"Our holdings, which I always believe to be on the conservative side compared to general portfolios, tend to be more conservative as the general market level rises. At all times, I attempt to have a portion of our portfolio in securities at least partially insulated from the behavior of the market and this portion should increase as the market rises." -Warren Buffett
Buffett Partnership, Ltd. July 22, 1961. page 1.
Today we will be SELLING shares in the following holdings Avon (AVP), American National Insurance (ANAT) and Tootsie Roll (TR) at approximately 2:30pm EST.
We’re offsetting the gains from Avon (AVP) and American National Insurance (ANAT) with the losses of Tootsie Roll (TR). It should be noted that the losses of Tootsie Roll are significantly larger than the gains from AVP and ANAT. However, acknowledging our losses and taking reasonable action in a timely manner is a must. Additionally, we are taking the opportunity to exit out of undesirable investments and building cash holdings as we recommended in our October 15, 2011 posting.