Balancing Legal & General PLC and Purchase Averaging Down Taubman Centers

Today I sold 280 out of the 650 shares Legal & General I owned. This is balance this position in my portfolio as the weight of this position got relatively big due to recent price increases.

I purchased my 650 shares Legal & General Plc at the end of August for a price of GBX 219,60. I now sold part of my position for GBX 318,50. This is an increase of 45%. GBP/EUR exchange rate resulted in another 9% profit.

When I started this position the yield of Legal & General Plc was 7,57%. Against the current stock price the yield is 5,83%. For me a reason to balance this position back to it’s original value.

By selling 280 shares my yearly estimated dividend income decreases by GBP 46,90 / €56,10.

With the proceeds from the sold Legal & General Plc shares I doubled my position in Taubman Centers by purchasing 35 shares at a price of $29,98.

Where I was very lucky in the timing of my Legal & General purchase, my timing of buying Taubman Centers was simply unlucky. End July I purchased 35 shares with an average purchase price of $40,78. Today i doubled my position against a 26,5% lower price.

As a result of doubling down the average purchase price of my position in Taubman of 70 shares declined from $40,78 to $35,38.

By adding 35 shares Taubman my yearly estimated dividend income based on the current dividend will increase by $94,50 / €84,82.