April, 2011

The Professional Opinion - Snippet

DJIA: 1325.83

.Red Shafted Flicker
Red Shafted Flicker - taken with a Canon PowerShot SX30 IS

Personal Portfolio
Speaking of food,  BGS foods once again leads the pack.  Ended up taking 25% off the table to keep the percentages in check.
Lets Make this a NoBama Nation Next Election

I think the birthers are barking up the wrong tree.  I think they should be suing for access to the teleprompter's sealed education records because if they were successful, they would find the teleprompter was in fact a foreign exchange student. Food for thought.

Not a bad month all in all, considering hate and discontent going on in the middle east.  The food inflation over there is amazing.  

I have a novel idea......why don't we stop burning our food for fuel,  start drilling for more oil and trade our excess grain for any extra mideast oil we might need. It might solve a few problems on both sides of the globe.

The Fairholme fund (FAIRX) is a fund which doesn't do so well in growth environment but holds up quite well in negative environments.  At -2.3% YTD, I think I would recommend a switch.

Speaking of Fairholme:

Personal Portfolio

The talking heads are no longer interested in banking stocks, mainly because housing is still in a rut.  Telecom stocks have also taken a substantial hit.  
Me I think when SPF and DHI reach attractive levels, it is a good idea to buy and later on, sell on rumor.  

Frontier Communications

Speaking of Telecom stocks,  Frontier was a hard one to pass up, considering the yield.  The is an 8 billion dollar provider to primarily rural communities.  Last year they acquired a number of assets from Verizon, broadening their business.  I plan on holding this a few quarters and see how the dividend pans out.  

About those Banks....

Boy the next presidential elections can't happen fast enough.  Despite the fact that the teleprompter said it would go anywhere in the support of job creation, it certainly seems to take exception to the banking and credit card industries.  Small wonder considering its Marxist / Leninist leanings.

I think if you are considering banks,  now is a good time to do some buying if the intent is to hold for the long term.  The easy money has already been made but they still look cheap.  

Citigroup is planning on a ten for one reverse split later on this year.  Reverse splits are generally a death knell for penny stocks but I don't think so in this case.  A $40.00 stock is more difficult to short than a $4.00 one and,  a $40.00 stock more than meets the minimum dollar criteria required by most mutual funds and other institutional investors.   Increased institutional holdings will also help stabilize the stock price.  






Not a pretty picture over the short term.  I did end up selling my position in Regions Financial to decrease exposure to the banking sector. It is still rather high at 19% but I think some patience and a slowly improving housing situation (whenever that happens) will add strength to this area.

What Else.......  

Here's the current portfolio allocation:

Banks: 18.98%
Telecom / Inet 12.37%
Manufacturing 12.61%
Food / Sin 10.31%
Insurance 6.10%
Real Estate5.42%
Tech 4.60%
MF -  G&I 7.23%
MF - Value 7.18%
MF - Small Cap 4.51%
MF-Large Cap 4.36%
Other@ 6%

Energy is missing because I think the sector is overpriced.

I'm primarily looking for value at this time.  I think that is where the money is currently at.  Time will tell.

Anally  REIT  Commentary

Bird Collection
Bird Collection
- taken with a Canon PowerShot SX30 IS