Balancing my Portfolio Sector Weighting
With the recent rise in the market and oil prices up 40% from the Jan 20th $27.10 low I’m trimming my Energy and Industrial sectors. This is a small trim only about 3% of my total portfolio, not only will it help balance my portfolio, but will free up cash for possible future bargain hunting.
That said, I’m selling my CVX (energy) and CAT (Industrial) positions, both for slight gains between 6-8%. Normally I rarely sell as I invest to build passive dividend income that will provide for my future retirement needs. However, in this case I believe it is a good opportunity to balance my portfolio to improve my diversification and since these stocks are in my IRA I will not incur any capital gain tax.
Filed in: Dividend Geek Portfolio • Dividend Growth Investing