I know it was the anniversary of Pearl Harbor and all, but some days are just really good days, and I think you've got to take them when they come regardless of the historical bummers which might be attached. So I ended up having a really good day today. My attitude has been rather chipper all week, but for whatever reason today was extra happy. It helped that I got a lot done on a number of different fronts, I suppose, but I can't really point to a catalyst or a singular event which particularly buoyed my mood.
Dad and I went to the library, and I enjoyed that a lot. Checked out a bunch of books on a diverse range of topics: Horses, brain teasers, sumo wrestling, bicyling, and so on. As many of you know, I'm a nonfiction kinda reader in general (though I'm currently flipping my way through the Pulitizer Prize-winning novel The Shipping News). I'll be wandering into Barbara Tuchman's The Proud Tower after that. I like reading. I should read more.
I sent in my initial purchase for Utilicorp United (UCU-NYSE) which is, as I said on November 27, one of my latest picks for all you discriminating conservative investors out there. Given the 5 percent DRIP discount the company offers and the 4.4 dividend yield, an investor starts plus 9.4 percent before any growth. That's my kinda stock! I also happen to think that now is a good time to buy because UCU has been somewhat unfairly tarnished by the whole Enron debacle (and Utilicorp does have an exposure of $71 million), but this will be a short-lived, one-time problem. Going forward, there's nothing here to stand in the way of profits as I see it.
And while I'm on the subject of investing, I guess it's as good a time as any to spill the beans on our portfolio. It's not really a trade secret or anythingI've mentioned many of these beforebut here's what stocks we're holding right now in case you're wondering: Zweig Total Return (ZTR-NYSE), Utilicorp United (UCU-NYSE), Schering-Plough (SGP-NYSE), MDU Resources Group (MDU-NYSE), Heinz (HNZ-NYSE), Genuine Parts (GPC-NYSE), Comerica (CMA-NYSE), American Water Works (AWK-NYSE), and Apple (AAPL-NASDAQ).
I'm obviously biased, but there is a lot to like in this group. Hehe. Zweig currently pays a 9.1 percent yield. Utilicorp I've detailed above. Schering-Plough has had some major manufacturing problems, and frankly, I'm not too keen on them at the moment. I think their problems are going to get a lot worse before they get better, and I don't see it as a temporary situation like I do with UCU because one of the major issues that Scherling-Plough faces is that their multi-billion dollar allergy drug Claritin loses patent protection in 2002. They have a replacement in the pipeline called Clarinex but early reports are that it really doesn't offer much improvement over Claritin.
MDU I know next to nothing about. Their stock was a gift from Dad, so I can tell you MDU is a utility and that's about it. If Dad picked it, I'm sure it's OK. (I can tell you that MDU has no Enron exposure.) Heinz is the A-rated ketchup company based in Pittsburgh. If Heinz Field is good enough for the Steelers, Heinz the company is good enough for me. Hehe. Genuine Parts is a auto parts supply company. They've been profitable and well-run for years. Comerica is a Detroit-based bank that I picked last month before their stock rocketed up $6 a share. Unfortunately, I still don't have my DRIP going with them, so I've already missed out on some early gains. I think there's more to come, but it's a shame I didn't have lots of extra cash to plop into their stock a month ago. Of course it's a shame I don't have a lot of extra cash, period.
American Water Works is simply one of my all-time favorites. Great company, wonderful stock. They're being bought out by a German utility for $46 a share in a deal that should close in late 2002. They've been an absolute home run for us as an investment, and I'll be really sorry to remove them from the portfolio when the time comes. Apple is, well, Apple. I violated my own investment guidelines to purchase 50 shares, and I've been in negative territory with their stock ever since. Serves me right, but I do think they're one of the companies which will lead the way out of the recession. They have way too many cool products coming down the pipeline. The iPod is just the beginning.
For mutual funds, we've got Fidelity Dividend Growth (FDGFX), Fidelity Low-Priced Stock (FLPSX), Fidelity Growth & Income (FDGRIX), Fidelity Growth Company (FDGRX), and Scudder International (SCINX). All the Fidelity funds are rated either four or five stars (out of five) and are, IMHO, winners. The Scudder fund has done less wellachieving only a three star rating from Morningstarbut it provides much of our international exposure, and frankly, a lot of the overseas economies stunk in the '90s, so whaddya do? I continue to think it'll be OK going forward, and, as I say, it's important in terms of our asset diversification. All our mutual funds are in retirement accounts so they're tax sheltered as far as capital gains and dividends are concerned.
I've said it before, I'll say it again: Anybody out there have any investing questions, send'em on in. I'm not an investment or financial professional, but I play one on the Internet.