It’s time for me to do a little rebalancing of my Low Yield Portfolio. Both the Low Yield and Medium Yield Portfolios are too heavily weighted in the Financial sector. They are is 26% and 28% respectively and that leaves me a little too exposed to shocks in that sector. So I’ve decided to tweak things a bit by selling off a the profits of four holdings in my Low Yield Portfolio. The money is going into the Consumer Staples and Industrial Sectors. Below is what I’m selling.
| Bank OZK (OZK) | 104.499 shares |
| Cullen/Frost (CFR) | 24.743 shares |
| Franklin Resources (BEN) | 46.065 shares |
| Arrow Financial Corp (AROW) | 37.5 shares |
Below is what I’m buying.
| J.M. Smucker (SJM) | 27.942 shares |
| Lockheed Martin (LMT) | 9.751 shares |
| Unilever (UL) | 62.52 shares |
Financials now make up 23% of that portfolio which is under the max of 25% I had originally planned. Industrials increased to 17% and Consumer Staples increased to 16%. This makes me feel a little more comfortable with my exposures. Not much changed in the yield percentage, dividend growth percentage, or income forecast. But, the safety of my dividends increased slightly due to the improved diversification and the slightly better safety ratings of the new holdings.