Low opinion AP has of stock financial institutions because of AT&T & Discovery #703 Optimal Strategy of Playing the StockMarket via VonNeumann Game Theory.
PORTFOLIO of PAF on early morning of 11Apr2022
T 33,220 AT&T
Total share-wealth-units last reported which was 31Mar2022 was 34,020.
And total share-wealth-units today is 42,056, a gain of nearly 24% in wealth, and today is 11Apr2022.
Thank you AT&T, one of the best investments in my entire lifetime.
For AT&T divested itself of its media business Time Warner and spun the proceeds off to its shareholders.
I have had a low opinion of financial institutions that invest in the stock market, seeing them as somewhat "dumb" for there never was a bounce to the upside in AT&T leading up to the spin off, where you get a free share of Discovery for every 4 shares of AT&T you owned.
Why was there not a pop to the upside in AT&T stock, knowing you get free shares of Discovery. A mystery to me, and another reason for the low opinion of financial institutions in their investment style. I was sure that a pop to the upside was coming, yet it never did.
Now, my big question is, what is the cost basis of my Discovery shares should I go and sell some of those shares? Is it a 0 cost basis? I was reading a article by some financial lawyers saying that the cost basis has something to do on the day the Discovery shares are issued. And looking at that Friday close it was $24.43 while AT&T Friday close was $24.14.
So I need to know what my cost basis is going to be should I sell any Discovery.
And, I eagerly wait to see, that there was no upside pop in price of AT&T, whether there is going to be a downside slide in AT&T in the trading days ahead.
Many Thanks, AT&T