Retirement Income: Portfolio Design For Maximum Current Income [View article]
The mREIT sector has some solid companies, so nothing is wrong with AGNC. The mREITS do not have a steady dividend history and I don't think they ever will. They do not have control of their own fate (that sounds dramatic, ha!) because it's just a cash machine tied to the interest rates. I'm trying for solid income growth, over the long term, so I have stayed away from the mRIET's. Now the equity REITs are different, the interest rate risk is muted and the tangible assets make me more happy. ARCP is on the bubble for me right now, we have gains in every single ARCP position at this point, some are good solid gains and I may sell ARCP and move those assets to HTA or something else. Now PSEC seems to be doing well, but I think a secondary offering may be close at hand, so if you want PSEC and you understand the risk, then start averaging in or wait for a pullback in price that is ofter seen with a secondary share offering. I have a bunch of people at the "5 or 6" year point, preservation of capital is very important, so please be careful with your allocations, lots of blue chip stuff with dividend growth keeps my stress level lower.
Why 401(K) Plans Don't Work In This Market [View article]
AG.....I know that the people coming to me are typically upset so I'm hearing mostly the bad news about 401k's but you are right, it's a simple matter of custodial choice and I'm not seeing good decisions and worse, I meet with people and see worse that just bad investment loading, but other things that point to simple money grabbing from these "captured" plans.
Great work. We have been long INTC for months now. Thanks for taking the time to write. I think the TV market needs to be re-invented and Intel is getting there early as well, when I saw how discounted the market has the price for current sales at Intel I could not believe it, especially considering the price/sales at some of the competitors. Plus the R&D budget, wow!
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Bob, thanks. I have TCAP on a secondary watch list that comes out from time to time. I also have one or two brain cells on MAIN. But is about as far as I take it PSEC, TCAP and MAIN. Only PSEC has made it to the high yield allocations, but people push me at times for more income.
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Good question on ETE and ETP. I think I leaned toward the ownership of the general partnership (ETE owns the general Partner of ETP and a ton of ETP units and all the IDR's) and a slightly more diverse base. The ownership overlap is large enough that ETE will benefit from any great moves at ETP yet still has some other interests. It's a mess over there but I think ETE has the bulk of RGP.
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Also, utilities and infrastructure ( or pipelines) are very defensive, that has played heavily into the over allocation. I do like the 15% idea, I do not have an inclination to have more than 15% income from financial sectors, bonds or consumer goods. which means some weight will move to the move stable places, but there is also the idea of quality. Like the dividend from Coke, it's fairly dependable....so consumer goods can look better that way. Did you see that I had Intel in consumer staples? I could have done a tech sector, but like AT&T I think Intel is a crossover now. To be more clear AT&T (T) is more like a utility stock than tech or even communications. Thanks for making me think some more.
Retirement Income: Portfolio Design For Maximum Current Income [View article]
durango, KMP is a great holding, I thought that ETE had more growth in the pipeline ( nice pun, right?) but KMP is pretty great. Did you see that HEP has raised the payout every QUARTER for years and years.
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Bruce, thanks for reading and great comments. I should take a minute to make sure people know the difference between mREIT's and equity REITS, I just left it at the simple statement that I do not do mREIT's. The sector income ideas is not only for diversification but to have a little participation in asset rotation. Go back and look at how often utilities outperform the S&P over the summer, but it is important to have income coming in from the sectors for sure. And please keep the ideas coming, absolutely.
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Bucknfl, thanks for reading. I just can't get enough information in my head to expand to much further than my core group. I have read some solid authors and investors pushing out to 50 positions. My ideal is 20 positions and I have some accounts with as many as 24. But those accounts are probably holding some very tight stops. Nothing wrong with diversification as long as it stays far away from "di-worse-sification"
Retirement Income: Portfolio Design For Maximum Current Income [View article]
tchayipov, nothing wrong with using options, it is another type of risk. I'll say two things. I am not an options expert at all, I have spent my focus on equities only over the years. So charging a fee for something that I'm not an expert with is not good business. The other thing is that in selling/marketing my services it makes a big difference to exclude all options/margin/leverage. Most of my clients are not sophisticated and are not interested in additional risk layers even if well managed. I do think that skill in options trading is effective.
Retirement Income: Portfolio Design For Maximum Current Income [View article]
ccardani,
Yes I'm careful, and it's ok to go with good fundamentals and no history for small allocations, very small. I like a 20 history of dividends to get serious about an allocation. Great observation.
Retirement Income: Portfolio Design For Maximum Current Income [View article]
I have a bunch of people at the "5 or 6" year point, preservation of capital is very important, so please be careful with your allocations, lots of blue chip stuff with dividend growth keeps my stress level lower.
Why 401(K) Plans Don't Work In This Market [View article]
Intel-Cisco Foundry Deal Confirmed [View article]
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Retirement Income: Portfolio Design For Maximum Current Income [View article]
nothing wrong with using options, it is another type of risk. I'll say two things. I am not an options expert at all, I have spent my focus on equities only over the years. So charging a fee for something that I'm not an expert with is not good business. The other thing is that in selling/marketing my services it makes a big difference to exclude all options/margin/leverage. Most of my clients are not sophisticated and are not interested in additional risk layers even if well managed. I do think that skill in options trading is effective.
Retirement Income: Portfolio Design For Maximum Current Income [View article]
Yes I'm careful, and it's ok to go with good fundamentals and no history for small allocations, very small. I like a 20 history of dividends to get serious about an allocation. Great observation.
Retirement Income: Portfolio Design For Maximum Current Income [View article]