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I'm a 64-year-old individual investor focused on dividends in a Retirement Income Portfolio. I'm in a second career. As Director of Community & Property Care, I'm part of a management team that oversees 123 residential retirement units for a non-profit organization. I've been a member of... More
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  • Kringle And Amazon Announce Partnership

    December 25, 2014, North Pole.

    At a blustery news conference, speaking on behalf of a tired Kris Kringle, Chief Elf John Bundler announced today that Mr. Kringle has entered into a long-term agreement with to assist in the worldwide delivery of certain Christmas items.

    Chief Logistics Elf Skye Router added that a key factor was Amazon's entry into drone development. "As the first mover in sky delivery, we recognize the complex technology involved in the accurate, on time delivery of packages on a worldwide scope. We welcome Amazon's entry into this sector because we have maxed out our reindeer platform and we have been looking for either a bolt-on acquisition or a strategic partner."

    An Amazon spokesperson said that the company would have an announcement to make at a later time, and deferred all inquiries to the Kringle operation, saying, "They are the pioneers. We wanted them to break the story. We are just honored to be part of their long history of satisfying customers. They have used us as an outsource for warehousing and seasonal overflow delivery, so this is a natural expansion of our partnership."

    Details of the expanded partnership are expected to be provided to the financial news media in the second quarter of 2015, with full implementation expected by November, 2015. A spokesperson for the Amalgamated Brother/Sisterhood of Reindeer said that the hoofed union was a full partner of the negotiations and was not threatened by the proposed inclusion of high-tech drone air delivery in their annual operations. "The rapid population growth of the planet, plus the renewal of steep-pitched roof architecture has made it difficult to find enough skilled reindeer for our delicate clandestine flight and landing operations. Amazon is a leader in fast, accurate delivery and we welcome them as part of our worldwide system."

    Tags: AMZN
    Dec 25 7:41 AM | Link | 7 Comments
  • Two CEFs Added, One Dropped

    Four closed end buy/write funds have comprised about 20% of my retirement portfolio with about a 5% allocation for each: ETV, JLA, NFJ and IGA. (Additionally, BUI comprises about 4% of the portfolio, but I count it in the utility sector.)

    Yesterday I closed the position in IGA (the ING Global Advantage & Premium Opportunity Fund) and opened a position in ETW (the Eaton Vance Tax-Managed Global Buy-Write Opportunities Fund).

    This move was inspired by Douglas Albo's article, "Equity CEFs: Top Funds by Fund Family (Part I)," particularly his comparison of their discounts to net asset value. I also appreciate Eaton Vance's commitment to buy shares if the fund trades at a 10% discount to NAV.

    ETW now represents about 4% of the portfolio. I reduced the allocation of ETV, JLA and NFJ to 4% of the portfolio (down from 5%), and for diversification I added another Albo recommendation, the Nuveen Equity Premium & Growth Fund (JPG).

    So, excluding BUI, the CEF portion of the portfolio continues to be 20%. but it is now comprised of five funds with a 4% weighting for each.

    This morning, when Chambers Street Properties (NYSE:CSG) spiked down, I bought some more shares and it is now fully weighted in the portfolio. This weekend I will post an end-of-the-month portfolio update.

    Disclosure: I am long ETW, ETV, JLA, JPG, NFJ, BUI.

    Additional disclosure: CSG is not yet recognized by the SA system, but I am long CSG.

    May 30 2:53 PM | Link | Comment!
  • Consuelo Mack Interview With Bill Priest

    It's appropriate that the markets are silent on this Memorial Day of remembrance.

    This week's WealthTrack interview by Consuelo Mack is with Bill Priest and Tim Hartch, "Award Winning Managers, Contrasting Strategies."

    Dividend investors may be particularly interested in Priest's comments about how stocks are chosen for his MainStay Epoch Global Equity Yield Fund.

    Priest says every company has five options for how to deploy its free cash flow:

    1. Pay dividends

    2. Buy back stock

    3. Pay down debt

    4. Invest in the business

    5. Buy other companies.

    His goal is to build a fund with a 9% return, comprised of 4.5% in dividends, 1.5% in either buybacks or debt reduction, and 3% growth.

    I always enjoy looking at the portfolios of funds that have great track records. Priest's Global Equity fund seeks to have 100-105 stocks with a low beta (.75). Here are the top ten equity sectors in the fund's holdings (as of March 28, 2013):

    Diverse Telecommunication Services 11.30%

    Pharmaceuticals 10.88%

    Tobacco 7.74%

    Electric Utilities 7.09%

    Multi-Utilities 6.90%

    Media 4.95%

    Oil, Gas & Consumable Fuels 4.22%

    Insurance 3.98%

    Aerospace & Defense 3.87%

    Wireless Telecommunication Services 3.33%.

    Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

    May 27 12:26 PM | Link | 2 Comments
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