as EU is going to push 5% coming years, i'll be adding to my new buy
targetting 5% of total portfolio size
Posts
21...after everything here is full of Novo and I really hit the jackpot at the ATH (buy price around 115€...), I have a new entry in the pharma / medical sector :)
My investment strategy is generally "long" and the savings plans have also been adjusted:
So total investment per month is 1680€ / savings rate per month.
Apart from that, I still hold around 5k in cash at the moment (watchlist is filled with Google and various other stocks).
I would be happy to receive feedback and wish you a nice weekend :)
LG
Minimizing the US cluster risk is currently a major topic for investors. It is perhaps even THE topic since the second Trump administration has been throwing tariffs and isolationist positions around.
As part of an incipient reallocation in the portfolio $DFEN (-1.61%) and $ASWC (-1.76%) recently, but was bothered by the high proportion of US shares and the heavy weighting of Blackbox $PLTR (+2.2%) among others.
Today I stumbled across the recently launched ETF from WisdomTree, which compiles purely European defense companies: $IE0002Y8CX98 (-1.41%)
Some quick raw data:
Listed for the first time on 3/4/2025
TER: 0.4% p.a.
Physical
Accumulating
WKN: A40Y9K
IE0002Y8CX98
Largest positions:
Rheinmetall (approx. 20%) $RHM (-2.21%) 🇩🇪
Leonardo (approx. 15%) $LDO (-0.1%) 🇮🇹
Saab (approx. 10%) $SAAB B (-2.17%) 🇸🇪
BAE (approx. 10%) $BAE (+0%) 🇬🇧
Thales (approx. 9%) $THALES (+1.46%) 🇫🇷
This investor will reallocate a little. He is not giving investment advice, but rather enjoying the diversity of Europe. 🇪🇺
Sources:
https://www.wisdomtree.eu/en-gb/etfs/thematic/wdef---wisdomtree-europe-defence-ucits-etf---eur-acc
https://www.wisdomtree.eu/en-gb/strategies/european-defence
https://www.justetf.com/de/etf-profile.html?isin=IE0002Y8CX98#chart
Hello everyone, the last few days there has been a lot of talk here about the new European Defense ETF. Now the Rheinmetall CEO is talking about the fact that the US defense industry is indispensable.
$RHM (-2.21%)
$IE0002Y8CX98 (-1.41%)
$DFEN (-1.61%)
According to Papperger, CEO of Rheinmetall, Europe cannot currently replace the USA in the defense sector. Papperger spoke out in favor of continuing the transatlantic partnership in the field of armaments as well.
13.03.2025
Speaking on Deutschlandfunk radio, the Rheinmetall CEO said that the USA has very special technologies in the field of weapons technology that Europe does not have at the moment. Complete independence from the USA would cost Europe a great deal. He did not believe that politicians wanted that. Papperger advocated seeking talks with US President Trump. He asked: "Do we really want to destroy the transatlantic partnership?" That is not possible. The USA is currently the leading nation in the world and we need to find sensible ways of dealing with it.
Turnover up 36 percent, profit increases by 61 percent
Rheinmetall manufactures tanks, artillery, military trucks, air defense systems, drones and ammunition. The company now generates 80 percent of its consolidated sales with military goods; business as an automotive supplier is becoming less important. The Group presented its corporate figures for the past year yesterday in Düsseldorf. According to the figures, turnover increased by 36 percent to around 9.8 billion euros. Profits increased by 61 percent to around 1.5 billion euros, the highest level in the company's history.
Hello everyone, over the last few days I have been wondering which company could benefit the most from the enormous investments in armaments. Which company is still reasonably fairly valued and where might it still be worth entering?
However, as I have realized that there is not just one company, the question arises as to whether I should add the whole bouquet to my portfolio.
In my search for the bouquet, I looked for an index. And I came across the
MarketVector Global Defense Industry Index
came across. The MarketVector Global Defense Industry Index provides access to companies worldwide that are active in the military or defense industry.
During my further research, I then came across the
VanEck Defense UCITS ETF A. $DFEN (-1.61%) I came across the VanEck Defense UCITS ETF A.
The VanEck Defense UCITS ETF A is the only ETF that replicates the MarketVector Global Defense Industry Index. The ETF replicates the performance of the index through full replication (purchase of all index components). The dividend income in the ETF is accumulated (reinvested in the ETF).
The VanEck Defense UCITS ETF A is a very large ETF with a fund volume of EUR 2,979 million. The ETF was launched in Ireland on March 31, 2023.
Now my question would be to the ETF experts in the community.
What do you think of this ETF?
The TER (total expense ratio) of the ETF is 0.55% p.a. Is it worth these costs, there are also cheaper defense ETFs.
USA 59.33%
France 10.60%
Italy 6.84%
South Korea 4.95%
Israel 4.10%
Singapore 3.22%
Great Britain 3.05
Germany 1.09%
Other countries
The high proportion of US companies could be a disadvantage. However, when I look at the US companies, I see less of a disadvantage.
With 8.53% Palantir, the ETF offers a good opportunity to continue playing the hand and minimize the risk of the high valuation a little.
Palantir Technologies, Inc. 8.53%
Thales SA 8.07%
Booz Allen Hamilton Hldg 7.80%
Leidos Holdings 7.68%
Leonardo SpA 6.84%
Curtiss-Wright 6.78%
BWX Technologies 5.13%
CACI International 4.28%
Elbit Systems 4.10%
SAAB 3.84
The US stocks may even have an advantage now, because they have taken a beating in recent weeks. And should now slowly start to pick up again. As you can already see today
$CACI (-1.26%) and $BAH (-0.51%) recognizable today.
@Memo0606 Perhaps an alternative to Caci!
Furthermore, I still see potential in European stocks. Because Europeans want to pick these companies and it has only just begun.
I also like the fact that through the ETF you can invest in
HANWHA AEROSPA.CO (South Korea)
because unfortunately this is difficult as an individual investment.
Overview of returns
Current year +15.66%
1 month +7.15%
3 months +12.64%
6 months +37.51%
1 year +45.26%
3 years -
5 years -
Since inception (MAX) +117.66%
2024 +52,70%
Please tell me your opinion on my thesis, I look forward to your comments.
https://www.justetf.com/de/etf-profile.html?isin=IE000YYE6WK5
A little update on current events: I took a look at the largest defense companies in Europe and thought it might be of interest to you.
So here's a brief overview of the ten most important players - with a few basics about the companies, their figures (turnover, valuation, etc.) and an assessment of how much potential they still have.
These companies are currently the focus of the armaments boom and are very popular with many investors.
➡️ BAE Systems (UK) $BA. (-3.85%) - British defense technology
📈 Rating:
BAE Systems appears to be fairly valued at the current fairly valued to slightly favorable. The P/E ratio in the low 20s already reflects good business figures, but is in line with the industry as a whole
In view of rising defense spending and a solid order situation, moderate growth is expected, which underpins the valuation. The share is therefore considered neither highly overpriced nor a bargain - with slight upside potential. upside potential thanks to sustained demand in the defense sector.
➡️ Airbus (Defense & Space, EU)
$AIR (+2.14%) - European aerospace group
📈 Valuation:
Airbus is primarily rated as fair to slightly fair to slightly demanding valuation is seen as fair to slightly demanding. The high current P/E ratio ~31 reflects pandemic-related earnings weakness, but should fall significantly in 2025.
At a P/E ratio of ~1.8, the sales valuation is moderate. As production and profits are likely to increase in the coming years, the share appears reasonably valued. Greater share price potential depends on growth (e.g. higher jet deliveries); if this is successfully realized, the valuation could prove to be justified be justified.
➡️ Leonardo S.p.A. (Italy)
$LDO (-0.1%) - Italian defense and aerospace group
📈 Valuation:
Leonardo appears favorably valued compared to the industry favorably to fairly valued. With a P/E ratio of around 20 and a P/E ratio of ~1.3, the valuation is below that of many Western European peers. The low dividend yield reflects a strategy focused more on reinvestment.
In view of double-digit growth (share price +~100 % YoY), there could still be upside potential upside potential if margins continue to rise. Overall, the moderate valuation level suggests that Leonardo is rather slightly undervalued provided that growth in defense electronics and aerospace continues.
➡️ Thales S.A. (France) $THALES (+1.46%) - Defense Electronics, Aeronautics & Security
📈Valuation:
With a P/E ratio close to 28, Thales is listed at the upper end of the industry scale, but this is partly justified by the stable earnings situation and growth in the civil electronics business. The P/E ratio of ~2 signals that investors are paying slightly more for sales than for pure defense companies - a premium for the profitable cyber/digital business. Overall, the share appears fairly valuedalthough not cheap.
Since Thales, as a broad-based technology group, is benefiting from rising defense budgets, the current valuation seems justifiable; there is further growth potential. growth potential growth potential exists, but larger share price gains are likely to be linked to higher-than-expected earnings growth.
➡️ Rheinmetall AG (Germany)
$RHM (-2.21%) - Vehicle and weapon systems, ammunition
📈Valuation:
After the rapid rise in the share price, Rheinmetall appears very ambitiously valued. Although the current P/E ratio (>75) is not very meaningful due to extraordinary costs, even the forward P/E ratio of around 52 signals high expectations
The low dividend yield and P/E ratio of ~5 underline that the share is already anticipating a major future jump in sales and earnings. If Rheinmetall achieves its optimistic growth targets (keyword: special assets of the German armed forces, NATO orders), the key figures could fall in the future. Until then, however, the share is considered overvalued - Investors are paying a high price for the growth potential. The upside potential is therefore subject to risks; setbacks in major orders could lead to corrections.
➡️ Dassault Aviation (France) $DAU - Fighter aircraft (Rafale) & business jets
📈Valuation:
Dassault Aviation appears to be moderately valued. The current P/E ratio of ~24 is in the mid-range and the company has little debt, which puts the higher P/E ratio (~3.8) into perspective. Investors are paying a premium for the high net cash position and future major orders (fighter jets).
Overall, the share is considered fairly valued - neither obviously undervalued nor too expensive. In view of the stable margins and special role (high-end military aircraft), a slightly higher sales multiple is justifiable. The growth potential (e.g. through defense projects and new Falcon business jets) could provide medium-term share price momentum without the valuation getting out of hand.
➡️ Saab AB (Sweden)
$SAAB B (-2.17%) - Defense systems, aircraft (Gripen) & security
📈Valuation:
Saab is currently quite highly valuedwhich reflects the future opportunities. A P/E ratio of ~41 is above average for defense companies and signals that current profits are (still) low - in fact, Saab invests heavily in development, which squeezes margins. The price/sales ratio of ~2.7, on the other hand, is roughly comparable with other aerospace companies. Should the envisaged double-digit growth materialize and profitability increase, the valuation will be put into perspective (forward P/E ~32).
However, the company is currently paying an advance on future profits, so that Saab is rather slightly overvalued is slightly overvalued. The growth potential (in particular through higher defence spending in Scandinavia and new Gripen export orders) is high - if it is realized, the valuation should return to a normal range in a few years.
➡️ Rolls-Royce Holdings (UK) $RR. (+2.88%) - Engines for civil aviation & military, energy
📈Valuation:
After the share price multiplier in 2023 (share price +~245 % in 2023), Rolls-Royce is now no longer clearly undervalued. The P/E ratio of ~25 looks moderate, but it should be borne in mind that this is based on the recently positive earnings - margins are still low.
The sales valuation at approx. 3.3 times sales is in the midfield between classic defense and civil aircraft manufacturers. Without a dividend and with a debt burden, Rolls must first prove that the turnaround is sustainable. Overall, the share is currently fair to slightly overvalued as there is a lot of future potential (e.g. new generations of engines, small modular reactors) in the share price. If the hoped-for jump in profits is achieved in the next few years, Rolls-Royce could catch up further - however, the current upside potential is rather limited. limitedas long as tangible results are awaited.
➡️ Safran S.A. (France)
$SAF (+1.17%) - Engines (e.g. CFM), aviation supplier
📈Valuation:
Safran appears distorted by the disclosure of a loss (negative TTM P/E ratio), in fact the share is highly valued on the basis of the underlying earnings power. A forward P/E ratio of over 30 and P/E ratio close to 4 are well above the sector average, which anticipates the market position and growth opportunities (increasing aircraft production, maintenance business). The dividend yield is relatively low at <2%.
Overall, Safran is probably rather overvalued investors are paying a premium for quality and market position. The growth potential (recovery in aviation, new engine programs) does exist, but is largely priced into the share price. Setbacks could ease the valuation somewhat; in the long term, however, Safran remains an expensive but very solid value.
➡️ Hensoldt AG (Germany) $HAG (-3.21%) - Specialist for sensor and radar technology
📈Valuation:
After a sharp rise in the share price, Hensoldt is clearly expensive. The current P/E ratio is hardly reasonable (triple-digit due to special effects in the balance sheet); even on a forward basis, it is in the high 30s, which is high even for high-growth tech stocks.
Investors are therefore paying in advance for expected future profits. The KUV ~3 reflects the enormous sales growth, but is not low for a defense electronics specialist. The low dividend yield shows that profits are being retained. Overall, the share seems overvalued - the high momentum (+54 % last year) already largely prices in future growth. Although Hensoldt has excellent growth prospects (digitization of defence, networking), but these would first have to translate into significantly higher profits to justify the current valuation. An entry is therefore considered speculative, as setbacks are possible if expectations are not met.
👉 Conclusion:
Europe's largest defense companies are benefiting from the rearmament cycle, which is reflected in higher valuations in some cases. Undervalued Leonardo appears undervalued in this group (thanks to more favorable ratios), while established companies such as BAE, Airbus, Thales and Dassault are largely fairly valued. fairly valued appear to be fairly valued.
Stocks with a turnaround character (Rolls-Royce) or a high future share (Rheinmetall, Hensoldt, Safran, Saab) show higher multiples and tend to be considered overvalued. overvaluedas a lot of growth is anticipated.
The growth potential is high across the industry - higher defense budgets, technology purchases and retrofitting requirements are keeping order books full. The decisive factor for further share price increases will be whether companies can translate these growth opportunities into rising profits in order to put the ambitious valuations into perspective.
What do we think of some defense ETF's guys?
Like $ARMR and $DFEN (-1.61%) surely they could yield some good returns for the coming years, with all the 100's of billions that are being spend on defense.
Hey everyone! After seeing so many portfolio presentations, I decided to share mine today, following the advice of @DonkeyInvestor (link here)! 🚀
1. Investment horizon and goals
I am Belgian guy of 30 years old, already own an apartment, and have a mortgage to repay. I have been investing sporadically since I was 18, but I really started actively managing my investments in March 2024.
My main goal is to maximize my savings, with the flexibility to either buy a house in the future or allocate funds to another project. Because of this, my investment horizon is flexible but at least 5 years.
I then plan to keep investing long-term and see if this could help me achieve a certain level of financial independence. To be honest, in a rational (but admittedly a bit morbid) way, the inheritance I will receive one day could contribute to that goal—although I am not at all counting on it as a part of my strategy.
2. My strategy and how I intend to achieve my goals
A. Introduction
I already have an emergency fund covering six months of expenses, which gives me peace of mind and allows me to invest without short-term financial stress.
My job enables me to invest at save (for investment) €1,500 per month. Any bonus or additional income is either added to my investments, used to replenish my emergency fund, or allocated to vacations and other expenses.
Additionally, I have around €25,000 from selling mutual funds I purchased in my younger years. This gives me flexibility to pick individual stocks or invest in crypto when I see an opportunity.
B. Investment Strategy & Asset Allocation 🎯
I invest around €2,300 per month in a DCA approach in various ETFs. Then I invest in stock or crypto when I see an opportunity.
My goal is to build by end 2025 a portfolio with the following allocation:
C. Diversification & Experimentation 🎢
Within my ETF allocation, I allow myself to include thematic or higher-risk ETFs instead of only focusing on broad market indices.
I fully understand that this approach is not the most straightforward or simplest way to invest (see point 3). However, at this stage, I want to "have fun" with investing, testing stock picking and specific ETFs. Over time, I will assess whether this was a good decision and adjust if necessary (see point 4).
D. Risk-Taking & Adaptability 🔄
Since I am still young, I am willing to take on more risk, fully aware that I could also lose money. As I gain experience and see the performance of my portfolio, I will adapt my strategy if needed (again point 4).
3. My choice for the stocks in my portfolio
A. ETFs
After experimenting with different allocations, I’ve decided to aim for the following ETF distribution by the end of 2025 (as a percentage of my total portfolio, so including stock and crypto):
B. Stocks
Like most of you, I love tech 😄, so a significant part of my individual stock portfolio is centered around it. I generally invest €2,000 per stock, sometimes in one go, sometimes split across multiple entries.
C. Crypto
I chose Bitcoin mainly due to its volatility and the potential for "easy profits". I initially invested in July and, seeing Trump getting closer to the White House, I decided to increase my position, anticipating potential market movements linked to his policies and the broader macroeconomic environment. For now, I’m sticking to Bitcoin but might explore XRP and other assets in the future.
4. Insight into how I plan to further expand your portfolio
Based on my calculations, I should reach €100,000 invested by late 2025 or early 2026. My plan is to keep investing consistently to get closer to the allocation I outlined earlier.
A. Expanding My Stock Portfolio 📈
I plan to maybe reinforce some existing positions but overall exploring new opportunities. Some stocks I’m considering include:
B. Crypto
For Bitcoin, I keep things simple: I invest €100 whenever I see a dip (sometimes multiple times per day or week), staying patient and accumulating over time. I’m curious to hear your views on where Bitcoin is headed.
C. Reviewing My Strategy in Late 2025 🔍
D. Managing My Biggest Concern – US Exposure 🇺🇸
One of my main concerns is my heavy exposure to the US market, both through ETFs and stocks. However, given the current global economic landscape, it seems difficult to do otherwise while aiming for maximum returns.
For now, I’ll keep an eye on opportunities to diversify while ensuring that my investments remain aligned with my long-term strategy.
5. What I don’t want in my portfolio
I believe that investing inherently carries a level of amorality, especially when investing in broad-market ETFs that include a wide range of companies (but everyone has their own ethical perspective—let’s not start a debate on that! 😄).
That being said, I personally choose not to invest directly in companies involved in alcohol or tobacco. It’s a personal preference.
6. Conclusion 🎯
That’s it for this deep dive into my portfolio and a summary of my thoughts since May 2024, as well as since I started reading your posts in August.
Thanks for all the insightful discussions and shared knowledge—this is an amazing community, and I really appreciate the posts I read since August!
Have a great weekend and thanks you so much for reading so far!
Regards,
A Belgian investor
I've finally managed to convince my parents that it's time to dive into the stock market and start investing regularly. As of March, I have a monthly budget of €538 (mini-job), which I will invest in various ETFs and shares to build up a broadly diversified portfolio to have a good buffer after graduating from high school.
My plan:
1. core/buffer (70%)
The majority of my budget goes into broad and stable ETFs that offer broad diversification:
$IWDA (+0.76%) (200 €): This is my basic ETF that covers companies from the largest and developed markets. It offers a stable and long-term source of growth.
$CSNDX (+1.17%) (100 €): This ETF focuses on technology companies that are likely to continue to grow strongly over the next few years.
$XMME (+2.19%) (75 €): I also want to invest in emerging markets such as China, India and Brazil to benefit from the momentum in these regions.
2. theme-specific ETFs (20%)
Here I focus on promising themes and markets:
$DFEN (-1.61%) (50 €): An ETF that invests in the defense industry, a sector that could continue to grow in the coming years.
$INRG (+1.96%) (50 €): Sustainability and the energy transition are important . I would therefore like to invest in renewable energies in order to benefit from green energy.
3. individual shares (10%)
I want to supplement my portfolio with individual stocks that have the potential for strong growth.
~60€ left for:
E.g
I'm delighted that I can finally start investing and I'm excited to see how my portfolio will develop over the next few years!
Any ideas for improvement or tips? Keep them coming 👀
I just closed my entire $DFEN (-1.61%) position after a very good ride last year, switching it with the new $IVDF (-0.35%) because the VanEck ETF is currently too exposed to $PLTR (+2.2%) and with this structure it does not help me in my portfolio diversification (that is mainly tech, but I also believe that Palantir may not offer good earnings in 2025), while the new Invesco $IVDF (-0.35%) has a very cool and balanced composition ($RKLB (+0.53%)
$KTOS (-6.47%)
$AVAV (-2.57%)
$LDOS (+0.5%) to name few) and also a much lower TER.
From my point of view this is the best ETF for anyone looking to invest in the Defence sector at the moment (and I also had been invested on $ASWC (-1.76%) last year, then I decided to go completely on $DFEN (-1.61%) until today).
NOT FINANCIAL ADVICE!!! 👀
Hello Community,
I am hesitating between two defense ETFs and would like to hear your opinions. Specifically, it is about the VanEck Defense ETF ($DFEN (-1.61%)) and the iShares Global Aerospace & Defense ETF ($DFND (-1.1%)).
My basic idea: A broadly diversified ETF such as the MSCI World is a solid core investment for me. I also like to focus on specific themes such as AI, robotics or healthcare in the long term. However, due to the current geopolitical situation, I also consider the defense and armaments industry to be a relevant area. The situation is unlikely to ease in the next few years, and companies such as Rheinmetall have ambitious growth plans (e.g. doubling sales and profits by 2027). Other companies in the sector are also in a strong position.
I would therefore like to add a suitable defense ETF to my savings plan in the long term.
Hence my questions:
I look forward to hearing your opinions and welcome any recommendations or views!
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