Retirement Strategy: A Portfolio Update On Time And On Fire (Part 28)

 |  Includes: BAC, CVX, DD, DUK, GE, INTC, JNJ, KO, MCD, NLY, O, PG, PM, SO, T, THC, XOM
by: Regarded Solutions

I love months like the one we just had, don't you? Actually I love day's like Friday even more. The "Team Alpha" portfolio surged 6% in the month of June and while we remained in our holding pattern, we are still in great shape to add another stock to our core portfolio, and we can take some risk for the next few months as well.

Our "Team Alpha" portfolio consists of ExxonMobil (NYSE:XOM), Johnson & Johnson (NYSE:JNJ), AT&T (NYSE:T), General Electric (NYSE:GE), Annaly Capital (NYSE:NLY), Southern Company (NYSE:SO), Procter & Gamble (NYSE:PG), Philip Morris (NYSE:PM), Intel (NASDAQ:INTC), Realty Income (NYSE:O), Chevron (NYSE:CVX), E.I. du Pont (NYSE:DD), Duke Energy (NYSE:DUK), Coca-Cola (NYSE:KO), Bank of America (NYSE:BAC)

We did not fill our naked put sale to pick up shares of McDonald's (NYSE:MCD), JNJ or XOM so the premiums stayed in our cash reserves which gives us a few more bucks to buy a new stock!

So How Is "Team Alpha" Doing?

stock #Shares 6-30 PPS TotValue
XOM 100 86/shr 8600
JNJ 100 68/shr 6800
T 100 36/shr 3600
GE 100 21/shr 2100
NLY 110 17/shr 1870
BAC 500 8/shr 4000
PG 200 61/shr 12200
KO 50 78/shr 3900
PM 140 87/shr 12280
INTC 300 27/shr 8100
O 100 42/shr 4200
CVX 100 105/shr 10500
DD 100 34/shr 3400
DUK 100 51/shr 5100
SO 300 46/shr 13800
Cash Rsv 0   18849
Total x x 119299
Click to enlarge

We gained more than 6% for the month and our cash reserves held steady. The S&P went from 1278 to 1362 for the month which is just a bit under 6% for the month so let's just call it a dead heat for June.

The entire period from October 23rd 2011 when we opened our positions is a different story however. Team Alpha squeezed out another few little points to up our lead over the S&P to +14.45%. Not only that, but we now have a better picture on some stocks that could be positively affected by the Affordable Care Act's Supreme Court decision.

As mentioned in a previous article, I like Tenet Healthcare (NYSE:THC) and since I have purchased the stock for my own portfolio I am adding 400 shares to our portfolio here. At $5.33/share (my price). I think we could have a nice pop to help our overall portfolio value.

By putting just 2% of our portfolio value into a risk stock like this, the reward could be significant. I would NOT put more than 2-3% into this stock if you are following along, but I do believe a small position with some cash reserves is a pretty good move.

Next month will reflect this purchase as well as some nice dividend payments, like our lovable little Annaly , among others. It sure makes July a sweet month.

My Opinion

The summer months could bring just about anything. The Eurozone soap opera continues but it seems to be coming to a "new" head, until the next "new" head, and our overall economy is still sluggish at best.

Our overall strategy is working quite nicely, if not VERY nicely, and hopefully we can make even greater strides in the 2nd half of the year.

Have a safe July 4th, and Keep an eye out for my next bunch of articles!

Disclosure: I am long JNJ, XOM, GE, NLY, O, T, INTC, SO, PM, KO, PG, BAC, THC.