THREAD1/
January Investment Portfolio Review (as of close on 1/30)
5Y +235% // S&P500 +62%
3Y +200%
1Y +30%
YTD +29%
Largest Drawdown -39% (2019)
others who share: @ZimVC @David_Kretzmann @TMFStoffel @BrianFeroldi @FoolMCochrane @TMFInnovator @TMFSymington
January Investment Portfolio Review (as of close on 1/30)
5Y +235% // S&P500 +62%
3Y +200%
1Y +30%
YTD +29%
Largest Drawdown -39% (2019)
others who share: @ZimVC @David_Kretzmann @TMFStoffel @BrianFeroldi @FoolMCochrane @TMFInnovator @TMFSymington
2/ Top 5 holdings = 61%. This concentration can be risky, so plz don’t just follow. These 5 will drive most my portfolio performance.
Concentration is also what has provided outsized returns.
$AYX 23%
$DDOG 15%
$TTD 9%
$CRWD 9%
$ROKU 6%
Concentration is also what has provided outsized returns.
$AYX 23%
$DDOG 15%
$TTD 9%
$CRWD 9%
$ROKU 6%
I do use options a little. Bit. Here’s a break down of contribution by financial instrument:
Stocks 165%
Options 33%
📝 would probably be best just sticking to stocks but I find options interesting . Owning stocks also has the benefit of less tax implications (generally)
Stocks 165%
Options 33%
📝 would probably be best just sticking to stocks but I find options interesting . Owning stocks also has the benefit of less tax implications (generally)
Also, I short stocks from time to time. Small positions. Be very careful with this as it can really really destroy your future (financially)
As you can see, long positions far outweigh shorts, but overall shorts are profitable between stocks and options.
As you can see, long positions far outweigh shorts, but overall shorts are profitable between stocks and options.
Top 5 contributors to returns
$AYX, $MDB, $TTD $TWLO $AMZN
Bottom 5 $GILD (options) $KODK (short) $NFLX (option but this was part of a trade that was profitable) $PD and $NKTR
$AYX, $MDB, $TTD $TWLO $AMZN
Bottom 5 $GILD (options) $KODK (short) $NFLX (option but this was part of a trade that was profitable) $PD and $NKTR
Current portfolio (as of 1/31 close)
$522k long
$43k short
$5k cash
Mostly long Tech and consumer cyclicals. Mostly short consumer cyclicals and Tech.
These shorts are biz I believe will be impacted by the #coronavirus (travel/food/China dependent)
-Using small bit of margin
$522k long
$43k short
$5k cash
Mostly long Tech and consumer cyclicals. Mostly short consumer cyclicals and Tech.
These shorts are biz I believe will be impacted by the #coronavirus (travel/food/China dependent)
-Using small bit of margin
Takeaways.
1. Keeping it simple and investing in great companies is all we need to do.
2. I know the above is true but I still mess around with shorts/short term trades with a small %.
3. I know #2 is foolish
4. I do think Coronavirus will have a short term impact
1. Keeping it simple and investing in great companies is all we need to do.
2. I know the above is true but I still mess around with shorts/short term trades with a small %.
3. I know #2 is foolish
4. I do think Coronavirus will have a short term impact
How I think about portfolio construction.
Tiers of how much of my money I will invest.
High confidence: 10%
Medium: 5%
Low: 2.5%
I will then let winners run (how $AYX is 20%+ and trim down to 20% if they get around 25%.
Low tier could change quickly as I learn more
/fin
Tiers of how much of my money I will invest.
High confidence: 10%
Medium: 5%
Low: 2.5%
I will then let winners run (how $AYX is 20%+ and trim down to 20% if they get around 25%.
Low tier could change quickly as I learn more
/fin
One more. The money we have invested is money we won’t need for 3+ years. We are in our prime working years and contributing monthly to our portfolio. We also have low debt to income which allows us to look at our invested money through a very long term lense.
Okay last one for real. I’m very hesitant to share dollar values but I do because. 8 years ago I couldn’t imagine having a portfolio this large. We had $0 invested.
My wife and I both work middle income jobs, keep expenses low and save 30% of income (started at 5%)
My wife and I both work middle income jobs, keep expenses low and save 30% of income (started at 5%)
Okay last one x 3. I chose to invest in individual stocks and have been fortunate.
Starting with an index fund in a 401k with whatever % possible is great. As you get promotions save 50% of those and spend the rest.
This is the path to $1M+ over 20+yr based of historical data
Starting with an index fund in a 401k with whatever % possible is great. As you get promotions save 50% of those and spend the rest.
This is the path to $1M+ over 20+yr based of historical data
Previous monthly returns
