Tuesday 23 May 2017

Cashing In (Portfolio Sale)


After a couple of months of doing nothing, the DIY Income Investor portfolio is getting a little more active. With the new Financial Year, I have several bits of admin to do, including topping up ISAs and SIPPs.

Bottom line: moving money around between different accounts - and also cashing in some winning investments.

Today's star performer is Berkeley Group Holdings (LSE:BKG), the house builder, which I bought in late 2016. (This share is, again, one that held before and sold at a profit before - so one of my favourites!)

I normally sell when the investment has hit a capital gain equivalent to 5 years' income (based on actual or forecast dividends). BKG still has an attractive yield and potential to rise further but, as I mentioned above, I need to move some money around - so I need to bend my rule a little for one of the holdings. Plus the price seems to have reached its previous peak of a year ago.

I have recently sold two chunks of BKG, held in different accounts, giving me a 41% and 31% capital gain (on top of dividends) - not bad for 8 months' work. (And when I say 'work', I am exaggerating hugely 😎 )

And I'll probably buy back in if the price falls again...

[Sale price: £33.81 and £33.78] 

I am not a financial adviser and the information provided does not constitute financial advice. You should always do your own research on top of what you learn here to ensure that it's right for your specific circumstances.


  1. Looks like you missed the news on the Dividend Allowance cut. It was dropped because of the election so now won't get enacted until next tax year 2018-19.

    1. This comment has been removed by the author.

    2. Thanks for the heads-up: I've removed the comment on Dividends Allowance https://www.gov.uk/government/publications/income-tax-dividend-allowance-reduction