Portfolio Change – Consolidated Edison
With the news over the weekend of an impending two-year electric rate freeze for New Yorker’s and a three-year gas increase moratorium, I do not see any short-term catalysts for Consolidated Edison (NYSE: ED – $54.40) in the intermediate term and feel that there are better income opportunities elsewhere. Furthermore, I do not believe that utilities are the most favorable sector over the next year as interest rates move higher. Hence, I will take the 11% gain on the shares that also paid investors an additional 4.5% annual dividend over the years that ED was included in thebuttonwoodproject income portfolio. I will, however, maintain my position in the Select Sector SPDR Utilities ETF (NYSE: XLU – $37.63) for now. I will provide a replacement candidate for Con Ed over the next week.