Saul, would you mind sharing your portfolio weighting at the end of this past June (end of Q2 2014) like you did last month? Inquiring minds would like to know…
Hi Charlie, Here are my positions as of the close on July 1st
Two VERY big positions. These are between 11.0 and 11.6% which is larger than I usually want to let positions get. However they’ve grown to this size and I haven’t seen a reason to trim them yet.
Two very big positions. These are also high conviction stocks, and are between 9.0 and 9.3% positions.
Two big positions. These are between 6.9 and 7.1% positions. Note that the six positions up to here make up 55% of my total, so I am somewhat concentrated.
Then six “average” size positions running from 6.2 to 3.6%. I like them all. They just haven’t had a chance to grow into bigger positions yet.
Then six small positions running from 3.0 down to 1.8%. These are small for various reasons. CSGP because of very high PE, CALL because I’m not sure they will pull it off, SKX because it’s new, and I’m not sure about a shoe chain, PSIX because it’s high PE and because I sold some for cash to buy other things, WAB because while it’s not at an absolutely high PE, it’s at a high PE for WAB, and also because I sold some for cash to buy other things, and AMAVF because it’s a new repurchase and it’s a Swedish company which complicates buying it.
Finally, two tiny companies, at about 0.5%. These are KRED and another that I’ll probably write more about at the beginning of next week. These are penny stocks, and are just for playing around. They are really tiny positions as you can see.
Seven weeks ago, at the bottom of that horrible growth-stock sell-off (which now is just a distant memory), when someone on the board was panicking, saying that he was down so much that he was afraid he’d never get it back, I answered that I was down 13%, but it had never even occurred to me that I’d end up down for the year. It was true. I wasn’t exaggerating. It actually had never even occurred to me. These were good stocks with great prospects, and I knew I wasn’t going to be down for the year. I’m now up 5.7% (which is up 21.5% from where I was when I said that, less than two months ago). The take-away is don’t panic at irrational sell-offs. If it’s one stock, then you have to make sure there’s not something wrong with that particular company. When it’s all your stocks and the pundits are all saying the big crash is coming, relax. It’s just something that happens now and then.
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