Imagine that you can own shares of only one company. It means that your portfolio is not diversified at all. Well, it is rather difficult to call it a portfolio. It is just your money parked in shares of one business. Hopefully, the good one.
Such an approach is not a great idea from the perspective of diversification. I would not put all my wealth into a single company.
Even if you understand the business well, there are so many aspects of investing you do not have an impact on that such a bet would be a very risky one. Political decisions and changes in regulations are factors we cannot predict. It is something we can recognise as a risk but we never know what new idea is growing in the heads of politicians.
Is it a good decision to sell shares right after the company published a very good results?
Well, it depends…
On Tuesday, Apple surprised investors with much better results than predicted by analysts.
Next morning I decided to reduce my stake in the Apple company.
I decided to write again about CD Projekt. The reason for it was the interest of the readers of this blog in investing in this company.
The company is a Polish video game developer so it makes investing in the company more difficult. Not every brokerage account allows you to buy Polish shares.
In this post I will share information about the platforms I personally use for investing in stocks listed on the Warsaw Stock Exchange. I will also list some of the reasons why Polish companies are relatively attractive.Continue reading
S&P 500 went down 6.58% during the last month
The new tariffs on Chinese products were proclaimed by President Donald Trump at the beginning of May. It was the trigger for the correction on stock markets in May. Another reason for the May sell-off was the extension of the trade war on the technological front. Trump’s banning of Huawei could be a sign of worsening relations between China and the United States. Later, Google suspended Huawei’s access to the Android operating system.
My comment on Alphabet and Facebook
In the last post I shared with you the information about one of the metrics I measure each month. It is the number of books I have read. I wrote that in April I finished 6 books. It means that on average I was taking a new book from the shelf every fifth day. To be honest, a few years ago I could not even imagine achieving something even close.
You can think that I know some great ways of finishing books quickly. Do I use speed reading techniques? The answer is no.
Am I unemployed and spend all of my time on reading?
The new cycle on this blog
I wrote in the About page on this website that the focus of this blog might include other areas than stock market investing. I decided to share with you some interesting aspects of my life which I hope will help me getting closer to achieve my goals. This new cycle of posts is about my summary of a month.
It will also give value to me as it will help me to monitor the changes in my life. I hope it will give you some potential inspiration to test new ideas in life.
I have been working on improving my life for some time already. I decided to implement some habits and things I do regularly to improve the quality of my life.
Why I share these things online. I know that sharing it with larger public will make more resistant to break my habits / things I work on.
27/30 days in April
Current streak: 27 days
A 3-month correction on the S&P 500 or the beginning of the crash? You could hear the B word quite often at the end of the last year. And it was not only Brexit but also bear market…
On the 28th October I published the analysis for the Investment League project of which I am the administrator and a participant. It is an educational project whose goal is to encourage my office colleagues to invest. It lets them try investing but without taking aby risks. It provides the opportunity to understand how investing on the stock market works.
Welcome in the year 2018. The year 2017 was very good in the financial markets. The developed markets were growing steadily with S&P500, Nasdaq and British FTSE100 growing respectively +19.96%, +28.86% and +8.55%.
The emerging markets outpaced the developed markets with Argentinian Marvel raising +77.62%, Turkish XU100 +47.60%, Indian Sensex +27.91% and Polish WIG20 +26.35%. Results of those markets are even better if we refer them to one currency – for example Polish PLN gained +16.84% to the US Dollar in the year 2017.
As many institutions are playing to be a forecaster, I also have decided to give it a try. I will have a look at currencies, stock markets and commodities prices in 2018.
Currencies and cryptocurrencies
In my opinion US dollar plummeted too much in the last year. Raising interest rates and possible repatriation of money by American companies, caused by lowered tax rate, will strength the dollar. Also British Pound will finally grow slightly. The currency which I underweight is Euro.