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New Thread: What Are You Buying/Selling/Pondering?
Still wrapping up a couple of loose ends, but am otherwise continuing to plan to do (or at least intend to try a year of..) nothing starting about June 1st and then rest of the year and seeing how that goes.
Changed my mind after reading more about Brookfield Property Partners (BPY) and added a small, long-term position a couple of days ago. Now own more MLPs than I'd intended, but oh well.
I continue with following my asset allocation very closely through weekly Instant Xray analysis of my portfolio over the past month or so. I do this, in part, because many bond and income funds are now holding a good slug of equities plus the Sell In May Axiom … and, with the recent strong equity run up … I am concerned that they have become overbought.
During the month of April I continued to sell equities at a measured pace as equities continued their upward advance and again I will sell a sum equal to about one percent since the S&P 500 Index closed above 1600. In review, I started my sell process at the beginning of the year as the S&P 500 Index crossed 1426 line as the first step and have continued to sell, thus far, at every 25 point increase. Each step ranges form about a 1.6% to 1.7% increase so in selling about 1 percent at each step I put about two thirds of the upward equity run to the cash area of my portfolio. Since cash now offers little investment return itself and my allocation to cash grew I begin to add to my Fixed Income Sleeve by adding a couple of short term bond funds along with putting some spiff in my pocket. I increased the number of funds held within my Fixed Income Sleeve form six to nine. This was done in part because I have historically set part of my portfolio to the “Sell in May” Axiom; and, I am currently using short term fixed income funds to park the equity sell proceeds. In the meantime, should equities have a substantial pull back before fall I’ll add to my equity allocation by reducing the short term fixed income positions. Otherwise, it will be early fall before I plan to increase my equity allocation.
I am not saying what I am doing is right for every investor although I am very will pleased with my portfolio’s performance. My target asset allocation for the summer, the traditional slow period for stocks, is 15% cash, 35% income, 40% equity and 10% other assets. Through today’s market close, year-to-date, my portfolio is up 8% and in comparison the Lipper Balanced Index is up 7.4%. So with this, I am currently ahead of my bogey.
Again, I am not saying what I am doing is right for everyone and certainly one should invest within their ability and resources to meet their goals being mindful of their tolerance for risk. Being 65 years of age I have definitely throttle my risk back form where it was a few years ago coming off of the S&P 500 Index devil's low of 666. At this time I loaded equities up to about 60+% of my portfolio as I felt they were very much oversold. Since then I have reduced my allocation to them by about five percent per year and made some good money along the way. Over the past fifty two months my total return has averaged better than sixteen percent per year.
The only new thing even remotely in the crosshairs here is Artisan Global Small Cap, ARTWX, whenever they decide to open it; an Artisan rep said today they still have no official word on when that'll be. I'll want to see how it's positioned before investing, but will prob'ly put in a starter position. Otherwise, putting new $ into SFGIX, MACSX, and MAPIX a trickle at a time, as has been the case for a while.
Did sell my position in AEP (American Electric Power) after seeing a 21% rise since December 13 and traded NLY for more of IYR, which is more diversified. The only thing I bought was an opening position in Costco. I will dollar cost average the rest of the purchases. Haved some stop losses in on two of my biotechs which have seen huge gains recently, but only for 1/3 of the positions. Will keep the rest. Added to cyclicals a bit last week. Not adding to funds right now, Im about 2:1 stocks and etfs to equity funds.
I'm balls to the wall with 100% spread between a hand full of 3D printing and biotech stocks (majority small cap). I bought in last fall through January 2013 and plan an exit approx 3/4 of those positions this fall for a safer mix of large cap funds. It's becoming a very nice ride in 3D and biotech, but I know it can't last forever. Feeling brave... but hope it doesn't make me look stupid in 5 months.
The other assets that are referenced from the Instant Xray report are believed to be alternative type assets reported as other and not funds with special strategies, which I also own.
With this, alternatives in one area of my portfolio could be an entirely different asset class from alternatives held in another area of the portfolio. In the income area, for instance, I consider alternatives to be convertible and preferred type securities. In the growth area of the portfolio I would consider commodities along with my private equity fund as an alternative while in the growth and income area it would be real estate investment trust along with MLPs plus some others.
I have provided a link about alternatives that you might find of interest.
Thinking about CEF but has not pull the trigger yet. Maybe adding a little gold also [GLD ?!] - still being 'chicken out' now. Either that or buy some safe stuff like BOA bonds and let it sit there for 7-10 yrs - BBB+ and w/ 7% yield, cannot beat that.
Comments
Why Investing in Drone Companies Make Sense and What Companies to Start With: http://www.wallstreetrebel.com/2013/03/why-investing-in-drone-companies-make-sense-and-what-company-to-start-with/
Why Drones Should Make You Afraid - Very Afraid (has cool video)
http://blogs.scientificamerican.com/cross-check/2013/02/16/why-drones-should-make-you-afraid-very-afraid/
If I Fly a Drone Over My Neighbor's House, Is it Trespassing?
http://www.theatlantic.com/technology/archive/2012/10/if-i-fly-a-uav-over-my-neighbors-house-is-it-trespassing/263431/
I continue with following my asset allocation very closely through weekly Instant Xray analysis of my portfolio over the past month or so. I do this, in part, because many bond and income funds are now holding a good slug of equities plus the Sell In May Axiom … and, with the recent strong equity run up … I am concerned that they have become overbought.
During the month of April I continued to sell equities at a measured pace as equities continued their upward advance and again I will sell a sum equal to about one percent since the S&P 500 Index closed above 1600. In review, I started my sell process at the beginning of the year as the S&P 500 Index crossed 1426 line as the first step and have continued to sell, thus far, at every 25 point increase. Each step ranges form about a 1.6% to 1.7% increase so in selling about 1 percent at each step I put about two thirds of the upward equity run to the cash area of my portfolio. Since cash now offers little investment return itself and my allocation to cash grew I begin to add to my Fixed Income Sleeve by adding a couple of short term bond funds along with putting some spiff in my pocket. I increased the number of funds held within my Fixed Income Sleeve form six to nine. This was done in part because I have historically set part of my portfolio to the “Sell in May” Axiom; and, I am currently using short term fixed income funds to park the equity sell proceeds. In the meantime, should equities have a substantial pull back before fall I’ll add to my equity allocation by reducing the short term fixed income positions. Otherwise, it will be early fall before I plan to increase my equity allocation.
I am not saying what I am doing is right for every investor although I am very will pleased with my portfolio’s performance. My target asset allocation for the summer, the traditional slow period for stocks, is 15% cash, 35% income, 40% equity and 10% other assets. Through today’s market close, year-to-date, my portfolio is up 8% and in comparison the Lipper Balanced Index is up 7.4%. So with this, I am currently ahead of my bogey.
Again, I am not saying what I am doing is right for everyone and certainly one should invest within their ability and resources to meet their goals being mindful of their tolerance for risk. Being 65 years of age I have definitely throttle my risk back form where it was a few years ago coming off of the S&P 500 Index devil's low of 666. At this time I loaded equities up to about 60+% of my portfolio as I felt they were very much oversold. Since then I have reduced my allocation to them by about five percent per year and made some good money along the way. Over the past fifty two months my total return has averaged better than sixteen percent per year.
I wish all … Good Investing,
Skeeter
http://www.sec.gov/Archives/edgar/data/1571768/000157176813000002/gafptc1stfiling.htm
Bought AA, X, BTU.
Also bought REIT financial: NLY.
Pared BOND.
Hi Sven,
Thanks for the inquiry.
The other assets that are referenced from the Instant Xray report are believed to be alternative type assets reported as other and not funds with special strategies, which I also own.
With this, alternatives in one area of my portfolio could be an entirely different asset class from alternatives held in another area of the portfolio. In the income area, for instance, I consider alternatives to be convertible and preferred type securities. In the growth area of the portfolio I would consider commodities along with my private equity fund as an alternative while in the growth and income area it would be real estate investment trust along with MLPs plus some others.
I have provided a link about alternatives that you might find of interest.
http://belrayasset.files.wordpress.com/2010/01/alternative-investments.pdf
Thanks again Sven for the inquiry. I hope my comment and the link will be helpful.
Good Investing,
Skeeter
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