My portfolio for 2018

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.

The real winners were those who speculated on the cryptocurrency markets. Bitcoin price in USD went up +1435.52%.

Huge pile of cash

It is nice to read about past but we should focus on the future. I will show you my portfolio for this year. First, look at the diagram below.

I have accumulated a lot of cash – 21.8%. I will wait for plunges in the prices of the assets I want to have in my portfolio and with cash waiting in my pocket, I will be able to buy them for a bargain price.

Stock markets in the wallet

The exposition to my favourite stock market Warsaw Stock Exchange is around 31% of my wallet. Apart from it, my shares on the US stock market are 10.5% of my portfolio and 4.5% of my money are located in the Russian stocks.

I changed exposition of the shares on the Warsaw Stock Exchange. Not so long ago, the shares of Polish companies were filling the portfolio in 80%. Now the exposition to the Warsaw Stock Exchange was reduced to 31%. It is still very attractive stock market but not as much as a year ago. It was one of the most rapidly growing stock markets in 2017 – read the article below:

Why Poland’s soaring stocks still have room to run

Russia is the cheapest stock market – CAPE (Cyclically Adjusted Price/Earnings) ratio of 5.6 and PB (Price to Book) ratio of 0.8 so I want to have some exposition to those companies in my financial wallet.

US stock market is not a cheap one – CAPE 29.0 and PB 3.1 but I believe it is not yet time for the bear market and that is why I have an exposition to Apple, Alphabet and Facebook shares. The three companies have no debt, huge pile (or piles) of cash on their account and have been growing rapidly (Alphabet and Facebook).

Electric-car revolution

Almost 32% of my wallet are commodities. On the chart below you can see the detailed view on the particular assets in my portfolio. As you see, the elements of my portfolio are industrial metals, precious metals and energy.

Electric vehicle revolution will need copper and rare earth metals. Plans of governments to produce more energy from nuclear reactors will increase demand for uranium. Inflation all around the world can start the bull market on gold and silver prices.

Detailed composition of my portfolio

The chart below shows the parts of my portfolio: cash, commodities and stocks. I showed what sectors are present in my stock market part of the portfolio. You can see the division of my financial wallet in terms of commodities I invested in.

If you are interested to see exactly what companies I have in my portfolio please click the link to receive e-mail every time the post is published. As a FREE gift you will see extra content with the exact companies, funds and commodities in my financial wallet.

Please note I am not a regulated financial advisor and so any help will be non-advisory. If you are unsure of the suitability of any investment you should seek professional financial advice.

Posted in Analysis, How to invest?, The Global Markets Freedom Portfolio, The Warsaw Stock Exchange Freedom Portfolio and tagged , , , , , , .

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