Last month, in addition of adding on some positions, I also did a tiny bit of cleanup. My goal was to have a really good look at the least safe or non satisfactory positions in my portfolio. I want to keep only relatively dividend safe stocks – it was a first step in that direction.
These are the 2 positions I removed from my holdings:
LB (L Brands Inc) – The stock price has just been continuing to fall quite a bit. I decided to sell because I do not believe the value is there anymore long term. I do believe there is a great risk of the dividend being impacted (cut?) at some point. I consider my initial purchase of LB was a mistake, I chased the yield and followed others buying it… It’s now sold, I took the loss but feel much better not having to check everyday what’s happening with LB. It took me a while to take the decision to sell though – I need to get better at cutting my loss sooner.
NEA (Nuveen AMT-Free Municipal Income Fund) – I had purchased this muni bond to diversify and to enjoy some tax free income. But I realized that I have a hard time really understanding how they work, and don’t like the almost no growth part (~ negative even) of the proposition. I want to try to focus better on my strategy for this portfolio which is dividend growth investing (DGI).
Trimmed a bit on one position:
EMR: Decided to sell a few shares of this position since it was getting bigger than I had planned for. I took a nice profit on the shares sold. EMR is not a high growth stock in my portfolio and it felt like it was an ok move to do.
Now looking for the next buys – extremely hard with all the high valuations.
Here are the transaction details:
|08/28/18||Sold||31 of LB @ $27.1342|
|08/21/18||Sold||170 of NEA @ $12.9323|
|08/21/18||Sold||10 of EMR @ $76.5139|
My dividend portfolio is updated with above new holdings.