My Restart: Portfolio Updates and Investment Strategies
It has been a while since I last updated my portfolio on this blog, with the last update being in September 2022.
Firstly, I had a change in strategy with my editor, Ram, which took away some of my time. Additionally, my family requires more of my attention, especially my daughter who is turning 4, and my work in a startup never ends, leaving me with low energy levels by the end of the day. Unfortunately, this meant that I had to put a hold on uploading videos to my YouTube channel for now.
I also wanted to explain 2 events that have occurred in my investing journey this year.
At the start of 2023, I sold all my stocks, not due to the market environment but solely to change my broker. This event took about 10 days and resulted in an opportunity cost of at least 10k due to missing out on gains. Despite this, I took the time to review my remaining investments, which accounted for only 40% of my initial investments.
As a result, I developed a new roadmap for selecting companies, which includes a calculator. However, I have yet to share the calculator because I cannot find a good free source of data to automate the process. Nevertheless, I do consider companies with positive FCF-SCB and some margin of safety from its DCF valuation.
Moving on to my current portfolio, here are the top 13 companies, ranked according to the target size of the position:
Currently my cash positions remain at 23%, and all the companies are listed in US, except for 1 in Singapore.
Based on my target sizing for each position, the top 5 companies will contribute around 65.8% of the entire portfolio, with APPS (Digital Turbine) contributing approximately 24.5%. Big tech firms will also contribute 16%. The lower-ranking companies are my moonshots. It is important to note that the companies that passed my calculator, as stated under my current roadmap, are APPS, SMTC, RICK, CMLS, and MOV as of today.
My main theme still seems to be mainly small-cap along with some growth. I am also using selling of options as a method to get more cash. Right now, I am also considering purchasing long-dated call options.
In summary, this is my portfolio and my current strategy.