11Lun·

My brokerage account on Charles Schwab currently consists of 21 different holdings, but I’ve had a craving to do some consolidating for a while now.


However, for a die-hard dividend enthusiast like myself, parting ways with a stock is never easy. We dividend investors typically buy with the intent to hold forever – or at least until the dividends stop flowing.


With that said, it’s easy to get attached to the stocks you hold, but it’s also important to know when to fold ‘em and I’ve identified four stocks that I wouldn’t mind saying farewell to, which I’m telling you all about here.


Among these four is $JEPI, a covered-call ETF boasting one of the loftiest yields in my portfolio.


I started buying this fund maybe about a year after it came onto the market in 2020. At the time, covered call ETFs were all the rage. They were the “hot new thing” everyone was talking about, and you couldn’t open up YouTube without seeing at least one video talking about them.


So, I figured I would test the waters with $JEPI. I put a little bit of money into the fund to see how it performed, and I’ve gotta say, $JEPI has pretty much delivered on the fund’s objective.


Truth be told, I don’t really have any serious qualms with the fund and have been content with its performance. At the same time, this is something I’d never make a large portion of my portfolio, and I’ve always known that $JEPI wasn’t a “forever” hold for me.


Because of that, instead of continuing to have my money tied up in the fund, I would now rather use that money to build a more meaningful position in something I actually care about, even if doing so comes at the expense of less dividend income in the short term (which would likely happen since $JEPI is one of the highest yielding positions in my portfolio).


Having said that, the fact that I’m considering selling out of $JEPI at all calls into question whether it was a mistake to invest in the fund in the first place, and I don’t think it was at all.


At the end of the day, investing is a journey of discovery and perpetual learning, and sometimes there are just things you have to learn the hard way.


In doing so, you might end up making some investments that don’t quite fit the bill, but that ultimately might be what it takes to discern the positions that are truly worth holding.


Plus, I’m still up about 5.5%. At the end of the day, $JEPI was a lesson I was paid to learn, and you can’t beat that.


What was the last stock you sold out of in your portfolio, and why did you sell it? 🤔


#dividende
#dividends

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12 Comentarios

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How large is the $JEPI position?
We can't see your portfolio.

I would not sell it, especially as you mentioned the dividend yield is good and I can see that the TER is not that high.

I would consider selling single securities instead.
Because selling a fund just after 3 years of holding does not make much sense, except if you really need the cash in your daily life.

Alternatively, you don't have to sell the whole position but just a percentage of it, and reinvest the money elsewhere.

To answer your question:
I never sell, because I only buy ETFs, and I carefully pick them.
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I recently sold $GEO, as I had reached my threshold for price gains.

The dividend was stopped for the time being anyway.
So I realized my gains and was happy.

If I were you, I would tend to keep the fund.
3 years is actually not a long holding period and as you write yourself: The yield is attractive!
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For me it was $BAYN. No believe in the long-term success anymore with the constant Monsanto struggle and their poor pipeline.
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$AG1 sold with -40%. Stock is down almost 90% since IPO now. Glad I didn't wait too long :)
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Many different ones, changed my strategy from stocks to different asset classes, mainly for RR reasons
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For me it was $NVDA, had it since quite a while in the portfolio and sold it start of the year. So timing was not great, but had already a decent return on it and I try to not have too many positions (find it tough to manage in a timely manner).

P.S. welcome in our community 🙌
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