After a couple of very busy weeks I am finally back and ready to share what I have been up to. I have been very busy as I am leaving my current job and going into a new one ( more to follow on a future post ) .
I am also leaving London soon and had to arrange a lot of paperwork regarding my new job and my reacommodation. All of that while working 60 hours a week in my last month at my old job.
It is very exciting as I am once again going into the completely unknown. I need this as I started feeling too comfortable in the UK. Being comfortable cripples your ambitions in my opinion, atleast at that stage in my life. I need to be out of my comfort zone in order to keep going forward with my life.
But I will keep all the details for a separate post when I know everything for certain so I have more to share with you guys.
Now let’s get back to the main subject of my post today – to give you an update about my portfolio in February and my views on it.
So my portfolio right now looks like this :
Cash and Cash Equivalents : 90% ( Savings account at 1.5% interest rate )
Stocks : 10%
– Royal Dutch Shell – 3% – 5.77% Div Yield
-Bank of America – 3% – 2.10% Div. Yield
– AT%T – 3% – 6.88% Div. Yield
Total portfolio growth for the month +10% (Mainly due to savings contributions)
As you might remember I have been 100% in cash since October and I am not saying this is right or wrong , it just feels right for me and I have my reasons to do so.
My strategy
I am trying to keep atleast 50% in cash as I believe we are going to have some good buying opportunities ahead of us.
My plan for the stocks I am picking up is to get solid companies with a lot of free cash flow, solid bussines fundamentals and trading at compressed valuations. Having a stable dividend is also very important to me as I am investing for income and I am planning that income to support me some day in the future.
All of those companies are fitting into my criteria and I like the management team in all of them and believe all of them are heading into the right direction. To be fair I don’t expect a ton of capital appreciation on them, but this is not why I am owning them. I own them for the solid dividend and very stable bussineses operated very conservatively.
I also see them as being able to withstand a recession as their management is operating the bussineses very responsibly.
Slowly I am going to build up an income portfolio which is going to cover my living expenses and essentially give me financial freedom. Honestly I don’t really care about price appreciation as I am not planning on withdrawing money from my account in order to pay for my expenses. That is why a sustainable dividend is key for my portfolio.
Starting next month I am going to track all the income received from my portfolio, hope it will be interesting for you to see how is this moving month to month.
That will be all from me today. I am going to start packing my bags as I am leaving london in 3 days, stay tuned for an update on the next chapter of my life. Hope you all have a great day and see you soon.