive the low quality of the photo, we didn’t bring our camera and the one on my phone is really crappy. A friend walked me through the alchemical process of dipping the sugar cubes in the alcohol, lighting them on fire, and then dissolving them in the alcohol with water. The process was repeated several times until the sugar cubes were completely mixed in.

The drink was very powerful and, sure enough, it wasn’t long before we were having deep conversations about Moby Dick, black holes, and other stuff. I don’t think their brand of absinthe had psychotropic ingredients, but that wasn’t necessary at all given the strength of the drink.

[henrik]

Your journal has > 100K views on the forum. I checked the active threads lists back through May and didn't notice anything else even close to this range. I wonder if it's just the consistency in your journaling or some inherent SEO friendliness in your writing:)

[spoonman]

@henrik: Most of those views came from a time when I was a for more consistent journaler than now. I don't do any sort of SEO optimization (hell, I don't really know what SEO stands for!)

[jennypenny]

I think it's all the food and booze porn.

[m741]

I always check Spoonman's updates. He's one of the few ERErs who has fully completed the ERE process, and his journal has photos. I don't think anyone else fits into that category, and the only other journaller who has many photos is C40 (that I know of).

[George the original one]

C40 and ffj.

[jennypenny]

And cmonkey.

I was only teasing about the food and drink pics. I really enjoy them, but I agree with m741 that it's nice when someone pulls the plug and then sticks around to to talk about what they are doing with their time. Too many (understandably) ride off into the sunset.

[Tyler9000]

Agreed. Spoonman's proficiency with writing (and booze) is always refreshing.

It's funny -- sometimes I think my own story got less interesting once I FIREd. I know intuitively it hasn't but I think that's part of the adjustment process, and finding something equally motivating to consistently journal about is harder than it sounds. The thing I like about journals like this one is how they really embrace life and put it all out there.

[spoonman]

@everyone: Thank you all for the kind words. I'm glad that you all appreciate the journal. I've been so busy finding equilibrium in this new life that many days can go by before I post anything.

[spoonman]

#145 12/02/2015 -- November Expense Blurb

For the month of November we received $1885 in income. That amount includes $25 from credit card cash rewards.

We spent a total of $2180, well above our income for the month. Just like the previous month, we blew the budget because we ate out quite a bit. We were more than seduced by Spain’s delicious food. Famous last words, right? Well, probably, but last month I predicted this would happen.

We’ll have the chance to atone for our budgetary sins in due time.

[cmonkey]

I remember reading in your journal that at one point you were invested in O (Realty Income Corp) and I am curious about them if you are still invested in them? I see they maintain a 100%+ (200+ in recent years) dividend payout ratio and have since the 90's. How are they doing this? I've never seen an example of this before.

They are a bit overvalued right now from the look of it but I like the monthly dividend stream and they have been very consistent.

[George the original one]

@cmonkey - REITs can pay out more than 100% due to tax depreciation.

[spoonman]

@cmonkey: Addionally, the correct metric to use is AFFO (adjusted funds from operations). Usually, blue-chip REITs such as O have no trouble covering the dividend when AFFO is considered.

[spoonman]

#146 12/10/2015 -- Basílica i Temple Expiatori de la Sagrada Família

You can’t talk about Barcelona without mentioning the breathtaking Basilica of the Sagrada Familia, a massive church that has been under construction for over 100 years. It was designed by Antoni Gaudí, an architectural genius that was many decades ahead of his time. He died when construction of the Basilica was only getting started.

I visited La Sagrada Familia when I first came to Barcelona in 2005. I remember coming out of the metro station, turning around, and having my breath taken away by the imposing structure, much of which looked as if it was melting (one of the signature styles of Gaudí). At the time there was much construction going on inside the church, so I didn’t feel like paying to go in. But, needless to say, I was very much motivated to return.

I don’t even know where to start describing the basilica. The outside combines elements of neo-gothic architecture and Gaudí’s unique style. I wasn’t prepared for the scale and beauty of the inside. The ceilings are super high, the support columns are huge, and the stained glass art is simply second to none. When we started to make our way inside, the basilica was being illuminated by the western sun. The effect made by the stained glass windows was just amazing.

Pictures will never do the basilica any justice, so I’ll only show the image below. It shows the colorful display of some of the west-facing stained glass windows.



There were other amazing features: world-class sculptures, futuristic elevators, a huge organ, a choir that can sit about 1000 singers...

I am atheist, but it wasn’t hard for me to appreciate the artistic and architectural features of the basilica. I was also pleased to learn that the “Passion” side of the building was designed by a sculptor who identifies himself as agnostic. One of the other sculptors is a devout man from Japan.

If you ever find yourself in Barcelona, you have to see this amazing church.

[thrifty++]

Awesome photo!
Hey I remember that you built your ERE money it seems through dividend growth investing. I have semi embarked on that sort of pathway too. However one of my stocks is down like 15% on purchase price. I am wondering did you ever sell off any off your stocks when they dipped in price and then re-invest or has it been purely a buy and hold strategy? Have you ever had any of your stocks collapse and drop something like 60%?

[spoonman]

@thrifty++: I've sold stocks before, several this year in fact, but it normally hasn't been because of price declines. As you pointed out, I used to actually buy the dips. I've had a couple of companies that forced some capital gains realizations on me, so I earlier this year (around July, I think) I was motivated to sell a couple of small positions in energy companies to offset the gains.

[spoonman]

@thrifty++: I just realized I didn't answer your second question. I bought a batch of Chevron at around $120, so that particular tax lot has taken a huge beating, but not quite as high as 60%. I'm watching all of my energy companies closely right now. Although I hate to sell stocks, I may have to trim some of my energy positions if the price of oil looks like it will stay super low beyond 2017.

[cmonkey]

Would that be to harvest tax losses, or to avoid a dividend cut? If they did cut I think it'd bounce back. They have a long history of paying. COP has made clear dividend is number 1 and they are the riskiest of the 3 majors. CVX is still sub 100 payout so I think they are safe as well.

Saudi is hurting budget-wise so they would be wise to support prices going into late 2016. Although I had expected them to cut by now so who knows.

[thrifty++]

Thanks Spoonman. Well I am glad to hear you have not been selling off stocks which are making a loss for the most part. Things still seem to have worked out for you. I'm just so reluctant to do so. Grab and hold seems to be better for me I think. Also since there is no capital gains tax where I am I don't think I can reap any tax gains from selling at a loss. But I need to look into that more.

[spoonman]

@cmonkey: The couple of tax lots that I sold were to offset some forced capital gains, not because of dividend cuts. As you point out, right now the usual big players in the energy sector are hanging tight and are hunkering down for more low oil prices. From what I've heard, when this whole oil debacle started the Saudis had 48 months of foreign exchange reserves that they could use to fill their budget deficit gap. I have a feeling that they will keep oil prices down through 2016, but at some point in early 2017 they will have to come back to reality.

@thrifty++: I hate selling (my precious) stocks. Selling is something I'm not going to make a habit of. This year was unique because two of my companies forced some huge tax gains on me, so it threw off my gameplan a bit. Next year I hope to do as little as possible =). But yes, grab and hold is the best thing to do for many of us. It suits my personality quite well.