Franklin Sector BPI Portfolio Review: 3 September 2025

Another Cruise In car.

In keeping with the conservative position I added another 12 shares of SHV to the Franklin portfolio.  Since no sectors are oversold something needs to be done with available cash that comes in from dividends and new cash.  Should we see a market draw-down of 10% or more, I plan to sell shares of SHV and begin adding shares of VOO.  This could happen in either the third quarter or more likely in the fourth quarter.  I’ll let the numbers call the shots.  We may not see a correction or worse.

Franklin Security Holdings

Below are the current holdings for the Franklin.  The plan is to hold on to the ten (10) shares of VOO and wait for buying opportunities when it comes to the eleven sectors.  SHV is a holding position as it earns more interest vs. keep this money in a money market.

Franklin Performance Data

Since 12/31/2021 the Franklin has outperformed the AOR benchmark, but is behind all three four (VTI, VT, SPY, & ESG) equity oriented benchmarks.  This type of performance is expected when one takes a very conservative tack.

Franklin Risk Ratios

Where are we when risk enters the investment equation?  Pay most attention to the August data.  The least important ratio, the Treynor, showed improvement.  This is not unexpected when the portfolio is besting the benchmark and the portfolio beta is extremely low.  In the case of the Franklin the beta is currently 0.18.

All other risk measurements dipped this last month, but are above the September values of 2024.  The increase in the Sortino Ratio over the past year indicates the portfolio is more valuable today compared to a year ago.

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