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Minutes for April 17, 2017

Meeting place:

Charlie Covington’s

111 Linda Lane
Lake Mary, FL 32746

Call to Order: Henry called the meeting to order at 7:30.

Approval of Minutes:

The minutes of the March 20, 2017 meeting were approved.

Report of the Treasurer: Transaction Statement as of 4/13/17

·  Cash in Broker: $ 2,110.45

·  Club Valuation: $ 177,670.70

·  Cash and Reinvested Distributions: $452.53

o  Lockheed Martin 136.50

o  Waste Management 21.25

o  Vanguard High Div 28.00

o  iShares Div index Fund 70.13

o  Pepsi Cola 37.63

o  First Trust Pref Security 10.86

o  First Trust VI NASD 15.41

o  Automatic Data Processing 114.00

o  Johnson Controls 18.75

·  Unit value: $24.43

Portfolio recap 4/17/17 (at end)

Ed observed that we are down a little from previous month (been a bad month-a lot of red).

Investment Goal Update

Reviewed our annual goal and noted that we are a little better than anticipated although projections are close. We are up 5% and we projected to be up 10.3% by the end of the year.

EDUCATION SESSION

Growth and Value Stock Investment Strategies – Reviewed the articles from Fidelity Investments on “Growth vs Value Investing” and “Two Schools of Investing: Growth vs Value” and discussed the merits of investing a portion of our portfolio in growth stocks. Consensus was that generally growth stocks are less attractive to the group and that our current strategy is working for us. Still, we would consider a growth stock if it seemed to meet our basic criteria with consideration of an exit strategy.

Discussion of “exit strategies” – Based on the March meeting discussion on exit strategies, we revisited the concept. Using our current system of “low’s” we actually have a system of triggering the discussion on potential exits.

Discussion of Forms: Ed suggested we review a stock using the form during a meeting. We will evaluate a stock prior to the June meeting and discuss it while projecting it for discussion.

Monitored Stock Updates:

Partner / Stocks / Comments
Jim / ORAN / Nothing new to report
ABBV / Nothing new to report
FPE / Nothing new to report
Pat / SO / Because of Westinghouse’s problems, Moody’s moved it from “stable” to “negative”. Annual dividend has increased.
JCI / Will invest in a new battery plant as part of their expansion.
TGT / Still hovering around the same level. Pat will review the report in May and if action is needed, we can respond by email to sell.
Carolyn / ABT / No news – changing low to 30 and high to 35
TDIV / No news – no update
WFC / No news – no update
Sue / CVS / No new information to report
WM / Continues to be strong and is rated high among most analysts
HCN / No new information to report
Henry / MET / Selecting new name “Bright house Financial”. Expect spin off by end of June
Sam / MSFT / No change – no major news
Duke / No change – no major news
John / LMT / Developing new equipment for the field
PEP / No major news
ADP / No major news
Ed / AAPL / Doing well
DVY / Doing well
ATT & VZ / Doing well
Charlie / GE / Earnings will be reported this month
HON / Earnings will be reported this month
VYM / No new news

Discussion of proposed growth stocks (evaluation forms sent via email prior to meeting)

Pat – Facebook …put on Watch list

Ed – Red Hat …evaluated for practice

Henry – CRUS – Cirrus Logic…put on Watch List

Sam – AMAT - Applied Materials, Inc.…recommends we buy 50 shares at market ($38.02) and was approved by the group. Henry will monitor the stock.

Next Meeting

May 15, 2017
Carolyn (no) / June 19, 2017
Sue (meal) / July 17, 2017
Scarfo’s (no) / August 21, 2017
Brame’s (meal) / Sept 18, 2017
Jim (no)
Oct 16, 2017
John(meal) / Nov 20, 2017
Charlie (no) / Dec 2017
No meeting / Jan. 15, 2018
Carolyn (meal) / Feb. 19, 2018
Sue (no) / Mar 19, 2018
Scarfo’s (meal)

Adjournment: The meeting adjourned at 9:00 PM.

Henry Scarfo, President Sue Easton, Secretary

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Purch. Price * / Shares / Total cost** / Today's Price / Today's Value / Monthly change*** / Total change**** / Change % **** / Annual Dividend / Posted Yield / UAIC Yield / High Limit / Low Limit / Monitor / % of Total
Cash ------> / $2,110.45 / 1.2%
AAPL / $97.97 / 85 / $8,357.52 / $141.83 / $12,055.55 / $31.45 / $3,698.03 / 44.2% / $193.80 / 1.61% / 2.33% / $145 / $130 / Ed / 6.7%
ABBV / $60.82 / 100 / $6,101.48 / $64.31 / $6,431.00 / $148.03 / $329.52 / 5.4% / $256.00 / 3.98% / 4.21% / $70 / $53 / Jim / 3.6%
ABT / $42.77 / 50 / $2,148.49 / $43.31 / $2,165.50 / $84.00 / $17.01 / 0.8% / $53.00 / 2.45% / 2.48% / $55 / $40 / Crlyn / 1.2%
ADP / $67.14 / 200 / $13,467.21 / $101.86 / $20,372.00 / $518.00 / $6,904.79 / 51.3% / $456.00 / 2.24% / 3.40% / $115 / $95 / John / 11.4%
BMY / $56.66 / 50 / $2,842.99 / $52.95 / $2,647.50 / $173.50 / $195.49 / -6.9% / $78.00 / 2.95% / 2.75% / $64 / $48 / Crlyn / 1.5%
CVS / $82.43 / 50 / $4,131.88 / $78.73 / $3,936.50 / $3.50 / $195.38 / -4.7% / $100.00 / 2.54% / 2.43% / $85 / $79 / Sue / 2.2%
DUK / $50.06 / 100 / $5,026.04 / $82.93 / $8,293.00 / $176.00 / $3,266.96 / 65.0% / $342.00 / 4.12% / 6.83% / $89 / $65 / Sam / 4.6%
DVY / $73.12 / 100 / $7,331.84 / $91.08 / $9,108.00 / $98.00 / $1,776.16 / 24.2% / $260.00 / 2.85% / 3.56% / $100 / $85 / Ed / 5.1%
FPE / $19.00 / 100 / $1,909.99 / $19.65 / $1,965.00 / $12.50 / $55.01 / 2.9% / $120.00 / 6.11% / 6.32% / $21 / $17 / Jim / 1.1%
GE / $20.01 / 150 / $3,021.48 / $29.64 / $4,446.00 / $16.50 / $1,424.52 / 47.1% / $144.00 / 3.24% / 4.80% / $35 / $28 / Chas / 2.5%
HCN / $68.04 / 100 / $6,823.72 / $73.39 / $7,339.00 / $0.00 / $515.28 / 7.6% / $348.00 / 4.74% / 5.11% / $75 / $65 / Sue / 4.1%
HON / $84.93 / 75 / $6,389.48 / $123.43 / $9,257.25 / $230.25 / $2,867.77 / 44.9% / $199.50 / 2.16% / 3.13% / $130 / $115 / Chas / 5.2%
JCI / $37.54 / 75 / $2,835.80 / $41.09 / $3,081.75 / $89.25 / $245.95 / 8.7% / $75.00 / 2.43% / 2.66% / $55 / $40 / Pat / 1.7%
LMT / $94.80 / 75 / $7,140.17 / $269.88 / $20,241.00 / $164.25 / $13,100.83 / 183.5% / $546.00 / 2.70% / 7.68% / $285 / $245 / John / 11.3%
MET / $36.22 / 100 / $3,641.48 / $51.90 / $5,190.00 / $123.00 / $1,548.52 / 42.5% / $160.00 / 3.08% / 4.42% / $51 / $40 / Henry / 2.9%
MSFT / $28.97 / 100 / $2,916.98 / $65.48 / $6,548.00 / $55.00 / $3,631.02 / 124.5% / $156.00 / 2.38% / 5.38% / $66 / $50 / Sam / 3.7%
ORAN / $14.81 / 275 / $4,082.74 / $15.20 / $4,180.00 / $173.25 / $97.26 / 2.4% / $117.84 / 2.82% / 2.89% / $19 / $14 / Jim / 2.3%
PEP / $56.82 / 50 / $2,861.18 / $113.32 / $5,666.00 / $108.00 / $2,804.82 / 98.0% / $150.50 / 2.66% / 5.30% / $115 / $95 / John / 3.2%
SO / $40.47 / 150 / $6,100.47 / $49.78 / $7,467.00 / $90.00 / $1,366.53 / 22.4% / $336.00 / 4.50% / 5.53% / $55 / $46 / Pat / 4.2%
T / $34.91 / 200 / $7,012.47 / $40.30 / $8,060.00 / $424.00 / $1,047.53 / 14.9% / $392.00 / 4.86% / 5.61% / $42 / $36 / Ed / 4.5%
TDIV / $27.72 / 100 / $2,781.99 / $31.31 / $3,131.00 / $61.00 / $349.01 / 12.5% / $72.00 / 2.30% / 2.60% / $29 / $25 / Crlyn / 1.8%
TGT / $81.33 / 50 / $4,076.49 / $53.68 / $2,684.00 / $36.00 / $1,392.49 / -34.2% / $120.00 / 4.47% / 2.95% / $84 / $71 / Pat / 1.5%
VYM / $68.79 / 50 / $3,449.24 / $77.07 / $3,853.50 / $84.50 / $404.26 / 11.7% / $120.00 / 3.11% / 3.49% / $72 / $75 / Chas / 2.2%
VZ / $37.13 / 200 / $7,455.47 / $48.81 / $9,762.00 / $288.00 / $2,306.53 / 30.9% / $462.00 / 4.73% / 6.22% / $55 / $44 / Ed / 5.5%
WFC / $54.12 / 100 / $5,431.98 / $52.72 / $5,272.00 / $491.00 / $159.98 / -2.9% / $152.00 / 2.88% / 2.81% / $55 / $45 / Crlyn / 2.9%
WM / $52.01 / 50 / $2,610.49 / $72.50 / $3,625.00 / $30.50 / $1,014.51 / 38.9% / $85.00 / 2.34% / 3.27% / $80 / $70 / Sue / 2.0%
Equity values −------−−−−−−−−> / $176,777.55 / $2,943.58 / $46,828.48 / $4,754.84 / 3.38% / 4.43% / 100%
Value including cash ------> / $178,888.00
Cash available after next meeting ---> / $2,785.45 / 2017 Monthly Performance
Jan / $171,616 / Apr / $178,888 / Jul / Oct
* Per share price without fees / Feb / $178,132 / May / Aug / Nov
** From Valuation Sstatement, includes purchase fee(s) / Mar / $180,157 / Jun / Sep / Dec
*** Since last meeting / Final / 2015 $143,789 - 2016 $171,566
**** Excluding dividends