Portfolio Eight Updated June 2020

Portfolio Eight is 4 1/2 years old.  The beneficiary contributed $2500 and the trustee $5000 for a total of $7500.  The current balance is $10,402 for a gain of $2902 or 38%, which is 11% / year adjusted for the timing of cash flows.  Go here for a summary or use the link.

We recently sold GM and are holding the cash to reinvest as part of our fall 2020 reinvestment.

Portfolio Seven Updated June 2020

Portfolio Seven is 4 1/2 years old.  The beneficiary contributed $2500 and the trustee $5000 for a total of $7500.  The current value is $10,040 for a gain of $2540 or 34%, which is 9.8% / year adjusted for the timing of cash flows.  You can see the summary here or at the link.

We recently sold GM and held the cash we will combine it with the 2020 contributions to buy larger stock positions (around $1000 / each).

Portfolio Update April 2020

The markets have moved up and down since the lows hit in March, 2020. The government has taken a number of moves to shore up the market, including reducing interest rates, back-stopping some industries, and even buying some corporate debt instruments and ETF’s. After some incredible moves up and down, the markets are back to about where they were at the end of Q3 2019.

Portfolio April 12, 2020
Portfolio April 12, 2020

Our stocks mostly went down with the overall market, although some performed better. Specific sectors, like energy and airlines, were particularly hard hit. The Coronavirus is making us reconsider our core assumptions in light of how the market has been performing recently. We may sell out of some sectors to avoid potential further declines.

Portfolio One:

  • Exxon Mobil (XOM) – while well run and with a good dividend, the energy sector is facing significant challenges with reduced oil prices and this stock has been stuck and declining for a decade.  Consider selling.
  • Toronto Dominion (TD) – this is a well run Canadian Bank with trading exposure.  However, banks face unknown challenges with debt defaults and trading commissions have recently evaporated.  Consider selling

Portfolio Four:

  • Oracle (ORCL) – Oracle is famous for being ruthlessly well run and has held up well in the market turmoil.  However, they piled on debt to keep up earnings per share through stock buybacks and are generally passed by in most areas of Technology.  Consider selling
  • Nucor (NUE) – A good company with a good dividend that hasn’t risen in many years even in a favorable regulatory environment.  Consider selling
  • Royal Dutch Sell (RDS.B) – large European oil & gas producer hit hard by oil price downturn.  Consider selling
  • Westpac Banking Group (WBK) – large Australian bank hit by recent market turmoil and other issues.  Has been stagnant or falling for many years.  Consider selling

Portfolio Five:

  • Baozun (BZUN) – Chinese e-commerce enabling company has been down for some time in terms of stock price.  Poised to be successful in future growth.  May want to consider selling
  • Canadian Imperial Bank of Commerce (CM) – Canadian bank with high dividend that has been down more than the market.  Consider selling
  • General Motors (GM) – US car maker hit by reduced demand for cars and fight with the president.  Consider selling
  • Siemens (SIEGY) – German industrial company that is spinning off components and hit with market events.  Consider selling.  May look at buying pieces of the company later post restructuring

Portfolio Six:

  • Baozun (BZUN) – Chinese e-commerce enabling company has been down for some time in terms of stock price.  Poised to be successful in future growth.  May want to consider selling
  • Royal Dutch Sell (RDS.B) – large European oil & gas producer hit hard by oil price downturn.  Consider selling
  • Exxon Mobil (XOM) – while well run and with a good dividend, the energy sector is facing significant challenges with reduced oil prices and this stock has been stuck and declining for a decade.  Consider selling

Portfolio Seven:

  • Baozun (BZUN) – Chinese e-commerce enabling company has been down for some time in terms of stock price.  Poised to be successful in future growth.  May want to consider selling
  • General Motors (GM) – US car maker hit by reduced demand for cars and fight with the president.  Consider selling

Portfolio Eight:

  • Baozun (BZUN) – Chinese e-commerce enabling company has been down for some time in terms of stock price.  Poised to be successful in future growth.  May want to consider selling
  • General Motors (GM) – US car maker hit by reduced demand for cars and fight with the president.  Consider selling

 

Portfolio Eight Updated February 2020

Portfolio Eight is 4 1/2 years old.  The beneficiary contributed $2500 and the trustee $5000 for a total of $7500.  The current value is $10,347 for a gain of $2906 which is 38%, or 11.1% / year when adjusted for the timing of cash flows.  See the detail here or at the link on the page.

In 2019 there were no sales for tax purposes and we had $91 in dividends.

Right now the portfolio is doing well.  There are 2 stocks to keep an eye on:

  • Baozun (BZUN) – Chinese e-commerce company seems well run but has been hit by Chinese events
  • General Motors (GM) – world wide iconic car maker has a good dividend but has been hit by recent events in China.  They have also been making pre-emptive efforts to cut costs

 

Portfolio Seven Updated February 2020

Portfolio seven is 4 1/2 years old.  The beneficiary contributed $2500 and the trustee $5000 for a total of $7500.  The current value is $10,955 for a gain of $3455 or 46% which is 12.9% / year when adjusted for the timing of cash flows.  You can see the detail here or at the link on the page.

During 2019 we did not have any sales for tax purposes, but we did have about $107 in dividends.

Right now the portfolio is doing well.  There are 2 stocks to keep an eye on:

  • Baozun (BZUN) – Chinese e-commerce company seems well run but has been hit by Chinese events
  • General Motors (GM) – world wide iconic car maker has a good dividend but has been hit by recent events in China.  They have also been making pre-emptive efforts to cut costs

 

Portfolio Five Updated February 2020

Portfolio 5 is 10 1/2 years old.  The beneficiary contributed $5500 and the trustee $11,000 for a total of $16,500.  The current value is $22,877 for a gain of $6377 or 39% which is 5.3% / year adjusted for the timing of cash flows.  Go here for details or to the links on the page.

In 2019 we had 3 sales for a long term loss of -$430 and $367 in dividends.

Right now we have a few stocks we are looking at:

  • Baozun (BZUN) – Chinese e-commerce enabling firm keeps getting hit by headwinds.  Well run but may sell
  • General Motors (GM) – hit by labor unrest and now Chinese issues.  Holding up OK.

Portfolio Eight Updated December 2019

Portfolio 8 is a bit over 4 years old.  The beneficiary contributed $2500 and the trustee $5000 for a total of $7500.  The current value is $9,557 for a gain of $2,057 or 27%, or 8.2% / year when adjusted or the timing of cash flows.  You can see the summary here or at the link on the right.

The portfolio holds 9 stocks.  The biggest winner is Mastercard (MA) and the others have been doing OK.  General Motors (GM) and Baozun (BZUN) are down a bit overall.

Portfolio Eight Updated July 2019

Portfolio Eight is almost 4 years old.  The beneficiary contributed $2000 and the trustee $4000 for a total of $6000.  Current value is $7278 for a gain of $1278 or 21%, which is about 7.8% / year across the life of the fund.  See here for details or go to the link on the right.  We will look into selling General Motors (GM), Baozun (BZUN) and Nvidia (NVDA) this summer before buying additional stocks.

Portfolio Seven Updated May 2019

Portfolio Seven is almost 4 years old.  The beneficiary contributed $2000 and the trustee $4000 for a total of $6000.  Current value is $7846 for a gain of $1846 or 30%, which is about 11% / year over the life of the fund.  See here for details or at the link on the right.  We will look at whether or not to sell General Motors (GM) and Baozun (BZUN) before buying new stocks in the summer.

Portfolio Five Updated May 2019

Portfolio Five is almost 10 years old.  The beneficiary contributed $5000 and the trustee $10,000 for a total of $15,000.  The current value is $18,510 for a gain of $3,510 or 23% which is 23.8% adjusted for the timing of cash flows.  You can see details here or on the link on the right.

Prior to making purchases in the summer of 2019 we will look at selling Baozun (BZUN), General Motors (GM), Gilead Sciences (GILD), Juniper Networks (JNPR), and Baidu (BIDU).

Stocks on Watch, Summer 2019

As part of our investing round for the summer of 2019, we are looking at stocks to consider selling. The following stocks are on that list:

  • Baidu (BIDU) – they recently had their first loss and are way down
  • Baozun (BZUN) – stock performance far down, likely impacted by China / US trade disputes
  • Electronic Arts (EA) – far down with recent low performing franchise entries and hit by rise of Fortnite and mobile gaming
  • Gilead (GILD) – has not moved in years
  • General Motors (GM) – at risk with China / US trade disputes, automotive is a cyclical industry
  • Juniper (JNPR) – just kind of there, not growing, haven’t been taken over yet
  • Nvidia (NVDA) – went from huge growth to little / no growth
  • Smart Global Holdings (SGH) – missed earnings and hit hard
  • Equinor (EQNR) – formerly Statoil. Not moving much in years

In general will look to consolidate down the total # of stocks in the portfolio and will want to re-buy from the 2019 purchase list (to come) which will also include some stocks already in the one of the 8 existing portfolios.

Portfolio Eight Updated December 2018

Portfolio Eight is three years old.  The beneficiary contributed $2000 and the trustee $4000 for a total of $6000.  Current value is $6359 for a gain of $359 or 6%, which is about 2.3% / year across the life of the fund.  See here for details or go to the link on the right.

Some stocks are on watch:

  • Baozun (BZUN) – a Chinese e-commerce enablement fun has gone down recently tied to a slow down in growth for China overall.   On watch
  • General Motors (GM) – has fallen about 20% recently and taken hard steps including layoffs to get ahead of slowing car demand
  • Nvidia (NVDA) – another former high flyer, this chip maker was buoyed by crypto mining and is down about 50% off its 52 week high, although it still has strong cash flow.  Will watch, may sell

Portfolio Seven Updated December 2018

Portfolio Seven is three years old.  The beneficiary contributed $2000 and the trustee $4000 for a total of $6000.  Current value is $7000 for a gain of $1000 or 17%, which is about 6.2% / year over the life of the fund.  See here for details or at the link on the right.

We have some stocks on watch:

  • Baozun (BZUN) – a Chinese e-commerce enablement fun has gone down recently tied to a slow down in growth for China overall.   On watch
  • General Motors (GM) – has fallen about 20% recently and taken hard steps including layoffs to get ahead of slowing car demand
  • Alibaba (BABA) – at about 70% of its 52 week peak, has been hit by slow down in China and also a possible previous over-valuation in software stocks

Portfolio Five Updated December 2018

Portfolio Five is 9 years old.  The beneficiary contributed $5000 and the trustee $10,000 for a total of $15,000.  The current value is $17,439 for a gain of $2,439 or 16% which is 2.7% adjusted for the timing of cash flows.  You can see details here or on the link on the right.

With the recent market performance we have several stocks on watch:

  • Alibaba (BABA) – at about 70% of its 52 week peak, has been hit by slow down in China and also a possible previous over-valuation in software stocks
  • Baozun (BZUN) – a Chinese e-commerce enablement fun has gone down recently tied to a slow down in growth for China overall.   On watch
  • Baidu (BIDU) – another Chinese internet company down about 30% off its peak.  Will watch like Alibaba, above
  • General Motors (GM) – has fallen about 20% recently and taken hard steps including layoffs to get ahead of slowing car demand

Potential Stock Sales for August 2018

Here are the potential stock sales by portfolio:

Portfolio 8K

  • GM – consider selling
  • BZUN

Portfolio 7G

  • GM – consider selling
  • BZUN

Portfolio 6

  • ESLT
  • BZUN
  • BIDU

Portfolio 5D

  • BZUN
  • GM – consider selling 
  • BUD – recommend selling (not growing) (SOLD)
  • BIDU

Portfolio 4M

  • TSLA – recommend selling (a media circus) (SOLD)
  • ABB
  • ESLT

Portfolio 3

  • ABB
  • DWDP – recommend selling (will split into multiple companies) (SOLD)
  • BIDU
  • ESLT
  • WMT (SOLD)

Portfolio 1 and 2 – None