Dear Community,

Throughout last year, I found myself repeatedly wanting to focus on the European market as well. But the same old arguments kept dissuading me: The European market doesn’t deliver; Europe doesn’t meet my desire for a growth-oriented, high-yield portfolio, etc.

I also asked myself: Which sectors and industries do I want to cover? Where do I see enough potential to justify taking the risk? To what extent do I want to align my portfolio with this strategy?

In today’s episode, Alles auf Aktien: Fiese Gewinnwarnung bei BMW und Europas KI-Unabhängigkeitsaktien , something caught my attention:

A basket from Goldman Sachs, consisting of 64 European stocks, with the wonderful name: EU AI Capex.

Performance over the past five years: 17.5 percent annualized, including dividends.

_________________________

And which industries are covered?

• Semiconductors
• Machinery
• Electricity
• Networks
• Cables
• Energy
• Automation

Unfortunately, existing ETFs such as the iShares STOXX Europe 600 Utilities UCITS ETF or the iShares STOXX Europe 600 Technology UCITS ETF do not cover all of these sectors.

"Sounds exactly like what I was looking for," I thought to myself, and used my day off today to create an index tailored to my preferences.

Goldman Sachs has listed 12 of the 64 holdings, including their percentage allocations. The remaining 52 holdings appear to be known only to institutional investors, as the index isn’t publicly available.

So I created my own “Pie” through Trading 212. More specifically, a “Pie” is a personalized investment portfolio in which I can invest in multiple stocks and ETFs according to a percentage allocation I set myself and save toward them simultaneously via a single automated savings plan—with no expense ratio and no order fees.

It would go beyond the scope of this post to write about every individual security, which is why I chose this particular one. I didn’t make these decisions entirely on my own. Gemini helped me with this. In the end, we settled on 37 securities.

_________________________

On Selecting the Holdings

Together, we gradually added European market leaders across the entire value chain. We always kept an eye on the sectors—none should be left out.

_________________________

On the Percentage Allocation

It’s important to note upfront that the “pie” will be funded with 150 euros per month going forward. Since the minimum investment amount at Trading 212 is one euro, the smallest weighting in the “pie” must be at least 0.7%:

1.00 euro / 0.70% = 142.85 euro

The percentage allocation was then based on pricing power and global scalability.

More details on this may follow in a later post.

_________________________

About the Stocks

From EU AI Cortex Basket taken over by Goldman Sachs:

• Infineon ($IFX (-0,71%)): 7.10%
• ASML ($ASML (-0,98%)): 6.80%
• Siemens ($SIE (-0,32%)): 6.00%
• Rolls-Royce ($RR. (+0,06%)): 5.40%
• Enel ($ENEL (-1,69%)): 5.40%
• Schneider Electric ($SU (-1,71%)): 5.40%
• ABB ($ABBN (-0,99%)): 5.00%
• Iberdrola ($IBE (-1,2%)): 4.90%
• Siemens Energy ($ENR (-0,68%)): 4.70%
• ASM International ($ASM (-1,68%)): 3.70%
• Prysmian ($PRY (-1,61%)): 3.60%
• BE Semiconductor ($BESI (-0,95%)): 3.20%

Supplemented by the following stocks:

• VAT Group ($VACN (-1,46%)): 4.50%
• STMicroelectronics ($STM (+0,64%)): 2.50%
• Legrand ($LR (-0,9%)): 2.00%
• RWE ($RWE (-0,52%)): 1.95%
• Nokia ($NOKIA (+1,39%)): 1.90%
• E.ON ($EOAN (-4,77%)): 1.90%
• National Grid ($NG. (-0,34%)): 1.80%
• SSE plc ($SSE (-1,05%)): 1.70%
• EDP Renováveis ($EDPR (-1,91%)): 1.60%
• Red Eléctrica ($RDEIY (+0%)): 1.50%
• Nexans ($NEX (-2,16%)): 1.50%
• Hochtief ($HOT (-1,23%)): 1.50%
• Enagás ($ENG (-0,53%)): 1.40%
• United Utilities ($UU. (-0,95%)): 1.40%
• Spirax-Sarco ($SPX (-1,48%)): 1.30%
• Centrica ($CNA (+1,1%)): 1.30%
• Aixtron ($AIXA (-1,04%)): 1.30%
• Orsted ($ORSTED (-2,51%)): 1.15%
• Verbund AG ($VER (+0,09%)): 1.10%
• Soitec ($SOI (-2,22%)): 1.10%
• Safran ($SAF (+0,75%)): 1.00%
• Thales ($HO (+0,67%)): 1.00%
• Geberit ($GEBN (-0,4%)): 0.90%
• NKT A/S ($NKT (-0,08%)): 0.80%
• Andritz ($ANDR (-1,34%)): 0.70%

The figures $IG (-1,31%) , $SRG (-0,35%) , $TRN (-1,21%) , $ALFA (-1,04%) , $ATCO B (-0,8%) or $AEMMY can unfortunately only be traded via CFDs on Trading 212. Therefore, these securities could not be included.

_________________________

Trading 212 Pie

The Pie now accounts for about 10% of my portfolio, and I’ll be contributing 150 euros to it each month going forward.

I am convinced that Europe will succeed in becoming more independent. However, in my opinion, a self-sufficient Europe without any dependence whatsoever is simply not possible (keyword: globalization).

_________________________

Pie Composition

By country:

• Germany: 24.35%
• France: 15.4%
• Netherlands: 13.7%
• United Kingdom: 12.9%
• Switzerland: 10.4%
• Italy: 9%
• Spain: 7.8%
• Denmark: 1.95%
• Austria: 1.8%
• Portugal: 1.6%

By sector:

• Technology: 32.3%
• Industrial & Capital Goods: 31.5%
• Utilities & Energy Infrastructure: 36.2%

By industry:

• Semiconductors & Data Center Chips: 27.8%
• Energy Equipment & Grid Technology: 25.5%
• Electricity Generators: 16.1%
• Physical Networks & Storage: 10.1%
• Cable Infrastructure: 5.9%
• Vacuum Technology & Components: 6.5%
• Network Technology & Connectivity: 1.9%
• Data Centers & Industrial Construction: 3.1%
• Cyber and Perimeter Security: 3.1%

_________________________

I’m curious to see how the pie chart will develop.

P.S.: You can find the pie chart on Trading 212 under the name Euro AI Backbone GS to copy.

Hi everyone,

What do you think of my portfolio? First, a little background info:

About me: I’m in my mid-30s and have been actively trading on the stock market for over 12 years now. So I’ve experienced several market booms and crashes from an investor’s perspective :D

About the portfolio: I follow a core-satellite strategy with additional “income satellites.” The income satellites are used to generate income with the goal of creating a monthly cash flow, which I mainly use for additional purchases to keep the portfolio balanced.

Core: $XDWD (-0,52%) World ETF, $IMEU (-0,36%) EU ETF, $XMME (-0,54%) Emerging Markets ETF, $TDIV (-0,04%) VanEck TDIV

Satellites: $NVDA (-0,51%) NVIDIA, $MSFT (-0,54%) Microsoft, $GOOGL (-0,22%) Alphabet, $AMZN (-1,28%) Amazon, $HO (+0,67%) Thales // NVIDIA and Alphabet are currently being built up. The positions will both be doubled.

Income satellites: $D05 (-4,2%) DBS Group Holding, $KO (-0,08%) Coca-Cola, $BATS (-0,51%) BATs, $O (-0,69%) Realty Income, $VICI (-0,11%) VICI Properties

Others: Small positions for shorting and speculation. (Amgen, Vertex, SpaceX, BTC, Ethereum, ...)

Feel free to share your thoughts :)

Today we are not going to look at a single share, but take a look in a completely different direction. Into the defense sector.

Of course, the most well-known Etf in this sector, the VanEck Defense UCITS Etf, has caught my eye. Its annual performance is around 50%, and it has already posted a return of around 15% this year.

So today we want to take a closer look at what it really contains and whether an investment would be worthwhile, purely on the basis of the fundamental data.

$DFEN (+0,38%)

The fund volume currently amounts to €7.278 billion with annual costs of 0.55%. The Etf is an accumulating fund.

Company distribution:

Palantir Technologies 8% $PLTR (-2,6%)

RTX Corporation 8% $RTX (+0,46%)

Thales 7% $HO (+0,67%)

Leonardo- Finmeccania 7% $LDO (+1,19%)

Hanwha Aerospace Co Ltd ORD 6% $012450

Elbit Systems 6% $ESLT (-0,04%)

Saab 6% $SAAB B (+1,16%)

Curtiss Wright 5% $CW (+1,17%)

Leidos 4% $LDOS (+0,14%)

=57%

The remaining 43% is distributed in smaller shares among other companies, such as Planet Labs $PL (-0,93%) (approx. 2%) or Ondas $ONDS (+3,52%) (1%).

Country distribution:

USA 49%

South Korea 11%

Europe 30%

Israel 7%

Singapore 3%

1 Palantir Technologies (USA)

Conclusion: Palantir is not a normal stock

Palantir has developed impressively from a speculative bet to a fundamental force in the S&P 500. The company is more profitable than ever before: massive profit and sales growth meets software margins that are unparalleled in the industry.

But quality has its price on the stock market: this success has already been fully recognized and priced in by the market. With a current P/E ratio of almost 300, the share is extremely expensive and leaves little room for disappointment. Palantir is therefore a highly profitable, exceptional company, but its valuation already anticipates the perfection of the coming years.

This can also be clearly seen in the analysts' estimates: some say there is still plenty of room for improvement with a price target that is almost twice as high, while others say the fair value is half the current price.

That's why I personally can't really get on board with Palantir. The share as a whole is not a buy for me at the moment.

2. RTX corporation(USA)

Conclusion: RTX - The operational bulwark

RTX (formerly Raytheon) is the definition of stability and predictability in April 2026. With a gigantic order backlog of USD 268 billion, the business is secured for years to come. The company has solved the technical problems of the past and is now converting its dominant position in aerospace and defense into record-breaking cash flows.

While Palantir thrives on the AI fantasy, RTX delivers the physical reality: a moderate P/E ratio of around 36 compared to Palantir, rising dividends and a fundamental safety that is rare in the current market environment. It is not a speculative high-flyer, but a highly profitable basic investment for the security age.

However, perfection is priced in here with very high valuation premiums, so I am also skeptical.

3. thales (France)

Conclusion: Thales - the European "all-rounder"

Thales established itself as the technological backbone of European defense and digital infrastructure in April 2026. With a record order backlog of over EUR 53 billion, the company offers "visibility" for production that extends well beyond 2028.

- Financial performance: 2025 closed with sales of EUR 22.1 billion (+9% organic) and record cash flow. The target for 2026 is clearly defined: A jump in sales to up to EUR 23.6 billion with an improved EBIT margin of around 12.7 %.

- Strategic breadth: Unlike pure defense companies, Thales benefits from three engines simultaneously:

Defense: massive growth through the modernization of European armies.

Aerospace: The recovery in civil aviation is driving demand for avionics.

Cyber & Digital: Through the integration of Imperva, Thales is now one of the world's largest players in the field of data security - a market that is growing completely independently of military budgets.

With a Kgv of 29, we find the most favorably valued company to date.

4 Leonardo Finmenncania (Italy)

Conclusion: Leonardo - the efficiency champion

Leonardo is the "value tip" among the large defense stocks in April 2026. While competitors such as Rheinmetall or Palantir often struggle with extremely high valuations, Leonardo has done its homework in terms of profitability and is now benefiting massively from the European arms race.

- Financial turnaround: Leonardo has beaten all expectations with its figures for 2025. Sales rose to EUR 19.5 billion (+11%), while operating profit (EBITA) increased by a strong 18%. Particularly impressive: net debt was almost halved, giving the Group massive scope for new investments.

- Strategic focus: Under the new industrial plan (2026-2030), Leonardo is fully committed to digitalization and cyber security. With the "Michelangelo" project (an AI-supported air defense system), Leonardo occupies a lucrative niche in the NATO security architecture.

- Valuation as a trump card: Despite a share price rally of almost 190% since 2024, the share is still "reasonably" valued compared to the sector with a forward P/E ratio of around 27. It is significantly cheaper than many US rivals, although Leonardo has similar growth rates for incoming orders (+15%).

We have now briefly analyzed the 4 largest companies in this ETF, which account for around 30%.

How do you rate these companies? Please take a look at the other companies that have not been presented here.

And of course, are you invested in the etf or do you intend to be?

Would it be an investment case for you or do you think the defense sector is largely overvalued?

@Raketentoni
@Tenbagger2024
@Get_Rich_or_Die_Tryin
@Multibagger etc. ....

The EU wants to support its member states with arms loans. Poland's nationalist President Karol Nawrocki sees this as a threat to Poland's sovereignty.

The law in question had previously been passed by Prime Minister Donald Tusk's centre-left coalition and was intended to allow Poland to take out loans of 44 billion euros from the EU to modernize and arm its military.

As part of the so-called Safe Program (Security Action for Europe), the EU is offering low-cost loans totalling 150 billion euros to its member states to help them finance increased arms spending in order to arm themselves against a more aggressive Russia.

The SAFE program in Poland becomes a symbol of the conflict between the government camp and the president.

What does this mean for the arms industry?

$RHM (+2,7%)

$HAG (+3,31%)

$DE000TKMS001 (+1,46%)

$HO (+0,67%)

$LDO (+1,19%)

How do you see the veto?

So long

It seems like my post about Europas F-35-Sicherheitsdilemma could not have come at a better time:

Dependence on US armaments is increasingly perceived as a risk factor for Europe's military and security sovereignty and is now being publicly addressed at the highest political level faster than I would have expected.

French President Emmanuel Macron

President of France Emmanuel Macron has made it clear in an interview with Le Parisien that he is critical of Europe's purchase and use of US armaments and proposed replacing them with European alternatives.

Macron was also quite clear: "Those who buy Patriot systems should be offered the next generation of the Franco-Italian SAMP/T. Those who buy F-35s should be offered the Rafale fighter aircraft."

His main concern is greater strategic autonomy for Europe:

• Criticism of US systems: Poland plans to buy American F-35 fighter jets ($LMT (+0,98%)) and Patriot ($RYTT34). Macron questions these decisions and proposes European solutions.
• European optionsMacron specifically mentions approaches such as joint European development projects to reduce dependence on the USA. Examples include European fighter jets such as Saab Gripen ($SAAB B (+1,16%)), Eurofighter ($AIR (+0,93%) - $BA. (+1,01%) - $MTX (+1,22%) - $LDO (+1,19%)) or Dassault
  Rafale ($AM (+1,95%)) or air defense systems (e.g. SAMP/T from $HO (+0,67%), $BA. (+1,01%), $AIR (+0,93%) and $LDO (+1,19%) or Oerlikon Skynex from $RHM (+2,7%)).
• Long-term strategyMacron's proposals aim to strengthen Europe's military independence by pooling technology, production capacities and resources in the EU member states' own economic area in the long term.

Macron is thus sending a clear signal for more European cooperation in the defense sector and against an excessive focus on US technology.

#emmanuelmacron
#usa
#defense
#verteidigung
#rüstungsindustrie
#europa
$R3NK (+2,59%)
$IE0002Y8CX98 (+1,19%)
$HAG (+3,31%)

$IE0002Y8CX98 (+1,19%) - WisdomTree Europe Defense UCITS ETF - EUR Acc

TOP 10

$RHM (+2,7%)

$LDO (+1,19%)

$SAAB B (+1,16%)

$BA. (+1,01%)

$HO (+0,67%)

$RR. (+0,06%)

$AIR (+0,93%)

$SAF (+0,75%)

$KOG (+2,75%)

$MRO (+0,4%)

https://api.fundinfo.com/document/b9034489473e1a780e6657260ca4fb58_248438/MR_DE_de_IE0002Y8CX98_RES_2025-03-07.pdf

"The index was developed by WisdomTree, Inc. ("WT"). The selection of European

companies in the index is based on their share of sales from the defense sector. The Index also seeks to exclude companies associated with weapons that are banned under international law, such as cluster munitions, anti-personnel mines, and biological and chemical weapons. The index also seeks to exclude companies that violate certain generally accepted international norms and standards, such as the principles of the United Nations Global Compact.

At least 20 stocks that meet the revenue share criteria as well as additional minimum requirements regarding market capitalization and liquidity are selected for inclusion. The selected companies in the index are weighted according to free float-adjusted market capitalization - adjusted by the exposure score - while complying with the upper limits and criteria defined in the index methodology.

The index is rebalanced every six months."

#wisdomtree
#europe
#defense
#etf
#defenseetf
#rheinmetall
#leonardo
#saab
#baesystems
#thales