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The ETF Retirement Portfolio Revisited
- After nearly its first full year, my ETF Retirement Portfolio is a qualified success; I continue to keep skin in the game.
- Most core holdings have performed very well.
- Some changes have been made to boost dividend yield and shore up the portfolio's overall performance.
Dogging The Dow: 2 Years On
- My trial portfolio based on the Dow Jones Industrials soundly beat the DJIA in 2014.
- In two years, the trial has increased in value by nearly 50%.
- The 2015 trial portfolio has only two changes, with both McDonald's and Merck getting dropped.
Ignore ETF Expense Ratios? Maybe
- An ETF's expense ratio is misleading, in some ways, as it only relates a fund's expenses to the size of its AUM.
- When trying to determine the true nature of the burden expenses place on a fund, it would seem desirable to relate them to the fund's income.
- It would serve the transparency of a fund better if expense reporting was standardized, with the data articulated in pertinent categories.
- I propose a new metric to be used to clarify the relationship between a fund's expenses and its distributions.
Guggenheim's RSP: Equal Weight Or Dead Weight?
- The article examines whether an equal-weighted ETF following the S&P 500 would outperform market-cap-weighted funds.
- Cap-weighted funds by Vanguard, iShares and SSgA seem ultimately to be equivalent, in terms of performance.
- Guggenheim's equal-weighted fund seems more sensitive to market movement than the cap-weighted funds.
REM And MORT: Mortgage REIT ETFs For Growth And Yield
- REM and MORT are among the highest-yielding ETFs, while also offering attractive growth.
- These ETFs, while offering attractive returns, also involve four very serious risks.
- Ultimately, there may be no significant difference between these funds from an investor's perspective.
Real Estate ETFs For Growing The Retirement Portfolio
- Real estate ETFs not only provide excellent growth potential for the retirement portfolio, but also provide good dividend opportunities.
- The 13 ETFs considered for this article have an annualized five-year growth rate of more than 17%.
- Two of the ETFs discussed are almost exactly the same, but for one rather odd holding that one of the ETFs has.
Consumer Defensive ETFs For Growing The Retirement Portfolio
- Consumer defensive companies address the same sort of persistent demand as utilities, and have the same potential for growth.
- Three of the ETFs presented here have more than doubled in value - not counting dividends - over the past five years.
- Thirteen companies that are held in each of the portfolios presented here have provided a substantial base for the performance of these ETFs.
C-Corporation MLP ETFs: Why Wait?
- C-Corporation MLP ETFs offer a way to put MLP-sized distributions in tax-deferred retirement accounts.
- The issuer pays corporate taxes on earnings before distribution, which could result in extremely high expense ratios.
- These ETFs give the investor MLP income without the complications involved with tax form K-1.
Newer IT ETFs For Growing The Retirement Portfolio
- All of the ETFs considered here have inception dates earlier than January, 2010.
- Only one of the funds is limited to companies based in the U.S.; the others include foreign investments.
- Two of the ETFs focus on areas of IT that are growing steadily and present the areas of IT receiving substantial research and resources.
Info Tech ETFs For Growing The Retirement Portfolio
- While technology stock has taken a beating at times this year, many of the ETFs in the IT sector have excellent performance to their credit.
- Each of the ETFs evaluated for this article have proved their performance for more than five years.
- Each of the five ETFs identified here have something to offer to investors looking for long-term holdings.
Utilities ETFs For Growing The Retirement Portfolio
- Utilities as a sector has seen a performance of 10.13% YTD, and is projected to have good earnings in 2015.
- Three of the ETFs discussed here have the same top-ten holdings – in the same order of weighting.
- One utility ETF is global in terms of its holdings, while another includes telecommunications companies.
Choice Healthcare ETFs For Growing The Retirement Portfolio
- The healthcare sector is up by about 16%, YTD, and is primed to continue that level of growth for the near future.
- The five ETFs discussed here have been selected on the basis of their strength in six areas.
- In addition to ETFs with holdings in general healthcare, two of the ETFs are in more specialized sub-sectors - biotechnology and pharmaceuticals.
PCEF Vs. YYY: Is Bigger Always Better?
- YYY has managed to outperform PCEF so far this year 9.76% to 8.41% (total returns).
- Both ETFs have underperformed their respective indexes, despite following them fairly closely.
- PCEF suffers from having a large number of low-yielding CEFs among its holdings.
United-Guardian, Inc.: Excellent Fundamentals Beat Weakened Earnings
- At the time of writing, United-Guardian's overall fundamentals are among the leading in the U.S.
- While revenues have grown more than 35% from 2006 - 2013, its net profit has grown by more than three times that.
- The Company's dividend yield is nearly 4%, and has grown steadily since first being offered.
- Current share prices may be an opportunity to buy into this Company at a discount.
Royalty Trusts And The ETF Retirement Portfolio
- A royalty trust can earn dividend yields as high as 30% or more, and is funded by the profits from the founding company.
- Unlike shares of stock, royalty-trust units do not confer ownership rights to the holder.
- "Buy and hold" may not be the most effective investment strategy with royalty trusts.
Update: NIC, Inc. Improves Position
- NIC, Inc. reported MRQ (April 1 - June 30) 2014 revenues up YOY, and on pace to beat FY expectations.
- Company has added one new client, renewed six clients, and extended three.
- The performance of the Company seems to satisfy concerns I had in my initial assessment, making it a reasonable "buy.".
Boosting Yield In The ETF Retirement Portfolio
- The ETF Retirement Portfolio survived the last week of July with minimal loss.
- It is possible to boost the yield of the Retirement Portfolio by properly allocating one's investments.
- There are two financial instruments that enable the investor to achieve significant yield without unduly risking investment capital.
Update: The Female Health Company Strategy Decision
- FHCO will discontinue dividends to help fund initiatives to improve sales and possibly diversify.
- The announcement confirms my initial belief that FHCO may be too limited in both product line and capacity.
- I believe it may be a sign that it is time to sell FHCO.
Update: ORBCOMM, Inc. Operations Satellite Launch
- ORBCOMM announced the successful launch and deployment of its first payload of six OG2 satellites.
- In my initial coverage of ORBCOMM, I asserted that this launching was a definite must for the company.
- The successful launch of the first load of OG2 satellites strengthens my belief that this is a good long-term purchase.
Update: Simulations Plus, Inc. Earnings
- Company fiscal year 2014 third quarter results show significant earnings growth.
- Activities thus far are in keeping with my assessment and observations of a year ago.
- Financial results and recent hiring confirm my belief that this company is still a strong buy.
The PIC Portfolio Trials: Mid-Year Assessment
- The Dow portfolio is doing exceptionally well.
- In the S&P portfolio, Coach turned into a pumpkin.
- Forty percent of the USA portfolio (American companies only) had to be "deported.".
ORBCOMM, Inc.: Why I Have Reservations
- ORBCOMM is currently preparing to deploy a new constellation of 17 satellites for tracking and monitoring remote assets.
- The company has a decided edge in offering AIS services to over 100 companies and government agencies.
- The company has turned its first profits in the last two fiscal years.
Adjusting The ETF Retirement Portfolio
- Because AOM was underperforming, I opted to replace it with PCEF, an ETF containing closed-end funds.
- PCEF offers a dividend yield of 7.97% and has year-to-date total returns of 6.76%.
- With PCEF the retirement portfolio achieves a 4.54% performance and YTD total return of 6.19%.
5 ETFs For A Reliable Retirement Portfolio
- The ETFs presented here provide a diversified portfolio containing bonds and equities in a way that can be adjusted to suit the investor's interests.
- Year to date, the ETFs used to form the retirement portfolio have provided a total return of more than 5%.
- The five ETFs used in the portfolio have a combined dividend yield (trailing twelve months) of 4.03%.
NIC Inc.: E-Government At Its Best
- NIC is the largest e-Government service provider in the U.S., having served 30 states, local governments, the U.S. Department of Transportation and Federal Election Board.
- NIC operates with two business units: one providing portal services, the other providing e-government software and service.
- NIC enables state and local governments to establish internet presence at no cost, collecting revenues from user fees shared with the government entity.
- Over the past ten years, NIC has averaged approximately 18% revenue growth YOY.
- Over the course of 2014, 15 state contracts are scheduled to expire, although four do have renewal options.
Stamps.com: A Solid Dot-Com Success
- Since 2010 Stamps.com revenues have grown by 50%; net profit has increased by nearly 800% in the same period.
- The Company is now partnered with, or integrated with, 37 companies, including Microsoft, Amazon, Intuit, Hewlett-Packard and eBay/PayPal.
- In 2013 Stamps.com averaged 466,000 monthly subscribing customers paying an average $21.51 per month for services.
- The Company is committed to directing its resources where it will achieve the highest ROI.
Why I Do Not Trust Bitcoin
- Bitcoin’s volatility makes it an unreliable medium for financial transactions.
- A Bitcoin-generated free market system becomes an inherently adversarial process, pitting the best interests of the buyer against the best interests of the seller.
- Rising concerns about the security of the Bitcoin software indicate that its economic system is vulnerable to externalities.
- Bitcoin may actually violate the principles of the free market economy that it purports to establish.
- 3 Top Pharmaceuticals: Patents, Pipelines And Prospects
- AstraZeneca Vs. NTDs: Does Profitability Win Out?
- Price-To-Book Values: Use Caution
- The Female Health Company: Fundamentals & Commitment
- Identifying Solid Diagnostic Substances Companies