Monthly Portfolio Review: Looking for Big Caps

When the Against the Sky Portfolio was initially launched, I stated the principles of the portfolio and how investments would be allocated. Now is a good time to look at the current allocations of the portfolio and re-visit the principles as initially conceived.

Below is a table of the portfolios holdings as of 3/31/09:

Company	% Portfolio	Target Allocation
Foreign Bond
MGGBX	11.65%
Total:	11.65%	10%
Foreign Stock
HIINX	8.16%
Total	8.16%	10%
Large/Mid Cap
SPY	10.30%
MDY	7.10%
ADP	5.42%
CMG	3.68%
MKL	3.50%
RGA	3.00%
FTR	2.88%
DUK	2.65%
AAPL	2.59%
BIDU	2.18%
Total	43.30%	60%
Small Cap
LXP	4.40%
MIDD	4.00%
OTTR	2.86%
GWR	2.62%
UA	1.82%
SPRO	1.71%
CTRP	1.69%
JLL	1.58%
DWSN	1.50%
WEBM	0.86%
DRE	0.71%
CSE	0.56%
Total	24.31%	20%
Cash	12.58%

Market turmoil has turned some of my mid-cap companies into small caps, causing my allocation in small-cap companies to rise to 24%. There will not be any sales to decrease this percentage, though I am looking to increase the quality of some of these holdings. With almost 13% of the portfolio in cash, I will be looking to invest in high quality large-caps on market dips.

Initially, I had hoped to invest in companies that I would be comfortable owning for 10 years. Certainly not all of the current holdings meet that criteria. Again, I need to re-focus this portfolio on quality. However, the current market is providing opportunities to buy companies at well-below their liquidation value. These may not be high quality companies, but they do provide significant upside potential. Money will be concentrated in my best ideas over the coming months.

Comments

[Kay Moseley:]

I wish Seeking Alpha would oblige its authors, when they refer to a stock for the first time in an article , to spell out its name.

Long lists as in this article are frustrating to the general reader/individual investor for who many of the symbvols will not be familiar.

Thanks, KPM

Apr 06 12:46 PM