Take AIM - Trading Update

Two days ago (Monday 5th August) I sold 30% of my holdings in Lloyds Banking Group for 76.43p, cementing a gain of around 146% on the initial average purchase price of 31p.
I've split the proceeds (unequally) between two new holdings: HSBC and Terrace Hill Homes.

The majority of the funds went into HSBC, I feel that this has taken some more risk off the table as they are unquestionably in a better position than Lloyds. They also have a forward dividend yield of 4.5% which further boosts the income stream of the portfolio. Furthermore they're trading on a forward PE ratio of 11 which I think represents good value.

The other new holding: AIM listed Terrace Hill Homes, represents a plunge back into the house building industry. They are trading well below a net asset value of about 29p per share and have a forward PE of about 6. Also trading conditions seem to be improving. This very cheap company should prove a good investment.

On Monday the rules changed allowing you to hold AIM shares within an ISA wrapper - previously they were ineligible. On that basis I was hoping to buy Terrace Hill using part of my ISA allowance. Unfortunately my ISA provider (HSBC) have not yet decided whether they intend to allow this on their system due to all the extra information requirements etc. This meant I had to buy them somewhere else which was a bit of a pain. If HSBC don't get their act together before next April I may look at moving elsewhere for next year's allocation.