06.19.16
Topic:  Addressing the high-yield portfolio composition.

Please contact me with any questions not answered.  If it is a critical issue, you can reach me at Dividend Lab @ gmail dot com.

I want to hear everybody’s views on our positions. We own many positions with 10% yields. I do want to discuss concerns, risks, identify new opportunities, identify new hedging strategies, and address any positions readers want clarification on. Please reply to this post.

We have a significant % in high yield names yielding 10% and up. Should we take profits? What is your favorite name? What open questions are critical to you?

Good Morning,

We have an overweight in specific high yield names. Mseni mentioned a spinoff that is very tempting to buy. If you disagree, please let me know. I need to do a lot of research to determine what the debt levels will be for each spinoff.  It’s the right sector with a positive catalyst.

Current 14% Yielder
We have close 10-stocks with excellent profits yielding 10% or more. Our position was 1,000-shares at $11.15. The purchase was on Jan 22. The yield was 16.5%. Currently the yield is about 14%. We have received one dividend since purchase and a second dividend on the way. The common stock is up 20% since purchase.

mREITs
I posted this on the forum. I want to hear what you think about the sector or individual names. We have a significant number of names yielding 10% and up. I encourage everyone to look at the names within this sector – take a look on the position sheet. We own every type of mREIT.

Japan and Germany have negative interest rates. I believe we have the potential for further gains and a 10% + composed portfolio. What happens to the global economy will impact many sectors. We need to know what positions are a) long-term buy and holds; b) short-term trades; c) spinoffs; d) discuss hedging for those who hedge; e) discuss when new risks open.

We are taking advantage of the interest rates offering investors great dividends.We have to be aware of the risks; hedge when necessary; debate relevant strategies as they arise. Discussing the risk issues prior to the dividend, or prior to a negative event, is essential.

Todd

Disclaimer

You should verify all claims and do your own research before investing in any securities mentioned in the Dividend Lab newsletter or website. Investing in securities is speculative and carries a high degree of risk, you may lose part or all of your principal investment.

Readers are urged to consult with their own independent financial advisers with respect to any investment. All information contained in this report should be independently verified with the companies mentioned. Neither Todd Johnson or DividendLab.com. nor its officers, directors, partners, contributors or employees/consultants, or DividendLab.com Investor nor its officers, directors, partners, editors, contributors oremployees/consultants accept any liability whatsoever for any direct or consequential loss arising from any use of information on this website or any use of information in its newsletters.

Our newsletter is a regular periodical of general circulation as defined in SEC vs. Lowe, and is limited to the dissemination of general information pertaining to investments. Accordingly, the newsletter should not be construed by any existing or prospective subscriber as the rendering of personalized investment advice for compensation. We are neither attorneys nor accountants, and no portion of the DividendLab.com website content should be interpreted as legal, accounting or tax advice.

Past performance may not be indicative of future results. Therefore, no prospective or existing subscriber should assume that future performance of any specific investment or investment strategy, including the investments or investment strategies made reference todirectly or indirectly in our current or previous newsletters, will be profitable or equal any historical performance levels.

RECEIPT OF OUR EMAILS AND USE OF THE DIVIDENDLAB.COM WEBSITE SIGNIFIES YOUR AGREEMENT WITH AND ACCEPTANCE OF OUR TERMS OF USE AGREEMENT.

Past results of any individual trader or trading system published by Dividend Lab or his private group are not indicative of future returns by that trader or system, and are not indicative of future returns which be realized by you.

You should consult with your investment advisor about the educational information provided, and fully understanding the inherent risk in option investing.

DISCLAIMER: Stock and Options trading is very risky. One may lose a great deal of money (maybe all), trading stocks and/or options! Before you proceed, you must agree and fully understand that this site and its contents are not meant and were not developed to be viewed as Trading Advice or Recommendations. You agree by viewing the contents of this site that you do so at your own discretion and that you will not holdaccountable anyone affiliated with DividendLab.com for any losses or interpretations one may have. If you trade, you ALWAYS do at yourown risk. Past performance is no guarantee of future results. We encourage traders to view the material provided on our site and we hope that you will find it educational.

HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN; IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDICTION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK OF ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR TO ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL WHICH CAN ADVERSELY AFFECT TRADING RESULTS.

S&P 100 ® and S&P 500® are registered trademarks of the McGraw-Hill Companies, Inc., and are licensed for use by the Chicago Board Options Exchange, Inc. OEX® is a registered trademark of the Chicago Board Options Exchange, Inc.

Todd Johnson, DividendLab.com Founder and Chief Editor