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Raytheon Company (RTN), Teva Pharmaceutical Industries Ltd (ADR) (TEVA), McDonald’s Corporation (MCD): This Strategy Survives Even When the Market Drops

If there’s a common theme that holds these five companies — and the other 16 currently in the portfolio — together, it’s that they earned their spots in the portfolio because they fit the overall strategy. Dividends, valuation, and diversification may not be rocket science, but it’s a strategy that has worked for generations and continues to work for the iPIG portfolio today.

And what of that iPIG portfolio?
As of last Friday’s close, the iPIG portfolio is still performing to expectations, with every selection’s dividend either in line with or ahead of where it was at the time it was picked. From a total return perspective, the portfolio has clocked 21.7% returns since its December 2012 inception, just about keeping pace with an S&P 500 index fund with the dividends taken as cash. Put it all together, and the iPIG portfolio finished the week looking like this:

Company Purchase Date No. of Shares Total Investment (including commissions) Current Value
Aug. 9, 2013
United Technologies 12/10/2012 18 $1,464.82 $1,901.16
Teva Pharmaceutical 12/12/2012 38 $1,519.40 $1,536.34
J.M. Smucker 12/13/2012 17 $1,483.45 $1,926.10
Genuine Parts 12/21/2012 23 $1,476.47 $1,899.34
Mine Safety Appliances 12/21/2012 36 $1,504.96 $1,919.16
Microsoft 12/26/2012 55 $1,499.15 $1,798.50
Hasbro 12/28/2012 43 $1,520.60 $1,976.28
NV Energy 12/31/2012 84 $1,504.72 $1,994.16
United Parcel Service 1/2/2013 20 $1,524.00 $1,756.20
Walgreen 1/4/2013 40 $1,501.80 $1,984.40
Texas Instruments 1/7/2013 47 $1,515.70 $1,869.66
Union Pacific 1/22/2013 6 $805.42 $958.74
CSX 1/22/2013 34 $712.50 $873.80
McDonald’s 1/24/2013 16 $1,499.64 $1,561.92
Becton, Dickinson 1/31/2013 18 $1,518.64 $1,798.92
AFLAC 2/5/2013 27 $1,466.35 $1,661.04
Air Products & Chemicals 2/11/2013 17 $1,510.99 $1,813.90
Raytheon 2/22/2013 27 $1,473.91 $2,078.46
Emerson Electric 4/3/2013 28 $1,548.12 $1,733.20
Wells Fargo 5/30/2013 37 $1,525.48 $1,599.51
Kinder Morgan 6/21/2013 42 $1,518.37 $1,579.20
Cash $285.86
Total Portfolio $36,505.85

Data from the iPIG portfolio brokerage account, as of Aug. 9, 2013.

The article This Strategy Survives Even When the Market Drops originally appeared on and is written by Chuck Saletta.

Fool contributor Chuck Saletta owns shares of Aflac, Texas Instruments, Microsoft, McDonald’s, Genuine Parts, United Technologies, Wells Fargo, Teva Pharmaceutical Industries, Emerson Electric Co., Becton Dickinson, Walgreen Company, Union Pacific, Hasbro, United Parcel Service, CSX, J.M. Smucker, Air Products & Chemicals, Mine Safety Appliances, Raytheon, Kinder Morgan, and NV Energy. The Motley Fool recommends Aflac, Becton Dickinson, Emerson Electric, Hasbro, Kinder Morgan, McDonald’s, Mine Safety Appliances, United Parcel Service, and Wells Fargo. The Motley Fool owns shares of Hasbro, Kinder Morgan, McDonald’s, Microsoft, Raytheon, and Wells Fargo.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

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