Monday 29 September 2014

Supermarkets? checked out!

OK patience finally ran out today and both Tesco and Morrisons have gone from my portfolio.

Frustrating to say the least, and with hindsight, far too late but, with one dividend cut at Tesco, management change, and ongoing suspicion about accounting standards and culture; and continued speculation around Morrisons dividend, coupled to a patchy strategy, my reasoning is to boost my war chest and recycle the remaining funds back into something with a little more certainty around its current situation.

Obviously not happy with myself for holding on, and probably will watch as they bottom and rise from here, but I've spent all of this year to date speculating as to their merits of a place, and longer still spent speculating about Morrisons strategy and management!
So better to cut my losses and start looking forward again.

C'est la vie!

Monday 15 September 2014

August 2014: Portfolio Update.

Two thirds of the year down, and my portfolio continues to run a small year to date loss of -0.34% v. the FTSE100's 1.05%.
Very disappointing but understandable given the difficulties and setbacks from my largest holding, Rolls-Royce, the 2 supermarket investments, Tesco and Morrison, and then the strength of the pound against the dollar.

Still disappointing, and probably should have seen me axe the supermarkets.

So the month is traditionally by best for dividends received as National Grid payout in August, with further contributions from Imperial Tobacco, Apple, Verizon, and Vodafone.

The only swings of note in the portfolio coming from a renaissance in Apple, +9.08%, and the sinking of Tesco, -10.87%.


Merchant Adventurer's Index
Forecast 1 month YTD 44 mth
Price % holding Div. yield % gain % gain % gain
R-R 1021.00p 26.78% 2.49% -1.83% -18.42% 55.53%
National Grid 899.00p 14.33% 4.82% 5.15% 14.09% 62.57%
Aviva 521.00p 11.08% 3.68% 3.37% 15.86% 54.20%
BP 481.65p 5.08% 5.18% -0.49% -1.31% 6.32%
Apple ** $102.50 6.99% 1.63% 9.08% 27.20% 69.61%
Vodafone 206.75p 2.05% 5.50% 4.42% -18.05% -18.05%
Verizon ** 3001.31p 1.42% 3.79% -0.58% 8.14% 8.14%
IG Group 607.00p 3.95% 4.71% -0.49% -1.46% 27.20%
William Hill 350.00p 2.89% 3.63% -0.85% -12.91% 90.04%
Imperial Tobacco 2627.00p 2.67% 5.34% 2.18% 12.36% 16.29%
BAT 3553.50p 2.44% 4.43% 2.02% 9.74% 5.94%
General Electric ** $25.98 1.84% 2.71% 5.09% -7.80% 60.02%
Microsoft ** $45.43 2.04% 2.12% 7.08% 20.73% 52.88%
BAE Systems 445.10p 1.61% 4.69% 4.00% 2.32% 34.88%
Centrica 319.40p 1.45% 5.69% 3.37% -8.14% -3.68%
SSE 1518.00p 1.52% 5.92% 4.19% 10.80% 23.92%
Morrisons 177.50p 0.81% 6.95% 5.03% -31.99% -33.67%
BG Group 1201.50p 1.27% 1.70% 2.52% -7.40% -7.29%
Tesco 229.95p 0.67% 3.78% -10.87% -31.22% -42.36%
Barrat Dev. 369.90p 1.19% 3.84% 5.99% 3.48% 3.48%
Cash 7.92% 0.00%
100.00% 3.34%
1 Month YTD 44 mth
Virtual Portfolio gain (incl. Dividends)
- 1 month gain   2092.15 - 2132.02 1.91%
- YTD gain         1644.62  2132.02 -0.34%
- 44 month gain 1264.20 - 2132.02 68.65%
- 56 month gain 1000.00 - 2132.02 113.20%
FTSE gain (excl. Dividends)
- 1 month gain   6730.11 - 6819.75 1.33%
- YTD gain         5897.81
6819.75 1.05%
- 44 month gain 5971.01 - 6819.75 14.21%
- 56 month gain 5412.88 - 6819.75 25.99%
Transactions:
05/08/2014
Div
Verizon @ 26.56p per share
06/08/2014
Div
Vodafone @ 10.55p per share
18/08/2014
Div
Apple @ 23.59p per share
19/08/2014
Div
Imperial Tobacco @ 38.8p per share
20/08/2014
Div
National Grid @ 27.54p per share
Notes: 
*     US Dividends are adjusted for exchange rate and 15% withholding tax
**   Sterling : Dollar exchange rate = £1: $1.65994 as at 31/08/14


Chartwise, things are back pushing the ceiling of all time highs so its not all bad news, more one of consolidation.


Click to enlarge, close to return.

So looking ahead, one topic I have chosen to ignore is the Scottish referendum, mainly because I don't understand the outcome but the sooner the better as it is the uncertainty that has the biggest effect. 

Anyway, I have added new funds to my portfolio, rather than re-invest, in the poor deals now on offer.
These have actually come from many years invested in the National Savings Index Linked certificates so it has been disappointing to give them up but at least allows me to recycle the funds back into my ISA.
I will be looking to invest most of this before the year-end and any traditional year-end rally, although I also like to get past October and its historic "Black" events


Previous Posts:
July 2014: Portfolio Update.
June 2014: Portfolio Update.
May 2014: Portfolio Update.
April 2014: Portfolio Update.
March 2014: Portfolio Update.
2013 Dividends profiled.
February 2014: Portfolio Update
January 2014: Portfolio Update
December 2013: Portfolio Update.