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You articulate some EXCellent point (pun intended) that I was mulling over in my mind after reading that article.

It's just a little too.....slanted for me to feel comfortable about it.

EXC is 5% of my overall retirement portfolio currently, and 10% of my "income generating" retirement portfolio.
(I try to use safer and higher yielding investments to throw off cash that I use for more growth orientated investments.)

I was thinking of increasing my stake to lower my cost basis in EXC, as fundamentally it does APPEAR cheap right now, and may in fact be cheap,
but I think that I will sit pat with the current ratio at this point, as all utility stocks currently make up 20% of my income generating portfolio, and 10% of my overall portfolio. I think that is about the max for one sector, and I need to stand pat right now, tempting yield or not.

Again, it is hard not to pull the trigger, precisely because EXC seems so very inexpensive compared to some of the other utilities out there, like SO, DUK, etc. So many utilities have been did up far too high, imho, by people scrambling for a "safe" place to get some yield that I fear they have nowhere to go but down from here.

FYI, my other current utility holdings are:
1) OTTR (really more of a quasi utility company) that I rank as solid HOLD right now, I would not buy at this price but I believe it's dividend to be safe for right now. I may even sell if it appreciates a little more or I have a better opportunity, or feel the yield is in any jeopardy.
2) TAC, which I rate as a screaming buy right now. It does not seem to get much play in the U.S., maybe because it's primary operations are in the politically and socially unstable country of Canada (LOL) but it is diversified, over 100 years old, operates in Canada, the U.S. and Australia, three of the strongest economies around, is levered to future growth in British Columbia, AND pays a dividend of nearly 7%. (I have in fact been mulling over the idea of selling my OTTR shares and rolling them over into TAC...)

(I added this amount of detail as a reference for my point of view and also because I sense you may have a similar investment philosophy to myself.)
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