The Rose Portfolio
94 total investments reside in the Rose portfolio, which is a conglomerate of a taxable brokerage account, 8 separate long term taxable company holdings and 2 separate Roth accounts. Most all transactions occur in the Roths and rarely in the taxable, but it will be noted if it occurs.
My last article for March madness, revealed all holdings alphabetically and now it will be shown by sectors. The 59 common stocks reside in 9 of 11 sectors, with nothing owned in material and real estate sector stocks in a separate RIC (Regulated Investment Company) listing. These 35 holdings get evaluated just a bit differently than common stock. Analysts many times do not even rate them or know much about them. I have included the S&P credit rating, but those are few. When one is rated it is usually surprising and very much welcome, they are obtained from Fastgraphs a subscriber service I use.
Stock price shown is from April 30th, 2019 and all other information revealed is calculated on that price basis using Google sheets.
The largest % portfolio value "%PV" is listed first and those >1% are in bold. Portfolio income "%Pinc" also has the >1% income holdings shown in bold.
|59 Com||04/30/19||Value||Est||Est Inc||Divi|
|C Staple||16.5%||%P Inc||13.3%||Yield|
|12 RE||Real Est||8.8%||10.7%|
|CASH||& opt Puts||1.6%||1.6%|
|Total PV||SOLD Inc||0.67%|
|Tot 19 Inc||4.65%||E19 yld|
19.74% more income was received this April over 2018.
Here is a look at how I able to collect more income, as I have switched to more RIC investments which make it easier with just a little value invested.
The 1% level
The value list that follows is showing the largest to smallest for both common and RIC investments.
They have >=1% in PV for the common stock. List #1
List #2 to follow this one reveals the RICs providing >=1% PInc
32 Common stock - list #1
I get asked what my largest positions are and you can see in this list I have 12 with >=2% PV. The remainder ,or 20, range down to that 1% level.
These individual 32 common stocks, provide ~60.3% of the total %PV.
The next column shows from high to low the same 32 stocks and the % PInc they provide, which equals ~46.3%. Note ATT which sit's at the top for income with 3.3% Pinc is in 9th place at 2.36% PV. Currently T is extremely under loved / valued right now and should regain its place near the top for value slowly and hopefully this year. If not, it is pleasing to collect that income.
Note also I have ~1.3% value into Visa and only collect 0.17% from it as income. For sure it's a growth stock, but someday I will need to sell those shares to collect the reward, and another great reason to be diversified.
20 RIC investments and most with High Yield "HY"
The 20 RICs that provide >= 1% each of PV represent 17.4% of total PV and provide 32.9% of total PInc as shown in the list below. The message here is, as I usually like to say: "A little can go a long way for RICs".
37 companies paid with 5 increases:
Cisco 33c to 35c = 6.1%
Genuine Parts 72c to 76.25c = 5.9%
WP Carey 1.03 to 1.032 =0.19%. This was actually a disappointment as 0.005c was expected.
Coca Cola 39 to 40c = 2.6%, to me disappointing but welcome.
XEL 38c to 40.5c = 6.6% this one is wonderful!
BCE is from Canada 0.568 to 0.5923 and has exchange rates involved, so I cannot tell if it was a raise or not, but I did get more US cash for the same number of shares this quarter.
Here is a list of the tickers and the amount per share received:
|APRIL||STOCK||$ amount per share|
any ticker in bold is a fixed preferred coupon distribution
|APRIL||2019||T = taxable account|
|Add on Buy||Stock||Ticker||Price/sh|
|Simon P Grp||SPG||169.36T|
The trims were mostly small in nature and I was rounding share numbers to options amounts. I do have options now on GIS, GPC, and SJM. See my last article link if you are interested in those
Not much to report other than doing a bit of an income swap with selling Tanger (SKT) and putting the proceeds into AMLP , VOD and Macerich which is another retail mall eREIT. I did not really want more retail and adding to energy and telecom seemed like it would work out.
I lost about $8 per share on SKT, so therefore needed some other under loved or undervalued "HY" investments to take its place and change my view of seeing it in the red for the last 3 years or more. This will be a take time for some capital appreciation, and it should happen.
Retail eREIT with 79% Funds from operations "FFO" pay out that seems to be growing each year but not real bad. No credit rating, but is known for good quality tenants. 4.7% 5yr DGR with p/ffo on a down trend. Looks to have a more positive trend into 2020. The 7.5% yield is attractive and should be covered well with FFO per my own due diligence.
I want to give credit for this idea to Trapping Value at The Wheel of Fortune, but I think it might have been mentioned by others on SA as well. He, however, agreed and that was enough for me to try it.
SKT also has about the same yield but probably has more suffering to go into 2020. I had had enough of it, so, what is done is done.
I already owned Simon Property Group in the roths, so when I saw it fall below $170 I jumped on some with ~ 5% yield and "A" credit rating, it went into a taxable account. I recently learned they work well there now with the new tax laws in the USA. All of the changes really did not change the total portfolio defense.
The chart below also shows that defensive nature and continues to be maintained near or at least 50% in the defensive sectors shown in bold.
|Total Defense||48.1 %||41 %|
Including the fixed and cash the total defensive stance is 55.3% value and 53.3% income. I will sometimes also add in tech, but will leave it out this month. Some believe it to be the next new consumer staple, I haven't totally decided.
It is up now 13.7% from December lows and I am pleased with that result. These changes, I am sure, also contributed to only having ~ a measly 1% gain in PV this month and selling SKT at a big loss. I am also seeing one of my preferred holdings of CBL-d having continued deterioration, but believe it will be worth it in the end.
I am happy investing, collecting ever growing excellent income and having a wonderful experience learning every day at The Wheel of Fortune, a subscriber service with The Fortune Teller and Trapping Value.
The terrific many SA authors and the many great comments that follow also continue for me to be a great learning platform for investing. I thank you all and wish you the best and excellent happy investing.
This insert from Duck duck Go free photo imaging of goodreads.com.
Charts and lists are from the author herself.
Disclosure: I am/we are long SPG. 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: and all 94 investments in the authors lists