My portfolio.
Nov. 7th, 2009 06:59 am![[personal profile]](http://s.dreamwidth.org/img/silk/identity/user.png){kind=small}
blackbyrd2I know I'm being very slow on this, but I find I have little time for blogging these days. Way too much stuff to take care of around the house.
I thought perhaps it would be good to list my positions, both for general background on my thinking, and in the interests of disclosure. (Even though I am not a licensed financial advisor, which fact I will keep repeating.)
The portfolio has stabilized to some degree, although I intend to open some positions in health care at some point; Abbot, Becton Dickenson and Medtronics, as well as maybe a position with Intel and/or Nike.
ADP Automated Data Processing. They do payroll for companies across the country. If you work for someone, you probably get your paycheck through these people. They have zero debt, recurring revenue and lots of room to grow their dividend. They're also better positioned and more profitable than their nearest competitor, Paychex. Barrier to entry is massive. When the employment starts to rise, this should be huge.
AEE Ameren Energy. Currently suffering a depressed stock price, they have lots of potential upside.
CPNO Copano Energy. One of several MLPs I currently have positions in. Yield is excellent, price is highly volatile. Return of capital is, I think, around 8.5%. I don't plan on unloading for a long time, so I figure I'll have zero cost basis when I do sell. This will mean higher taxes due to increased capital gains, but I get a tax break in the mean time. (MLPs are one of the most difficult and confusing products out there. My understanding could easily be flawed.)
CTL CenturyLink (Used to be CenturyTel) Solid, growing telcom, with very nice dividend and history.
CVX Chevron. Good dividend, rock solid company.
EXLP Exterran Partners. The original MLP I purchased at around $13.50, currently at around $19, and producing a steady double digit yield. MLPs don't pay dividends, because they're not stock. You buy units of the company, have some increased liability and tax issues, and get a quarterly payment which may or may not include return of capital. You pay taxes on the payment as regular income.
FPL Florida Power and Light. Excellent utility which also happens to produce a lot of wind power. I believe they are the nations largest wind farm operator, and NextEra, the unregulated alternative/wind segment, produces nearly half of FPL's profits now.
Also a solid dividend.
FSC Fifth Street Financial. Loans money to small-mid sized businesses. Good dividend and history, but probably one of my shakiest investments. Next years commercial real estate bubble may be damaging. Currently way overvalued, although better than when I bought them. (What was I thinking?)
GIM Templeton's Global Income fund. Focuses on emerging markets, produces a solid 5.5% + dividend, pays monthly, and is currently up about 50% from where I entered. I like this one, and am building whenever the market pulls back.
MWE MarkWest. Another MLP, highly rated, good income, and growing nicely.
O Realty Income. REIT that has a long history (and a stated program/marketing gimmick) of raising dividends, even though lately that's been in the thousandths of a cent. This is probably the only REIT I would currently feel comfortable owning, due to their low debt. Most other REITs will be facing some serious credit challenges within the next two years.
SYY Sysco (foods). It seemed like such a good idea at the time. (Actually, it's doing well, it's just that my timing on entering was terrible. It will be a while before this one makes any significant growth for me. (Currently in positive territory, but only barely.)
T AT&T. Giant telcom, good dividend and potential, but glacial for growth. Just like Verizon.
TEI Templeton's other emerging market fund. Better dividend currently than GIM, but much more volatile.
TNH Terra Nitrogen. MLP for Terra Industries. Makes nitrogen for fertilizer, which is highly cyclical, but profitable. Farmers will always need fertilizer. Another zero debt position, but currently making me nervous due to a potential hostile takeove of the parent company. I know what happens with a stock, but have no idea what liability I face with an MLP. Anyone?
VZ Verizon. See AT&T.
I thought perhaps it would be good to list my positions, both for general background on my thinking, and in the interests of disclosure. (Even though I am not a licensed financial advisor, which fact I will keep repeating.)
The portfolio has stabilized to some degree, although I intend to open some positions in health care at some point; Abbot, Becton Dickenson and Medtronics, as well as maybe a position with Intel and/or Nike.
ADP Automated Data Processing. They do payroll for companies across the country. If you work for someone, you probably get your paycheck through these people. They have zero debt, recurring revenue and lots of room to grow their dividend. They're also better positioned and more profitable than their nearest competitor, Paychex. Barrier to entry is massive. When the employment starts to rise, this should be huge.
AEE Ameren Energy. Currently suffering a depressed stock price, they have lots of potential upside.
CPNO Copano Energy. One of several MLPs I currently have positions in. Yield is excellent, price is highly volatile. Return of capital is, I think, around 8.5%. I don't plan on unloading for a long time, so I figure I'll have zero cost basis when I do sell. This will mean higher taxes due to increased capital gains, but I get a tax break in the mean time. (MLPs are one of the most difficult and confusing products out there. My understanding could easily be flawed.)
CTL CenturyLink (Used to be CenturyTel) Solid, growing telcom, with very nice dividend and history.
CVX Chevron. Good dividend, rock solid company.
EXLP Exterran Partners. The original MLP I purchased at around $13.50, currently at around $19, and producing a steady double digit yield. MLPs don't pay dividends, because they're not stock. You buy units of the company, have some increased liability and tax issues, and get a quarterly payment which may or may not include return of capital. You pay taxes on the payment as regular income.
FPL Florida Power and Light. Excellent utility which also happens to produce a lot of wind power. I believe they are the nations largest wind farm operator, and NextEra, the unregulated alternative/wind segment, produces nearly half of FPL's profits now.
Also a solid dividend.
FSC Fifth Street Financial. Loans money to small-mid sized businesses. Good dividend and history, but probably one of my shakiest investments. Next years commercial real estate bubble may be damaging. Currently way overvalued, although better than when I bought them. (What was I thinking?)
GIM Templeton's Global Income fund. Focuses on emerging markets, produces a solid 5.5% + dividend, pays monthly, and is currently up about 50% from where I entered. I like this one, and am building whenever the market pulls back.
MWE MarkWest. Another MLP, highly rated, good income, and growing nicely.
O Realty Income. REIT that has a long history (and a stated program/marketing gimmick) of raising dividends, even though lately that's been in the thousandths of a cent. This is probably the only REIT I would currently feel comfortable owning, due to their low debt. Most other REITs will be facing some serious credit challenges within the next two years.
SYY Sysco (foods). It seemed like such a good idea at the time. (Actually, it's doing well, it's just that my timing on entering was terrible. It will be a while before this one makes any significant growth for me. (Currently in positive territory, but only barely.)
T AT&T. Giant telcom, good dividend and potential, but glacial for growth. Just like Verizon.
TEI Templeton's other emerging market fund. Better dividend currently than GIM, but much more volatile.
TNH Terra Nitrogen. MLP for Terra Industries. Makes nitrogen for fertilizer, which is highly cyclical, but profitable. Farmers will always need fertilizer. Another zero debt position, but currently making me nervous due to a potential hostile takeove of the parent company. I know what happens with a stock, but have no idea what liability I face with an MLP. Anyone?
VZ Verizon. See AT&T.