Keystone Sells Over 95% of TD Bank Holdings

Ah, dear readers, allow me to bring forth an episode worthy of the grand stage-a tale not of deceit nor folly, but rather of calculated retreat, as Keystone Financial Planning, with a flourish not unlike the parting of a fine silk curtain, announced the divestiture of over ninety-five percent of its holdings in Toronto-Dominion Bank (TD). A move so strategic, so precise, one could almost imagine the bank’s shares tumbling like actors tripping upon their entrances.

What Happened, You Ask?

On the seventh day of October, 2025, an SEC filing-more cryptic than a jester’s riddle-revealed that Keystone had sold the majority of its once-coveted shares in TD Bank, reducing its stake from a robust 118,799 shares (valued at a staggering $8.7 million) to a mere 4,104 shares, barely worth the princely sum of $328,000. A sum that, when compared to their former holdings, appears as fleeting as a daydream in the marketplace of ambition.

What Else to Know

The dance of the numbers continues, as the fund’s remaining TD stake now represents a humble 0.1% of its 13F reportable assets, as of the 30th of September, 2025. The curtain, it seems, falls swiftly on what once appeared to be the company’s prized jewel.

The performance of Keystone’s portfolio, however, reveals a more diverse cast of characters:

Schwab U.S. Dividend Equity ETF (SCHD +0.30%): $167.92 million (48.8% of AUM)
Microsoft (MSFT +0.17%): $13.92 million (4.1% of AUM)
Chevron (CVX 0.45%): $12.19 million (3.5% of AUM)
U.S. Bancorp (USB +1.08%): $11.00 million (3.2% of AUM)
Verizon Communications (VZ 1.23%): $10.75 million (3.1% of AUM)

And as of October 7, 2025, we see that the shares of TD Bank are priced at $80.91, up 26.82% year-on-year, as if the company’s fortunes had begun to recover after a dramatic fall from grace. One might say it is a tale of redemption worthy of the finest stage productions, but I digress.

The Company at a Glance

Metric	Value
Revenue (TTM)	$63.44 billion (CAD)
Net Income (TTM)	$20.89 billion (CAD)
Dividend Yield (as of market close 2025-21-07)	3.75%
Price (as of market close 2025-10-07)	$80.91

The Tale of Toronto-Dominion Bank

Ah, the Toronto-Dominion Bank, a creature of complexity and grandeur, operating on both sides of the border-Canada and the United States. Its financial products range from humble checking accounts to the lofty heights of capital market solutions, a true representation of an integrated business model, or, dare I say, a well-dressed merchant hawking everything under the sun. With branches aplenty and a growing digital presence, one might wonder if TD Bank is spreading itself too thin, like a nobleman dabbling in too many court intrigues.

Let us not forget, however, the tale of woe that haunted the bank in the recent past: fines, troubles, and regulatory pressures. Oh, what a sad comedy it was when the institution was saddled with a $3 billion fine for failing to prevent the unsavory business of money laundering. Yet, a phoenix rises from the ashes, and now, under the direction of a new CEO, Raymond Chun, TD Bank seems to be setting its troubled past behind, much like a gentleman distancing himself from his unruly relatives.

The Foolish Take

One might assume that Keystone’s decision to divest itself of such a significant holding is a commentary on the bank’s prospects, but is it truly so simple? After all, one need not look far to see that Keystone has increased its exposure to other financial stalwarts, such as the Bank of Nova Scotia and U.S. Bancorp. It seems that Keystone, ever cautious and risk-averse, preferred to retreat from TD Bank, which, although regaining some ground, no longer aligned with the fund’s refined sensibilities.

Perhaps it is simply that Keystone, whose holdings in Schwab U.S. Dividend Equity ETF reveal a certain prudence, saw this as the ideal moment to exit a position no longer fitting its lofty standards. Who can say what drives a fund’s decisions, but as a value investor, I would suggest that such movements are often dictated by factors far subtler than mere market fluctuations.

Glossary

AUM: Assets Under Management; the total market value of investments managed by a fund or firm.
13F reportable assets: Securities that investment managers must disclose in quarterly SEC Form 13F filings.
Alpha: A measure of an investment’s performance compared to a benchmark, showing value added or subtracted by active management.
Dividend Yield: Annual dividends paid by a company as a percentage of its share price.
Quarterly average price: The average closing price of a security over a specific quarter.
Stake: The ownership interest or amount of shares held in a company by an investor or fund.
Top holdings: The largest investments within a fund or portfolio, typically ranked by value.
Integrated business model: A company structure combining multiple services or operations to create efficiencies and serve diverse customer needs.
Retail footprint: The presence and reach of a company’s physical branches or locations serving individual customers.
Capital markets solutions: Services related to raising capital, trading securities, and financial advisory for corporations and institutions.
TTM: The 12-month period ending with the most recent quarterly report.

Alas, the game of finance is afoot, and one must always be alert to the shifts of fortune. Let us watch with bated breath and sober minds, for this act, like many before it, may yet see unexpected reversals. 🎭

2025-10-22 07:33