Re: Starting Out ...
Although I publish the Young Folk and Older Folk Portfolios here, showing real time moves, I do manage or help quite a few others with their portfolios that I don't share publicly but from time to time I will show how I have set them up.
I have a young single Mom in her 20's who doesn't have a lot of extra cash flow to contribute to her equity portfolio on a monthly basis and the portfolio is only $34K in value. Therefore, any growth this portfolio has, it has to come from within.
This young person does have a 401K at work which she contributes to and has it set up with index funds, so I don't need to place index funds in her equity portfolio.
Here is how the portfolio is set up.
AAPL .... $1,493
ABT ...... $1,112
ASG ...... $506 (a CEF)
AVGO ... $945
AWK ..... $1,078
CAT ...... $634
COST ... $1,346
DE ........ $1,121
DG ....... $2,966
HD ....... $2,573
JNJ ...... $2,374
LII ........ $652
LMT ..... $1,078
MA ....... $1,092
MCD .... $2,100
MKC .... $1,041
NEE ..... $1,896
NKE ..... $1,191
O ......... $2,105
PG ....... $1,975
QQQ .... $1,461
SBUX ... $1,926
SCHD ... $1,236
UNP ..... $903
This portfolio is set up for dividend reinvestment.
When a company eventually shows where it is up 100% or more, I have been trimming those profits and buying new companies.
Companies like AVGO, CAT and LII are new companies that were purchased from trimming profits from HD, JNJ and PG for example, all companies that had 100% returns or better.
I would not have been trimming positions if new cash were going into this account, but since she can't afford to fund it, I have to work within the portfolio itself by taking profits and investing them elsewhere. |
