Entering text into the input field will update the search result below

2 Great Dividend Deals I Just Made For My Retirement Portfolio

May 07, 2020 11:38 AM ETAMP, PM98 Comments


  • Each Friday my retirement portfolio mimics the Dividend Kings Phoenix portfolio daily buys.
  • This Friday I bought PM and AMP, two undervalued high-yield blue chips with safe and growing income, trustworthy management, and strong double-digit long-term return potential.
  • My personal Phoenix portfolio now consists of 16 companies, 11 of which are still potentially good buys today.
  • No matter what happens with the economy or market in the short term (80% probability of a short-term market downturn), I'm confident in the quality of these Phoenix companies, whose average credit rating is "A, stable".
  • Unless the economy is permanently destroyed, quality blue chips like these, as part of a diversified and prudently risk-managed portfolio, are a great way to achieve your long-term financial goals.
  • Looking for a portfolio of ideas like this one? Members of The Dividend Kings get exclusive access to our model portfolio. Get started today »

(Source: Imgflip)

Last week I explained why Federal Realty (FRT), Broadcom (AVGO), and Philip Morris International (PM) were on my short-term buy list for my retirement portfolio.

This week I explained why Ameriprise Financial (AMP) and two other world-class blue chips were added to the Dividend Kings' Phoenix watchlist. That's a collection of 60 top quality companies that are almost certain to rise from the ashes of this recession and soar to new heights.

Today, I want to reveal the two companies I recently bought for my retirement portfolio, as well as provide an update of what my personal Phoenix portfolio looks like.

How I'm Putting My Savings To Work In The Worst Recession In 75 Years

In early April I was able to transfer a large sum of money (my tax savings which will be replenished within 2 weeks) to my account allowing me to begin tracking the DK Phoenix portfolio's Friday buys.

Phoenix started with about $140K in buying power, initially invested 50/50 in SPTL (long-duration US treasuries), and 50% VGSH (1-3 year US treasuries).

Each day the DK Phoenix portfolio buys between 1 and 10 companies (depending on the market conditions), always at the potentially good buy or better price. That price is determined by the margin of safety adjusted for the quality of the company.

For example, for an 11/11 quality Super SWAN like JNJ, a mere 5% discount is sufficient to make it a potentially good buy (assuming its other fundamentals meet your personal needs).

For a riskier 7/11 average-quality company (not on the Phoenix list), such as VIAC, a 25% margin of safety is required for it to be a potentially good buy.

Anything between fair value and 24% discount on a 7/11 average-quality company is a potentially reasonable buy in our color-coding system.

----------------------------------------------------------------------------------------Dividend Kings helps you determine the best safe dividend stocks to buy via our Valuation Tool, Research Terminal & Phoenix Watchlist. Membership also includes

  • Access to our five model portfolios
  • Daily Phoenix Portfolio Buys
  • 30 exclusive articles per month
  • Our weekly podcast
  • 20% discount to F.A.S.T Graphs
  • real-time chatroom support
  • exclusive weekly updates to all my retirement portfolio trades
  • Our "Learn How To Invest Better" Library

Click here for a two-week free trial so we can help you achieve better long-term total returns and your financial dreams.

This article was written by

Dividend Sensei profile picture
Maximize your income with the world’s highest-quality dividend investments

Adam Galas is a co-founder of Wide Moat Research ("WMR"), a subscription-based publisher of financial information, serving over 5,000 investors around the world. WMR has a team of experienced multi-disciplined analysts covering all dividend categories, including REITs, MLPs, BDCs, and traditional C-Corps.

The WMR brands include: (1) The Intelligent REIT Investor (newsletter), (2) The Intelligent Dividend Investor (newsletter), (3) iREIT on Alpha (Seeking Alpha), and (4) The Dividend Kings (Seeking Alpha).

I'm a proud Army veteran and have seven years of experience as an analyst/investment writer for Dividend Kings, iREIT, The Intelligent Dividend Investor, The Motley Fool, Simply Safe Dividends, Seeking Alpha, and the Adam Mesh Trading Group. I'm proud to be one of the founders of The Dividend Kings, joining forces with Brad Thomas, Chuck Carnevale, and other leading income writers to offer the best premium service on Seeking Alpha's Market Place.

My goal is to help all people learn how to harness the awesome power of dividend growth investing to achieve their financial dreams and enrich their lives.

With 24 years of investing experience, I've learned what works and more importantly, what doesn't, when it comes to building long-term wealth and safe and dependable income streams in all economic and market conditions.

Analyst’s Disclosure: I am/we are long AMP, PM. 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.

Dividend Kings owns AMP, and PM in our portfolios.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.