Mind The Gap!

I am making a material change to my dividend portfolio today. As readers know, I am displeased with FGL as I felt they were not very transparent in publishing their year end EPS and BV figures. They only showed them on a weighted average basis and in my view should have also shown them on a pro forma post IPO basis.  The math was simple, but caused a 15 to 20% haircut that I should have frankly caught (I did catch it, but lateish).

So today I am selling the remainder of my FGL. It was not a disaster, I made about a 1% gain. I have decided to replace them with GPS (Gap Stores). GPS is a stock I have considered many times as an MFI stock (so right there you know it is a decent company at a reasonable price). They pay a dividend of about 2%, so on the low side for my divvy portfolio, but so was FGL. They announce earnings tomorrow, so I will get instant excitement. I have been wanting to have at least one retail play, GPS seems the best for me. Finally, my newsletter, Trifecta stocks recommends them. So

1. They are MFI stock, 
2. They are a retailer with decent dividend and 
3. They are a trifecta stock. I guess that is a trifecta in of itself.

I also increased my position in my BAC warrants by 33%. They have pulled back from over $8 to $6.80. It seems like a good entry point for something I plan to hold 4+ years.