SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Young and Older Folk Portfolio
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: chowder who wrote (250)8/5/2021 3:19:14 PM
From: chowder2 Recommendations

Recommended By
INCOGNIT0$
The Beard

  Read Replies (1) of 21785
 
Re: Young Folk Portfolio ... Adjustments.

Today I sold CHPT and bought PRU .. SHW .. CSQ .. UTG.

In looking at the portfolio goals of income + growth, I saw that I needed a little more dividend growth so that the portfolio can continue to stay ahead of its short and long term goals.

CHPT was a losing position that doesn't pay a dividend. Sometimes I'll hang on to losing positions, allowing them time to recover, as long as they pay me for waiting. CHPT doesn't pay me to wait so I took the 25% loss even though I don't get a tax write off due to it being in the Roth account.

This move generated $1,300 to invest elsewhere.

I purchased an initial position in PRU. PRU is not only selling at a discount to fair value, but it offers a nice balance between current yield and dividend growth.

PRU has a 4.6% yield to pay me now and a 5 year dividend growth rate of 10.92, so I get longer term dividend growth as well. What I am looking for is a Chowder Number of 10% or higher. I get this number simply by adding the yield and dividend growth number together. A 4.6% yield plus 10.92 dividend growth number give me a Chowder Number of 15.52. ... It satisfies the objective.

SHW was a small add on purchase with the few dollars left over after the PRU buy. SHW has a low yield of 0.74% but an excellent 5 year dividend growth number of 14.64 to gives me a Chowder Number of 15.38.

I then added a share each to CSQ and UTG with the few remaining dollars left. CSQ has a yield of 6.69% and UTG has a yield of 6.47%

Position sizes: (A full position is $6,000)

CSQ .... $6,257
UTG .... $5,074
SHW ... $1,774
PRU ... $1,048

The portfolio yield is 2.24% and the 5 year dividend growth number is 5.60% giving me a Chowder Number of 7.94. ... The goal is to maintain a Portfolio Chowder Number of 8 or better so I need to increase the yield or the dividend growth number a little more and adjustments made like today will help insure that number going forward.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News