RE: PEP
Seems like all I talk about these days are CEFs, BDCs, some ETFs I am building up, but the truth of it is: My CEF basket is 6.4% of my equity portfolio, BDCs, 4.9% and my ETFs 2.7%, so they are really on the fridges for me. I've backed off on BDC's for a while, I want to get CEFs to 10% and I am playing it by ear with ETFs.
However the rest of my portfolio is sort of the "standard" or tried-in-true DGI types. I consider that the "core", or foundation. PEP is in that category, so is KO, MO, JNJ, PG, etc.
I like them in the foundation because there is really not much to do. Not much to think about. Everybody knows what PEP and KO do. They can be counted upon to pay the dividend and even increase it each year which is a major goal for most DGI-ers, and certainly me.
Now I didnt buy PEP or KO in January, I've owned them for a while. TR PEP 60%, TR KO 124%. PEP yield 4%, last 3 increases, 5.1%, 7.1% and 10%. KO yield 3.1%, with the last 3 increases above 5% a smidge. Those are the kinds of companies I want in my foundation, so I can fool around on the fringes with CEFs, BDCs, and ETFs.
Thats just my take, but our histories with PEP are different so I can understand being frustrated in the short term. |
