The Rose Portfolio is not a simple portfolio and is actively managed by myself - Rose. I do not charge myself any fees and I enjoy it.
The portfolio does contain core or basic holdings, which have been discussed in other articles.
The list below is the current portfolio on January 1st 2018 and it has 91 holdings. Yes, 91.
I list them alphabetically and will show them by sectors to show the diversification of the portfolio just a bit later in the article.
Indicated in BOLD are the stocks which are new, such as 4 preferred holdings, and those to which I have added shares. Those will generate more income for 2018 just for that reason alone.
Column Headings Meanings
Rose-Price per share cost- this is an average of 3 Roth accounts and all the taxable accounts.
S&P credit ratings: Fast Graphs, "FG" is a subscription service of Chuck Carnevale, and it is where I get the ratings. Be aware AAA is the best investment grade "IG" rating and it goes from that on down to BBB-. Note the more letters in a rating the higher rating/better it is. The further along in the alphabet the lower rating it is. So an A- rating is still higher/ better rating than BBB.
BB+ is not considered investment grade, but it is the next lower rating and I do own some of those and even a few lower. You will find those among the Regulated Investment Companies "RIC"s which include REITs or Real Estate, mortgage trusts, MLPs and BDCs /business development companies.
Many, not all, of these are followed with credit ratings, Value Line and even Morningstar analysts.
If I find the rating I will include it.
Value Line premium information is obtained from a free library subscription. 1 is the best or most valued rating and it goes up to 5 which ironically is the worst. Most of my holdings are rated 1 and 2, but I do have a few rated as 3.
Value Line Financial rating where I could find it.
# of Dividend Years of continuous higher dividend payments. This was obtained from the David Fish List of Dividend Champions, Challengers and Contenders. He is a must follow for all dividend investors.
Dividend per Year for 2017 and suggested for 2018 is shown along with the % income generated for the whole Rose portfolio. The numbers are from numerous sources and may not necessarily be perfect and should only be used for reference only.
|stock||R-p/sh||CR||VL||V-Fin||d yrs||Div 17||% Inc-17||Div18||%Inc-18|
|A Data Proc||(ADP)||16.43||AA||1||A++||42||2.28||0.56%||2.37||0.43%|
|J & J||(JNJ)||86.48||AAA||1||A++||55||3.36||2.19%||3.56||2.11%|
|Duff N Phelp||(DNP)||unk||silver||0.78||1.82%||0.78||1.63%|
|Met Life||(MET)||Unk 49||A-||3||A||1.6||0.12%||1.72||0.12%|
I moved out of a number of holdings in 2017 and it accounts for 12.2% of the income. This list was also posted in an article last year and separately recently mentioned I sold GWW or Grainger.
77.4% is from current holdings that are in Scottrade.
10.4% are in taxable accounts from 9 companies that you see at the end of the chart.
I did receive some BHF as a spin off from MET this last year, but only have a few shares and therefore it is not shown. BHF is Brighthouse Financial, has no dividend, BBB+ credit rating and looks to be interesting, so I will keep it for now. No big deal and just too small to follow, but I just wanted to mention it.
Just some words of warning here - Know I am NOT an accountant.
I am just reporting what I feel to be accurate and will not argue with anyone about this portfolio.
Total portfolio value is up 16.4% with me adding higher priced shares to some and starting new positions in others.
It has options income in it too, not a lot, but some.
The portfolio value has puts and calls still running within it and that is also included in the portfolio value accounting.
I admit for sure this is not perfect and have been considering stopping my reports for this reason. For now, unless you object, I will continue with this adventure in my investing and articles.
I know what I got for dividends in 2016 and what I got for 2017.
That amount is up 15%.
I have projected the income for 2018 and it looks like it should to be up 11.9%. Perhaps there will be dividend raises not included in that- and hopefully no cuts.
It also is dependent upon Rose keeping it all the same way - no promises, as I enjoy the management of the portfolio.
Next I want to show the portfolio by Sectors and % portfolio value.
|Consumer Staples (16)||Price 1/4/2018|| |
|H-CARE REIT (3)||3.5%|
|MISC REIT (11)||7.5%|
I have still maintained over 50% of the portfolio value in what is considered defensive sectors:
-Consumer Staples 22.8%
this equals 54.1% defensive by portfolio value.
The Financial Sector has grown with the most number of investments- some larger than others and many new.
I added a small basket of preferred stocks: 2 are in financial, they are CIM-b, PMT-b with TGL-b and NGL-b, in energy.
The Fortune Teller has a paid subscription service called The Wheel of Fortune or WoF, this is where I got the idea to own preferred stocks, something I had never thought about previously. He has provided a great series of articles that taught how to do it all very masterfully in an easy way. I have chosen a few financials last year and a few new ones just at the end of 2017 and into this year. Those are OXLC and FSIC. Time will tell how I do with those.
Note I keep those holdings to a minimum and just experiment. I separate the BDCs so I know which are which as they have separate tendencies for management, similar to the Real estate sector. I have also built up some Energy stocks with 2 ETFs. The WoF is strongly suggesting MLPs for 2018 and I will just keep to the ETFs I have so far being AMLP and AMZA. They are discussed thoroughly and completely on The WoF along with individual teachings and charts on suggested MLPs. Much to learn, and I have time as yet to do so. Investing is a never ending enjoyable task for me.
2018 should be an interesting year for investing and the portfolio.
I will just try to keep you updated on what I do with blogs or articles as necessary.
I hope to be as accurate as I can with the training I have as a retired pharmacist, and never an accountant.
Also know I have no investment training at all and I am just sharing my walk through it all.
Happy investing always and may a golden ring of success follow you into 2018.
Disclosure: I am/we are long AMZA. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Additional disclosure: All 91 stocks are in the portfolio.