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John thanks for posting the article on utilities. Eventhough utilities account for about 3% of the S&P 500 Index they currently make up about 7% of Old_Skeet's holdings. I'm thinking of raising my utility sector weighting by about (1%) by adding a mutual fund (AWTAX) that's theme centers around water.
Think about it ... the two or three things we widely use in our homes are electricty, natural gas and water (at least they are in mine). Heck, I even have and maintain a standby power generation system should there be a power outage at my home. Then there is the phone and internet that kinda follows utilities.
It is a bum deal for the rate payers in South Carolina that (Summner) a nuclear power plant will most likely never be completed. I'm thinking that the power companies owe the rate payers a refund for this power plant folly of their making. Instead the power companies want the rate payers to pay more for a plant that looks like it will never be brought on line. I look for things to heat up in South Carolina over this in the coming months as hearings take place in Columbia. While in North Carolina Duke Energy wants it's rate payers to pay for coal ash pond clean up that the utility mishandled through the years and are going to be very costly to clean up. Hearings are underway in Raleigh as I write concerning this.
If the rates payers wind up having to pay for these failures and follies of the utility companies ... I'm increasing my allocation in the utility sector. In a sence, I'll collect what I have to pay out through an increase in utility rates with their payment of dividends back to me as I own homes in both states.
For me, it is a no brainer ... own some utilities as the rate payers most likely will have to pay up.
Comments
John thanks for posting the article on utilities. Eventhough utilities account for about 3% of the S&P 500 Index they currently make up about 7% of Old_Skeet's holdings. I'm thinking of raising my utility sector weighting by about (1%) by adding a mutual fund (AWTAX) that's theme centers around water.
Think about it ... the two or three things we widely use in our homes are electricty, natural gas and water (at least they are in mine). Heck, I even have and maintain a standby power generation system should there be a power outage at my home. Then there is the phone and internet that kinda follows utilities.
It is a bum deal for the rate payers in South Carolina that (Summner) a nuclear power plant will most likely never be completed. I'm thinking that the power companies owe the rate payers a refund for this power plant folly of their making. Instead the power companies want the rate payers to pay more for a plant that looks like it will never be brought on line. I look for things to heat up in South Carolina over this in the coming months as hearings take place in Columbia. While in North Carolina Duke Energy wants it's rate payers to pay for coal ash pond clean up that the utility mishandled through the years and are going to be very costly to clean up. Hearings are underway in Raleigh as I write concerning this.
If the rates payers wind up having to pay for these failures and follies of the utility companies ... I'm increasing my allocation in the utility sector. In a sence, I'll collect what I have to pay out through an increase in utility rates with their payment of dividends back to me as I own homes in both states.
For me, it is a no brainer ... own some utilities as the rate payers most likely will have to pay up.