12-05-2014, 03:44 PM
R2R
I keep anywhere from 10% to 25% in cash for the reasons you cite. One would think that holding cash would be a drag on the portfolio, but I trade partial positions of my holdings, such that trading income is 1x to 3x greater than my dividend income. I can only accomplish this by holding cash. I consider buy and sell when there is a deviation of >10% in a partial position. 10% down consider buying a partial position, 10% up on last partial positon, consider selling a partial position (I always consider capturing the dividend if possible). Most of my holdings are dividend achievers and dividend aristocrats.
M$$I
I keep anywhere from 10% to 25% in cash for the reasons you cite. One would think that holding cash would be a drag on the portfolio, but I trade partial positions of my holdings, such that trading income is 1x to 3x greater than my dividend income. I can only accomplish this by holding cash. I consider buy and sell when there is a deviation of >10% in a partial position. 10% down consider buying a partial position, 10% up on last partial positon, consider selling a partial position (I always consider capturing the dividend if possible). Most of my holdings are dividend achievers and dividend aristocrats.
M$$I