Weekend Update - February 18th 2011

Happy President's Day

Wow, everything sure has been clicking of late in my investing world.

• Overall Portfolio +13.1% YTD
• Dividend Portfolio +10.5% YTD
• MFI Index +15.1% YTD

Like a child who has touched a hot stove, I keep expecting it to all come crumbling down. I did make a few transactions this week:

1. I sold my CJES position - I had bought them to make a quick dollar going into earnings and it worked very well, a very quick (2 weeks) 15% gain on what was an out-sized position.
2. I doubled down on RIMM when I saw that David Einhorn was in as well (David Einhorn's Greenlight Capital Buys Into RIM).
3. I doubled my position in TROX as Seth Klarman bought a ton (Seth Klarman Reports New Stake In Tronox Inc).
4. I added to my CSCO position
5. I sold my UIS position - like CJES I had bought them for a quick pop, never got it but ended up breaking even.

So post all the transactions, I am sitting in a fair amount of cash. I am not sure what to do with it over the next month or so. I may add to my current positions in some divvy stocks, I may buy (gasp) AAPL, I am considering sticking a toe back into MFI or I may go short US Treasuries as Warren Buffett himself bashed them (Buffett says U.S. Treasury bubble one for the ages).

SBS, AZN, MSFT, and PRE all went x-dividend this week as I continue to earn and re-invest dividends. SBS paid a dividend of about $3.00 and the promptly regained the $3 the next day. SBS has essentially doubled since I bought them back in 2010 (around $39 a share) as they ar now about $75 and I have collected over $5 in dividends. They do not quite show up as a double as I include the reinvested dividends as new purchases and compare against Russell 3000 that day (see chart below):

Date Purchased	Date Sold	Stock	Purchase Price	Current/Sold Price	Pct Gain
05/10/10		sbs	$38.36	$74.96	109.5%
09/01/10		SBS	$39.42	$74.96	103.9%
07/07/11		SBS	$60.45	$74.96	29.0%
02/16/12		SBS	$74.96	$74.96	0.0%

Hard to complain. Overall, my dividend portfolio has out-performed the Russell 3000 by about 3 points. Not a huge out-performance, but it is working well for me:

Current Portfolio
Stock	Shares	Avg Cost	Current Price	Dividends Received	Pct Change	R3K Change	Diff
AZN	442	47.08	45.18	1,919	5.2%	6.8%	-1.6%
BHK	2,922	12.55	14.12	1,478	16.5%	2.4%	14.1%
CEL	1,531	25.81	14.53	5,875	-28.8%	24.6%	-53.4%
CPL	1,000	22.67	32.14	-	41.8%	18.9%	22.9%
CSCO	2,306	17.51	20.29	304	16.6%	3.2%	13.5%
CSQ	5,103	8.17	9.58	1,471	20.8%	18.6%	2.3%
ENH-PA	1,000	26.12	26.50	-	1.5%	5.3%	-3.9%
FCX	503	36.06	43.04	125	20.1%	15.0%	5.1%
GCAP	4,000	6.38	6.47	-	1.4%	5.3%	-3.9%
HPQ	804	25.79	29.59	96	15.2%	15.1%	0.1%
INTC	1,280	19.64	27.37	997	43.3%	19.9%	23.5%
JQC	4,483	8.85	9.02	1,598	6.0%	5.1%	0.9%
KMF	1,760	21.68	26.50	1,330	25.7%	14.7%	11.0%
KSW	13,048	3.76	3.75	4,023	7.9%	17.8%	-9.8%
LNC	2,425	24.32	25.56	593	6.1%	12.3%	-6.2%
MNDO	13,678	2.48	2.59	2,400	11.6%	7.2%	4.4%
MSFT	953	26.78	31.25	805	19.8%	11.7%	8.1%
NSU	3,200	6.31	3.91	-	-38.0%	3.6%	-41.6%
PM	436	45.63	81.74	1,947	88.9%	27.9%	61.0%
PRE	1,014	61.80	65.90	923	8.1%	7.0%	1.1%
PVD	397	63.26	70.67	698	14.5%	14.9%	-0.4%
RTN	458	46.82	49.86	434	8.5%	3.6%	4.9%
SBS	868	41.04	74.96	4,441	95.1%	18.9%	76.2%
SLF	2,719	27.31	20.83	1,805	-21.3%	6.1%	-27.5%
STD	132	7.38	8.46	-	14.6%	0.9%	13.7%
STO	1,000	23.86	27.12	-	13.7%	16.4%	-2.7%
USB	1,901	21.76	29.35	923	37.1%	18.9%	18.2%
WBK	489	105.66	108.60	3,636	9.8%	12.4%	-2.6%
Total Open				37,823	13.8%	12.0%	1.9%
Closed					11.5%	7.4%	4.1%
Combined					12.6%	9.5%	3.1%
IRR Since 12/31/10					15.3%
2012 Gain					10.5%
Estimated Dividends for Next 12 Months
Stock	Shares	Ann Dividend / Share	Yield	Projected Dividend	Sector	Worth	Anniversary
AZN	442	$ 2.40	5.3%	1,062	Pharma	19,988	1/6
BHK	2,922	$ 0.80	5.7%	2,349	Bond	41,257	7/6
CEL	1,531	$ 2.05	14.1%	3,139	Utility	22,252	6/29
CPL	1,000	$ 1.27	4.0%	1,270	Utility	32,140	9/29
CSCO	2,306	$ 0.32	1.6%	738	Tech	46,789	4/25
CSQ	5,103	$ 0.84	8.8%	4,286	Hybrid	48,884	8/23
ENH-PA	1,000	$ 1.94	7.3%	1,938	Bond	26,500	1/17
FCX	503	$ 1.24	2.9%	623	Basic Resources	21,635	11/28
GCAP	4,000	$ 0.20	3.1%	800	Services	25,880	1/12
HPQ	804	$ 0.48	1.6%	386	Tech	23,783	11/22
INTC	1,280	$ 0.84	3.1%	1,075	Tech	35,041	9/17
JQC	4,483	$ 0.80	8.9%	3,587	Hybrid	40,440	7/8
KMF	1,760	$ 1.60	6.0%	2,816	Pipelines	46,635	9/15
KSW	13,048	$ 0.15	4.0%	1,957	Construction	48,930	5/2
LNC	2,425	$ 0.32	1.3%	776	Insurance	61,975	11/10
MNDO	13,678	$ 0.20	7.7%	2,736	Tech	35,426	2/4
MSFT	953	$ 0.80	2.6%	762	Tech	29,775	12/6
NSU	3,200	$ 0.10	2.6%	320	Basic Resources	12,512	1/25
PM	436	$ 3.08	3.8%	1,343	Consumer	35,647	6/7
PRE	1,014	$ 2.56	3.9%	2,596	Insurance	66,822	9/7
PVD	397	$ 3.70	5.2%	1,470	Finance	28,077	8/5
RTN	458	$ 1.72	3.4%	788	Defense	22,854	7/14
SBS	868	$ 3.03	4.0%	2,631	Utility	65,092	5/10
SLF	2,719	$ 1.46	7.0%	3,970	Insurance	56,646	6/29
STD	132	$ 0.64	7.6%	84	Finance	1,117	12/1
STO	1,000	$ 0.94	3.5%	940	Basic Resources	27,120	11/23
USB	1,901	$ 0.50	1.7%	951	Finance	55,808	9/29
WBK	489	$ 8.13	7.5%	3,978	Finance	53,132	11/19
Total			4.8%	49,372
Upcoming Dividends
Stock	Shares	x Date	Div/Share	Est New Shares	Amount
ENH-PA	1,000	2/25/12	$ 0.48	18.0	484
MNDO	13,678	2/28/12	$ 0.20	1,056.0	2,736
SLF	2,719	3/4/12	$ 0.36	46.0	979
GCAP	4,000	3/7/12	$ 0.05	30.0	200
CSQ	5,103	3/8/12	$ 0.07	37.0	357
HPQ	804	3/12/12	$ 0.12	3.0	96
BHK	2,922	3/13/12	$ 0.07	13.0	196
JQC	4,483	3/13/12	$ 0.20	99.0	897
PM	436	3/20/12	$ 0.77	4.0	336
USB	1,901	3/29/12	$ 0.13	8.0	238
RTN	458	3/30/12	$ 0.43	3.0	197

Finally, I am off to Switzerland today. I am taking my X220 and a Swiss adaptor, so I will likely post once or twice while there. Auf Wiedersehen!