Stocks vs. Other: My portfolio is actually a mix of security types, but I generally hold 50 individual stocks in my Core Equities tranche, while using ETFs within my Opportunistic tranche allowing for easier broad coverage for things like emerging markets, US treasuries, commodities, inverse ETFs, and US index ETFs as appropriate. An all ETF portfolio works well also and I show an example of what that might look like in my article -- socks vs. ETFs is primarily a personal preference. In my case I seek higher dividend yield than ETFs generally provide in terms of a total portfolio. But either approach is good - what's more important is knowing how to vary exposure to risk assets given the market cycle, particularly at turning points.
Cash equivalents: Right now this is all cash for me, but I am looking into some money market funds for a portion of the case. With interest rates where they are, I see that Schwab, for example, has a couple money market funds paying near 4%. I may park a small portion of my cash there, leaving the majority of my cash available for adding securities on the next leg lower for the SP.500.
Security selection: I am thinking of writing a piece on this topic. In short, I begin with a screen for stocks that meet certain criteria for cash flow, sales growth, income growth, dividend yield, forward PE, and the like. Then I look at the charts to see which of those stocks are look to be at a good buy point - generally I build a position over time to the extent I can lower my cost basis.
For both fundamental and technical analysis, you might check out Finviz - their free product is great, but you can also pay a bit for access to their professional charting tools.
Thank you for your thoughts. This was a great article to compare your portfolio against mine current portfolio.
It genuine that you have share your holdings with us and your reasoning behinds us. Extremely helpful. I am a new subscriber and looking forward to more of your writings.
Well done! Thank you for sharing the information. I am looking forward to re-reading this and comparing your thoughts on fleshing out a long term portfolio vs my own and how I can improve my understanding on the topic. (And hopefully being able to share what I learned along the way).
I am a newer subscriber so I may have missed it: Do you go into detail of why you selected these securities and any reason pure stock vs a mix of security types? And any description of cash equivalents?
Either way, you did an amazing job and I hope you have a very successful New Year.
Hi Sound-Speed, all great questions!
Stocks vs. Other: My portfolio is actually a mix of security types, but I generally hold 50 individual stocks in my Core Equities tranche, while using ETFs within my Opportunistic tranche allowing for easier broad coverage for things like emerging markets, US treasuries, commodities, inverse ETFs, and US index ETFs as appropriate. An all ETF portfolio works well also and I show an example of what that might look like in my article -- socks vs. ETFs is primarily a personal preference. In my case I seek higher dividend yield than ETFs generally provide in terms of a total portfolio. But either approach is good - what's more important is knowing how to vary exposure to risk assets given the market cycle, particularly at turning points.
Cash equivalents: Right now this is all cash for me, but I am looking into some money market funds for a portion of the case. With interest rates where they are, I see that Schwab, for example, has a couple money market funds paying near 4%. I may park a small portion of my cash there, leaving the majority of my cash available for adding securities on the next leg lower for the SP.500.
Security selection: I am thinking of writing a piece on this topic. In short, I begin with a screen for stocks that meet certain criteria for cash flow, sales growth, income growth, dividend yield, forward PE, and the like. Then I look at the charts to see which of those stocks are look to be at a good buy point - generally I build a position over time to the extent I can lower my cost basis.
For both fundamental and technical analysis, you might check out Finviz - their free product is great, but you can also pay a bit for access to their professional charting tools.
You might go back and read these two earlier posts of mine for some general guidance: https://finiche.substack.com/p/coming-soon
https://finiche.substack.com/p/2-portfolio-insights-opportunistic
I hope you find this helpful... let's keep the conversation going.
Cheers and Happy new year!
F.
Thank you for your thoughts. This was a great article to compare your portfolio against mine current portfolio.
It genuine that you have share your holdings with us and your reasoning behinds us. Extremely helpful. I am a new subscriber and looking forward to more of your writings.
Well done! Thank you for sharing the information. I am looking forward to re-reading this and comparing your thoughts on fleshing out a long term portfolio vs my own and how I can improve my understanding on the topic. (And hopefully being able to share what I learned along the way).
I am a newer subscriber so I may have missed it: Do you go into detail of why you selected these securities and any reason pure stock vs a mix of security types? And any description of cash equivalents?
Either way, you did an amazing job and I hope you have a very successful New Year.
Cheers!
Thanks for the insightful read! Really appreciate your openness as well in talking through your investment approach for others to learn.
You bet, Julian! And thank you for the comment. -F