I've decided to add shares of Credit Suisse (CS:NYSE) to my regular stock account. The principle activity of Credit Suisse Group is the provision of global financial services including a range of banking and insurance products. The company has earnings per share of $5.05 and pays a dividend of $1.78 which represents a 4.15% yield on their recent price of $43.01 per share. They carry a price to earnings of 8.5 and their current stock price is well below the 52 week high of $60.08. Operating out of Switzerland they are a global presence in banking with a terrific franchise name. I'm thinking it will make a great dividend play with possible capital gains as well.
While I may not have the kind of money to open a Swiss bank account, I do like the idea of owning shares in one of the largest and best known Swiss banks in the world. I also like the idea of increasing my diversification outside the United States.
Showing posts with label foreign investments. Show all posts
Showing posts with label foreign investments. Show all posts
Wednesday, July 14, 2010
Wednesday, June 16, 2010
IN WITH FOREIGN INVESTMENTS AND OUT WITH THE LIMITED PARTNERSHIPS
In a further move to reduce my exposure to limited partnerships, I put in sell orders for Calumet Specialty Products (CLMT) with a 23% gain, Markwest Energy (MWE) with a 42% gain and utility company Pinnacle West Capital Corp (PNW) for a gain of 29%. While all three have been great investments up to this point, I didn't like their prospects going forward, so decided to lock in gains and reinvest profits elsewhere.
To add more diversity to my portfolio and seek profits outside the U.S., I've decided to invest the money equally in British American Tobacco (BTI) and Unilever (UN). BTI has a ROE of 28.8% with a dividend yield of 6.70% and $3.32 per share in cash. Unilever, with leading brands like Lipton Tea and Dove soap, has a ROE of 38.70%, a dividend yield of 3.20% and $1.20 per share in cash. Both companies have very little debt.
I see several benefits to making these changes in my portfolio and am looking forward to adding BTI and UN to my long term holdings. While the U.S. seems to be leaning toward a shaky recovery, it doesn't hurt to broaden your investment perspective to include quality companies who make more of their money from global sales. I also see this as part of my move away from speculative issues towards better quality investments.
To add more diversity to my portfolio and seek profits outside the U.S., I've decided to invest the money equally in British American Tobacco (BTI) and Unilever (UN). BTI has a ROE of 28.8% with a dividend yield of 6.70% and $3.32 per share in cash. Unilever, with leading brands like Lipton Tea and Dove soap, has a ROE of 38.70%, a dividend yield of 3.20% and $1.20 per share in cash. Both companies have very little debt.
I see several benefits to making these changes in my portfolio and am looking forward to adding BTI and UN to my long term holdings. While the U.S. seems to be leaning toward a shaky recovery, it doesn't hurt to broaden your investment perspective to include quality companies who make more of their money from global sales. I also see this as part of my move away from speculative issues towards better quality investments.
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