10-15-2013, 02:05 PM
The portfolio of little dabs of so many positions makes me a bit dizzy. Lots of work and lots of tracking for nothing much on the line in any one position. Not being critical for you, just not my cup of tea for a young and growing income portfolio. Mine probably gives you just as much discomfort. My long term (only started funding 2/2012) portfolio is only about $30K so far. Holdings are CSG KMP MCY O ORI POT RDS.B SSL TGP. Funding of initial positions has ranged from a low of $3375 for ORI to a high of $4477 for RSD-B. Current values range from $3978 for KMP to $5436 for CSG. As funds become available, I generally buy an initial purchase of $4000 from my short list of candidates. After I get the breadth of positions, probably about 15-20 tickers, I'll then start accumulating, gradually adding until each position equals about $8000. The accumulation phase will be used to re-balance, so if adding today, would only add about $3600 to CSG for example, so as to move shares to the next weighting target of $8000.
There are probably numerous things wrong with both my selection of holdings and my equal weighting method of purchasing, but until adjustments are made, this is working for me. It requires far less DD than with an expansive portfolio of tiny holdings, requires less incremental trading fees, is much easier to track and or adjust.
Since I'm retired already, the initial dividend yield is more important to me than is dividend growth. As a result, my cutoff is near 5% yield at entry for a company with a reasonable track record of dividend increases and also with prospects for future growth. CSG in my opinion is the most risky play, as the company has only recently moved from being a private REIT to be a public one, so they have a very limited public track record.
ticker/current market yield/notes
CSG 5.5% - earnings are covering newly established 12.5 cent quarterly dividend
KMP 6.6% - long history of dividend increases
MCY 5.0% - long history of dividend increases
O 5.3% - long history of dividend increases, slow but steady
ORI - 4.8% - long history of dividend increases, meager but steady in recent years
POT - 4.4% - steady dividend increases, huge growth story
RDS.B - 5.3% - long history of dividend increases, stable production areas, no foreign taxes
SSL - 3.9% trailing - payout is variable depending upon cash available for distribution I assume
TGP - 6.5% - steady dividend increases since 2005, an income and growth stock
My portfolio probably has a higher risk profile, but I'm willing to accept that in order to keep the average yield above 5%. I'm looking forward to adding some of your tickers, but only in the next brutal take down, when the DOW is once again well under 10,000.
There are probably numerous things wrong with both my selection of holdings and my equal weighting method of purchasing, but until adjustments are made, this is working for me. It requires far less DD than with an expansive portfolio of tiny holdings, requires less incremental trading fees, is much easier to track and or adjust.
Since I'm retired already, the initial dividend yield is more important to me than is dividend growth. As a result, my cutoff is near 5% yield at entry for a company with a reasonable track record of dividend increases and also with prospects for future growth. CSG in my opinion is the most risky play, as the company has only recently moved from being a private REIT to be a public one, so they have a very limited public track record.
ticker/current market yield/notes
CSG 5.5% - earnings are covering newly established 12.5 cent quarterly dividend
KMP 6.6% - long history of dividend increases
MCY 5.0% - long history of dividend increases
O 5.3% - long history of dividend increases, slow but steady
ORI - 4.8% - long history of dividend increases, meager but steady in recent years
POT - 4.4% - steady dividend increases, huge growth story
RDS.B - 5.3% - long history of dividend increases, stable production areas, no foreign taxes
SSL - 3.9% trailing - payout is variable depending upon cash available for distribution I assume
TGP - 6.5% - steady dividend increases since 2005, an income and growth stock
My portfolio probably has a higher risk profile, but I'm willing to accept that in order to keep the average yield above 5%. I'm looking forward to adding some of your tickers, but only in the next brutal take down, when the DOW is once again well under 10,000.
Alex