I used the turn of the year to sort out some companies that no longer fit my strategy. I was very consistent and also removed the positions that were not in the black. I simply see better opportunities elsewhere and in the individual cases where losses occurred, it was only a matter of a few percent or euros. I was therefore able to cope with the whole thing and had new capital available for other investments.
My long-term goal is to increase my share of fundamentally strong companies and to take advantage of periods of weakness. The aim is to keep the average price as low as possible. There is no point in investing in phases when a share is overvalued. Instead, you can put the money into companies that are currently undervalued in the portfolio. I have therefore set myself a 5-year target for each company, which indicates how much I would like to have invested in this company by then, so that this corresponds to my target portfolio share.
The top 5 positions should each contribute 5% to the portfolio and are Allianz ($ALV (-0,66%) ), Hannover Re ($HNR1 (-0,12%) ), Canadian National Railway ($CNR (-0,02%) ), S&P Golbal ($SPGI (+0,12%) ) and Waste Connection ($WCN (-0,07%) ).
The second part consists of 10 dividend (growth) stocks that pay out quarterly dividends spread over different months. I have taken into account that the distributions within a month come from different sectors in order to reduce the risk of the dividend being cut excessively in one month due to a sector-specific crisis.
Then there are another 10 individual shares at 2.5 percent each that are more focused on upside potential than dividends.
The remaining 25 percent is divided into 10% MSCI Canada ETF and a total of 15% thematic and country ETFs.
My overall portfolio covers these country and sector bets:
- Canada, is very stable socially, demographically and politically (despite the resignation today). The country has a low dependency on other countries and is rich in resources. I see Canada as a substitute for the USA (which is much more unstable), which is why I chose the MSCI Canada instead of the MSCI World.
- Insurance and finance, are boring but stable and have very good and predictable growth as well as high dividends (increases)
- IT, is and remains essential for our time. The growing demand is certainly already well priced in, but there are often cyclical fluctuations in the semiconductor market and therefore also frequent buying opportunities
- Health will play a greater role in the future than in the past due to a growing and ageing population, better access and greater awareness of one's own health and well-being. Companies in this sector are often seen as defensive as they have been able to increase their dividends and deliver stable share price gains for many decades.
That's the plan for the future, what do you think of the sector and country bets :)
