| | | My attitudes on portfolio weights are similar to what Ditch and rnsmith have expressed, though my execution--or lack thereof--is a bit different.
My theoretical portfolio has about 20 stocks (like Ditch, too many more and my head starts to explode), but with ample room for over- and underweights. I am taking all distributions in cash (taxable). Positions were generally acquired about four or so years ago. I'll talk about the weights of some of my biggest holdings.
Needless to say, this is not meant as any type of recommendation, just disclosure.
My largest holding is AAPL, at more than 20%. I have held and accumulated AAPL for nearly 30 years. I sold my entire position in 2012 to start my DGI portfolio, but quickly bought back an overweight position in AAPL, as I was running out of options I liked. I don't see AAPL as a permanent hold in my portfolio, but it is difficult to trim something that has been so successful, both in terms of capital gains and in terms of recent dividend increases.
JNJ is about 11-12%, LMT 10+%, with overweight (>5%, I guess) positions in MMM, MCD, KHC, and WM. I have retained these overweight positions, despite the lack of diversification, for three main reasons:
1. I believe in holding my winners and selling my losers.
2. I believe in holding my winners and selling my losers.
3. I believe in holding my winners and selling my losers.
Disclosure only. Not suggested as a blueprint for anyone else.
Kip |
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