The Blue Harbinger Disciplined Growth Portfolio gained 53.0% in 2020, and that comes after a 51.6% gain in 2019. The strategy holds approximately 30 stocks, and has been positioned somewhat aggressively. We have made several changes to the portfolio including 3 new (albeit small) positions, a couple rebalancing trades (to fund the new positons) and we have adjusted our “buy under” prices and ratings for a small handful of names.
For starters, you can access our current portfolio holdings here. Additionally, you can see our long-term performance track record using the links on the homepage (see the portfolio description sections about 2/3 of the way down from the top of the homepage). You can also see the high level performance in the charts below (later in this report).
Regarding the Disciplined Growth Portfolio, you can see the three recent small additions (PLTR, SNOW and ENPH) highlighted in green (the names are highlighted in green at the bottom of the page) when you launch the portfolio holdings sheet. You can also see the current weights, our “buy under” pricing and rating for each name.
Note, the “Buy Under” price changes are color coded. Specifically, green means the price was raised, red means it was lowered, and white means there is no change to the “buy under” price. These “buy under” prices are our opinion, based on our analysis of the stocks (and spot checked against average Wall Street price targets).
The Disciplined Growth portfolio gained +6.2% in December, versus +3.7% for the S&P 500 (SPY) and + 3.5% for the Blue Harbinger Income Equity Portfolio (please see the Income Equity Tab on the portfolio holdings sheet). We made one change to the Income Equity portfolio—we sold The Geo Group (GEO) a high dividend (largely) private prison REIT, which is likely to face increased political pressure in the quarters ahead.
Going forward, the Disciplined Growth Portfolio continues to be positioned for strong growth. The strategy has a combination of pure growth stocks (such as CRWD, ENPH, and ROKU, to name a few), more established growth stocks (such as CRM and ADBE) and very small positions in hyper-aggressive growth stocks (such as new additions PLTR and SNOW).
The Income Equity portfolio, continues to kick off high income for those that prefer it (it currently yields 6.6%). And while the strategy was hit particularly hard by Covid, it has been rebounding hard in recent months and has significant upside in the months and quarters ahead as the vaccine rollout takes us one step closer to returning to normal life. The rebound from the panic lows (covid) has been dramatic (as it usually is—buy low). We particularly like the very high income bond closed-end funds in this portfolio (BTZ, BTI and especially PCI right now), as well as the safety of high-dividend mortgage REITs AGNC and NLY as the worst of the coronavirus liquidity crisis is behind us. Further, traditional property REITs are poised for continuing recovery (we especially like Realty Income (O), WPC and even SPG).
Overall, our current portfolio holdings are one tool to help you manage your own investments (others include our detailed research reports and portfolio tracker tool—which can be accessed from the homepage). A prudently concentrated portfolio of attractive individual holdings (such as ours) has been a proven winning strategy over and over again throughout history, and we believe it will continue to be going forward.