Hardly has a few days been past, and I am already making more changes on top of changes I made recently (see this post). Specifically, I bemoaned the paucity of healthcare stock exposure and went searching for additional stocks in which I could invest a fixed dollar amount without fees. I was not disappointed to find this website which offered two high quality healthcare stocks, Novartis (NVS) and Sanofi (SNY), as no-fee DSPs. So I initiated $200 in NVS and $100 in SNY monthly. Due to these additions, I could also increase investment in KO to $200/month, without the Staples sector exceeding 20% of total portfolio. KO is the highest rated stock in my plan and, without a doubt, deserves investment at the highest rate possible. Below is my current, updated DSP/loyal3 investment plan:
| Ticker | Rating | DGI | Discount? | Shiller P/E | Yield | Monthly Invest | Sector | Sector Total | Sector Percent |
| NVS | A1 | D | N | 16.09 | 3.54% | $200.00 | Healthcare |
$400.00
|
11.43%
|
| SNY | A2 | D | N | 19.71 | 4.36% | $100.00 | Healthcare | ||
| BDX | B+2 | A | N | 32.00 | 1.56% | $100.00 | Healthcare | ||
| WMT | A1 | A | N | 15.89 | 2.82% | $200.00 | Staples |
$700.00
|
20.00%
|
| KO | A+1 | A | N | 25.30 | 3.11% | $200.00 | Staples | ||
| BUD | A+2 | C | N | 24.61 | 3.28% | $100.00 | Staples | ||
| PEP | A1 | A | N | 25.74 | 2.92% | $100.00 | Staples | ||
| UL | A2 | D | N | 22.45 | 3.30% | $100.00 | Staples | ||
| XOM | B+1 | A | N | 12.20 | 3.32% | $200.00 | Energy | $200.00 | 5.71% |
| BRK.B | A+2 | D | N | 22.86 | 0.00% | $200.00 | Financial |
$500.00
|
14.29%
|
| AFL | B3 | A | N | 13.64 | 2.40% | $200.00 | Financial | ||
| NNN | D | A | Y | 31.12 | 3.67% | $100.00 | Financial | ||
| INTC | A2 | D | N | 17.70 | 3.24% | $100.00 | Tech |
$300.00
|
8.57%
|
| MSFT | A2 | B | N | 23.00 | 2.89% | $100.00 | Tech | ||
| MOCO | D | D | N | 22.32 | 3.09% | $100.00 | Tech | ||
| EMR | A2 | A | N | 17.04 | 3.65% | $200.00 | Industrial |
$500.00
|
14.29%
|
| NSC | A2 | B | N | 16.55 | 2.85% | $150.00 | Industrial | ||
| VMI | D | B | N | 21.44 | 1.13% | $150.00 | Industrial | ||
| SJI | D | B | Y | 21.22 | 3.50% | $150.00 | Utility |
$350.00
|
10.00%
|
| EXC | B2 | D | N | 10.56 | 3.76% | $100.00 | Utility | ||
| YORW | D | B | Y | 39.68 | 2.04% | $100.00 | Utility | ||
| VFC | A+2 | A | N | 30.80 | 2.39% | $150.00 | Discretionary |
$450.00
|
12.86%
|
| NKE | A+2 | B | N | 42.27 | 1.18% | $150.00 | Discretionary | ||
| MCD | A2 | A | N | 26.41 | 2.91% | $150.00 | Discretionary | ||
| SON | C2 | A | N | 22.21 | 3.14% | $100.00 | Material | $100.00 | 2.86% |
| Total | 20.67 | 2.74% | $3,500.00 | $3,500.00 | 100.00% | ||||
| Rating | $ | % | DGI | $ | % | ||||
| A | $2,200 | 63% | A | $1,700 | 49% | ||||
| B | $600 | 17% | B | $800 | 23% | ||||
| C | $100 | 3% | C | $100 | 3% | ||||
| D | $600 | 17% | D | $900 | 26% | ||||
| Total | $3,500 | 100% | $3,500 | 100% |
Overall, I think this is a significant improvement over the old plan, for several reasons:
1. Monthly investment is now at $3500 a month, a 13% increase to the old level of $3100.
2. Quality has improved. Weighted percentages in rating A:B:C:D is now 63:17:3:17. Old allocation was 50:27:3:19.
3. Dividend champions is now 49%, almost half, of portfolio.
4. Exposure to Healthcare sector, a high growth and defensive sector, is increased.
5. Yield is unchanged, while Shiller P/E decreased.
5. Yield is unchanged, while Shiller P/E decreased.
No comments:
Post a Comment