My Top Oil Stock to Buy Right Now
Integrated energy giant ExxonMobil was my pick in the energy patch because of its low debt, high yield, and commitment to its dividend. And then a pandemic upended the supply/demand dynamics of the industry and sent oil company shares tumbling. With a roughly 50% paper loss, I chose to sell Exxon to offset capital gains I had in other areas of my portfolio. But I still wanted to stay invested in the energy patch. Here's the full story, and why I switched to a different oil company.
One of the funds I own is heavily invested in Tesla stock. In fact, that's an understatement -- Baron Partners Fund's top holding is Tesla, and it makes up nearly 40% of the portfolio. That's way too much exposure to the electric car maker for my taste, so I chose to sell half of my position in the fund and put that cash into Baron Asset Fund, which has a similar management style and zero exposure to Tesla. The problem with this risk-conscious allocation decision is that it left me with a sizable realized capital gain.
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Source Fool.com
