INCOME PORTFOLIO UPDATE.

Monitor Your Portfolio. On December 19, I posted a sample portfolio with a yield that far exceeds that of money market funds and CDs. I didn't necessarily recommend buying that for your account but I was of the opinion that, long term, it would outperform any of the so-called zero risk portfolios. At the time, it would have cost you $199,753 to purchase that portfolio. The following is a summary of the current value of those companies and the income you would have received to date.

1. Ameren Corporation (AEE). Investment amount was $17,130. Current value is $16,800 and we have received dividends of $234.

2. Bristol Meyers Squib (BMY). Investment amount was $18,380 and the current value is $17,500. Dividends received are $231.

3. Duke Energy (DUK) Original investment was $19,700 and the current value is $19,800 with $275 in dividends received.

4. Lookheed Martin (LMT) Investment amount was $20,460 and current value is $23,700 with no dividends received yet.

5. Medical Properties Trust (MPW). Original Investment was $20,240 and current value is $22,000 with $400 in dividends received

7. AT&T (T). Original cost was $17,526 and current value is $16,200 with no dividends received.

8. Health Care Properties (HCP). Original cost was $19,512 and current value is $22,200 with no dividends received yet.

9. Kinder Morgan Energy Partners (KMP) Original cost was $20,775 with current value of $21,540. No Dividends received yet

10. Fidelity National Financial (FNF). Original cost was $19,570 with current value of $19,600 and dividends of $168.

11. Windstream Corporation (WIN). Original cost was $26,860 with current value of $24,700 with dividends of $475 received.

The Bottom Line. Total current value is $204,040 with dividends collected of $1,783. While our potential gain of $4,000 is certainly better than a potential loss, remember that the purpose of the portfolio is to generate income. It is comforting to know that we could sell today, and have over $5700 in capital gains and dividends but that gain could disappear overnight. The dividends are now yours to keep. By way of disclosure, I own T, HCP, and KMP. I have owned BMY amd FNF in the past.

The picture at the top was to remind me of more happy times. Bob Brougham, a lion in the real estate investment industry, passed away last night. I am lucky to have had him as a mentor for 30+ years. Ms. Betty really looks good in that picture, I was more like the Flying Nun in that cowboy hat.