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Wasron’s annual portfolio review

A helpful place to also put any annual reports etc, of your own portfolios
88V8
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Re: Wasron’s annual portfolio review

#408527

Postby 88V8 » May 1st, 2021, 10:40 am

Thanks for keeping this up.

Some of your HYP picks are unusual. It's good to look outside the box sometimes.
Luni always said 'don't chase the yield' and although I have some shares in the Danger Zone - BAT, IMB, DGOC for instance - I wouldn't bet the store in them

LRE, I sold for its low yield, but you have some years, many years, before you really need to worry about income.

Do agree with your emphasis on ITs.

I would be wary of planning to deplete your ISAs. Assuming they still exist when you retire of course.
Sheltering from tax is important especially if you get into HRT, and I fear will become more so, certainly if we have a change of Govt.

Never had a SIPP. We sold down a large chunk of our ISAs when we moved house ten years ago; it seemed a good idea at the time, but now we are 70% unsheltered which I regret, and there is no prospect of rectifying that situation. I now regard the ISAs as a fund of last resort. Of course, if you can become fully sheltered it does not really matter.

Looking forward to next year.

V8

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Re: Wasron’s annual portfolio review

#408620

Postby moorfield » May 1st, 2021, 5:48 pm

Wasron wrote:When I started the SIPP I considered putting everything into the HYP, but I didn’t feel comfortable with five figure investments in individual shares. The IT holding sizes are much larger than individual HYP shares, a conscious decision on my part as I’m happy to pay the management fee for the peace of mind that the ITs provide.



Provided that your HYP is well diversified you should be able to feel comfortable with a collection of five, or even six, figure holdings. All of my SIPP is a HYP-ish portfolio, 22 holdings currently all bar one being five figures. I often think when seeing a collection of ITs such as yours it's worthwhile totting up the top 10 holdings from each, you'd be surprised what's beneath the wrapping paper and you quite possibly already hold directly some of the largest holdings you do indirectly.

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Re: Wasron’s annual portfolio review

#408641

Postby Wasron » May 1st, 2021, 7:05 pm

moorfield wrote:
Wasron wrote:When I started the SIPP I considered putting everything into the HYP, but I didn’t feel comfortable with five figure investments in individual shares. The IT holding sizes are much larger than individual HYP shares, a conscious decision on my part as I’m happy to pay the management fee for the peace of mind that the ITs provide.



Provided that your HYP is well diversified you should be able to feel comfortable with a collection of five, or even six, figure holdings. All of my SIPP is a HYP-ish portfolio, 22 holdings currently all bar one being five figures. I often think when seeing a collection of ITs such as yours it's worthwhile totting up the top 10 holdings from each, you'd be surprised what's beneath the wrapping paper and you quite possibly already hold directly some of the largest holdings you do indirectly.


I wrote that three years ago and I’d say I’m now at a point where I am more comfortable about breaching that limit. I certainly think I’ll be adding more to existing holdings, rather than adding new ones.

I still have a couple of holdings that may get sold in the next year, but there’s nothing really on the watchlist to replace them, which would concentrate things further

MaraMan
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Re: Wasron’s annual portfolio review

#408754

Postby MaraMan » May 2nd, 2021, 12:52 pm

Thanks for posting the update, it makes interesting reading. I retired early 3 years ago and populated my SIPP with growth IT's and held some HYP shares in my ISA for the tax free income. I am sure others have commented before but holding HYP shares in your SIPP while you are in the accummulation phase seems strange. My SIPP has done really well (48% growth in last 12 months, but of course pandemic effects have magnified any changes) and as its in draw down I just periodically sell some holdings to ensure the monthly payment is covered. Of course HYP shares may well have their days in the sun again, but unless you are taking the yield as income I don't see the point in the current economic environment. I would also echo the comment about avoiding removing money from ISAs, they are an invaluable source of tax free income. But anyway thanks for telling us about how you are doing and I wish you all the very best with your investments. I hope you enjoy your retirement when it comes as much as I have enjoyed mine.

MM

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Re: Wasron’s annual portfolio review

#408820

Postby Wasron » May 2nd, 2021, 8:06 pm

MaraMan wrote:Thanks for posting the update, it makes interesting reading. I retired early 3 years ago and populated my SIPP with growth IT's and held some HYP shares in my ISA for the tax free income. I am sure others have commented before but holding HYP shares in your SIPP while you are in the accummulation phase seems strange. My SIPP has done really well (48% growth in last 12 months, but of course pandemic effects have magnified any changes) and as its in draw down I just periodically sell some holdings to ensure the monthly payment is covered. Of course HYP shares may well have their days in the sun again, but unless you are taking the yield as income I don't see the point in the current economic environment. I would also echo the comment about avoiding removing money from ISAs, they are an invaluable source of tax free income. But anyway thanks for telling us about how you are doing and I wish you all the very best with your investments. I hope you enjoy your retirement when it comes as much as I have enjoyed mine.

MM


48%! I wish I’d had a sizeable holding of SMT 18 months ago, but hindsight is a wonderful thing.

Regarding the HYP shares during the accumulation phase, I think I’m naturally suited to income investing, as it saves on deciding what to sell and when, but crucially the Sipp isn’t getting new money, so I would need to sell to buy if I purely invested for growth in it (and investing is a hobby, as well as the majority of my retirement plan). There is however a drift towards lower yielding investments, and that will probably continue, especially as my best performers over the year have been Johnson Matthey, Henderson Smaller Companies and JP Morgan China, none of which would fit into the HYPish low-growth, cash cow category.

My parents both retired at 55 and have since spent 15 years travelling the world. It certainly seems like an enjoyable way to live and I hope to follow in their footsteps. As long as I stay working, stay healthy, and keep investing quite conservatively I should get there, without needing to make many sacrifices along the way.

Wasron

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Re: Wasron’s annual portfolio review

#497713

Postby Wasron » April 30th, 2022, 4:51 pm

This is the fifth annual review since opening my SIPP and transferring a previous pension into it, but my income portfolio (that I previously called a HYP) has been running for nine years now.

The SIPP is intended to provide an income in retirement (from 58), and my wife and I will use ISAs to live off between 55 and 58, drawing down both capital and income. At 55 (which is now less than 10 years away!) I intend to finish work and transfer my current employer’s pension into the SIPP, and then at 58 extract most of the transferred amount as my tax-free cash to repopulate the ISAs. The income portfolio is mostly in the SIPP.

I’ve come to the conclusion that making any kind of distinction between my HYP and ITs is not something I’m interested in doing anymore. This portfolio is going to provide me with the vast majority of my retirement income, and the holding size for my smaller ITs is similar to my individual holdings. It’s therefore simpler to consider them all together in the monthly top-up deliberations. For the larger IT holdings, I consider topping up those whenever the discount to NAV is favourable compared with the rolling 12 month average, so these don’t sit in my top-up spreadsheet.

It’s been an interesting year, with several new holdings and several more sold, as I continue to search for the right balance in the portfolio, mixing capital growth and income, as well as giving me peace of mind (a list of current holdings will be in a follow-up post). I know this isn’t the first time that I’ve got to the point of writing the annual review and thought that next year will be much calmer, with fewer sales and new holdings, but maybe this year it’ll actually happen.

Performance
In capital terms, the SIPP was sailing along quite nicely until the war in Ukraine hammered everything with significant emerging markets exposure, but it’s still only about 1.5% below its all-time high (it receives no new money, so reinvestment can only be made from funds generated within the SIPP).

On an accumulation basis the unitised capital performance of the SIPP has been as follows:

2017 – 100
2018 – 103.38
2019 – 109.77
2020 – 94.57
2021 – 123.16
2022 – 127.69

Dividends for the year are at a record high, having surpassed the total in April 2020, and exceed the SIPP’s capital growth for the year.

The ISAs have had another good year on the capital front. I’ve continued the ETF experiment using a 50:50 split between VWRL (global tracker) and SGLN (gold) for a large proportion of one of the ISAs, my ‘barbell’, and so far 2022 has been a great year for gold. The combined performance of the two over the last 12 months has been 14.6% TR (it was 11.4% the year before). The rebalancing took place earlier this week, taking the form of topping up VWRL from available cash.

The target capital figures for the ISA (calculated as three years of income, as if I were retiring today) look like I’ve made little progress, but the inflation forecasts mean that a lot more capital will be required to maintain the same standard of living, so this isn’t a bad performance in the current climate

2018 – 79.8%
2019 – 89.9%
2020 – 91.9%
2021 – 119%
2022 – 121.4%

So it still looks like there’s plenty in the pot, and a chunk of that may get spent on some home improvements this year (investing is, after all, only a means to an end).


Buys and Sells
Eight complete sales and six new holdings is hardly hands off, but this has been a year where I’ve done a lot of re-evalutation, and tried to simplify how I invest, as well as what I invest in. To that end I also moved BSIF, RECI, BERI, JCGI and JEMI into the ‘HYP’

Here are my notes on each, paraphrased from those made at the time (with any recent comments in italicised brackets):

[SELL] Petrofac (PFC) - Took a stonking loss on Petrofac (in June 2021), selling to draw a line under the poor decision to buy back into them. The most recent update was concerning and the price was sliding yet again. The funds were spread across the ITs (no regrets on this one)
[SELL] Micros Focus (MCRO) – Took a small loss on Micro Focus, but they just seem so volatile that I clearly don’t understand what drives their price movement, so simplifying the holdings and moving on (luckily I got out at the right time in June 2021 at 540p, as the price dropped 20% within a couple of days of selling and it’s still a long way below that)
[SELL] GCP Student Living (DIGS) receive takeover approach so I sell up (at 184p). If it happens, they were yielding less than 1% so the move will be income-enhancing. If the takeover falls through I might buy back in. (the offer was upped to 213p, so I missed out on a significant chunk of upside by selling too early)
[BUY] Reckitt Benckiser (RKT) added back to HYP, as it’s now yielding 3.13%, rather than its usual 2.2%. They’re massive, FMCG, and in the staple of defensive consumer goods companies. Hopefully a buy-and-forget (still slowly adding to this on occasional price weakness)
[BUY] Vodafone (VOD) – been following them for a while and yield is now around 7%. Swapping some of the Utilico Emerging Markets IT for some Vodafone, which yields twice the amount. Merchants recently bought back in, so they obviously feel that the corner has been turned as goodwill from previous bad decisions gradually unwinds (which was a reason why the divi never looked like it was covered). Will still gradually add to them over time
[SELL] Tritax Big Box (BBOX) premium hit 23%, so have sold and will redirect the funds to ITs with discounts. Would consider reinvestment at a lower price and premium (they’ve increased slightly in price since I sold them, but I’ll keep an eye on their premium and price)
[BUY] Ediston Property Investment Company (EPIC) added – on a 12% discount and yielding over 6%. Smallish size (160m) but invests in retail warehousing so is also a reasonable replacement for BBOX (without the 23% premium and on more than double the yield). Not available for regular top-ups so additional investments will be lumpy. Not necessarily a buy-and-hold forever, as I’ll keep an eye on the discount, and how that compares with other REIT possibilities
[SELL] BP (BP) and Shell (SHEL) sold - Sold out of fossil fuels completely, a decision from the heart not the head, then added to Vodafone, Carnival and Mondi with some of the proceeds (these two have done very well from the war, but they were sold for the right reasons, so no regrets)
[SELL] Johnson Matthey (JMAT) sold, as the most interesting part of the business is being sold off after failing to develop as expected (the battery unit). This left the Health unit (also being sold off) and the catalytic convertor unit (a declining market). Some funds initially diverted into MCT (it had continued to drift lower until this morning’s jump without any clear news, but the change in the investment proposition means I think it was the right decision for me)
[BUY] Ashmore (ASHM) bought back into. Had been sold in Feb 2019 at 417p, re-bought at 295p as now yields more than Schroders (which was the opposite three years ago and the reason for selling). This isn’t necessarily a buy-and-hold forever, but it pays a decent dividend while I wait for emerging markets to become a more favoured sector again (the war has really hurt Ashmore, so I’m down quite significantly, but as I always add new holdings gradually I’m still building up this holding at the current depressed prices)
[BUY] VanEck Vectors Semiconductor ETF (SMGB) is a physical ETF investing in 25 of the bigger semi-conductor companies (e.g. TWSC, ASML, Nvidia, Intel). There’s a Nasdaq version of the ETF (SMH), but SMGB is the UK Sterling version. Semi-conductors aren’t going anywhere. The companies included are the ones you’d look to invest in as individuals stocks, but this is much simpler with only a 0.35% ongoing charge. The ETF is accumulating, so there are no dividends, but as this could potentially become a sizeable holding it’s in the Sipp and added to the top-up process with a fictitious (mean-equivalent) divi yield. Will add to gradually (this has been fairly volatile over the last few months, but it’s still only a small holding, and I’ll continue to add to it)
[BUY] JPMorgan Global Core Real Assets (JARA) – A defensive position taken in global real estate and transport as a counter to inflation risks (will add to this gradually over the coming months)
[SELL] iShares Corporate Bonds ETF (SLXX) – The inflation risk of holding corporate bonds had seen the price on the slide in 2022. I don’t see this improving in the short term, and having found an alternate use for the money this year (home improvements) I took action to limit the capital loss to just 4%

Fun Trades
There were a couple of these this year, the result of carrying a reasonable amount of cash in the account at times. They were both profitable, but also just small change in the context of the portfolio.

[BUY][SELL] Telecom Plus (TEP) added as it was yielding 5.4%, rather than the 3.6% it was when I sold it in 2018, but roll on two months energy suppliers are going bust due to the spike in gas prices. As a smaller player in the market it doesn’t seem worth the risk to remain invested, so extract the 10% profit for two months of investment
[BUY][SELL] Halma (HLMA) had seen its price has fall 20% despite record profits, so saw this as a reasonable entry point for some fun. Held for a couple of months and got back out at a slight profit when the money was needed for redeployment elsewhere

On my watchlist
International Biotechnology Trust (IBT), currently yielding nearly 5% (the dividend is set annually as 4% of NAV) - looks like a simple way to access the sector, to sit alongside my GSK holding (or potentially replace it if I decide to sell before the Haleon split)

I have 45 holdings already, and to add anything new would probably require the sale of something else.

Conclusions
If I look at holdings I’ve added, or sold completely, it’s definitely a mixed bag. I can be quick to sell and this doesn’t always work in my favour (e.g. GCP Student Living), but of those I’ve sold this year it’s only Tritax Big Box that I regret.

I still get my head turned by higher yields (EPIC, VOD, ASHM), but I’m getting better at topping up the lower yielders to maintain the balance (trailing 12-month yield for the SIPP is 4.3%).

My Gold-Global Tracker barbell has had a second solid year. I think I’ll continue to add to this during the year, as it’s performing and also meeting my desire to simplify matters, although I think it’s much more likely to perform badly in the next 12 months.
For the SIPP, I just need to keep reinvesting the dividends and let it grow slowly.


As always, thanks for reading and comments are very welcome, particularly on the portfolio churn

List of holdings to follow

Regards.

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Re: Wasron’s annual portfolio review

#497714

Postby Wasron » April 30th, 2022, 4:56 pm

A summary of current holdings:

ETFs
VanEck Semiconductor (SMGB)
Vanguard All World ETF (VWRL)
iShares Physical Gold (SGLN)

Individual Shares
Ashmore (ASHM)
Carnival (CCL)
Coca Cola Hellenic (CCH)
Diageo (DGE)
Ediston Property Investment Company (EPIC)
GlaxoSmithKline (GSK)
HICL Infrastructure Company Ord (HICL)
HSBC Holdings (HSBA)
Ibstock (IBST)
Imperial Brands (IMB)
Lancashire Holdings Ltd (LRE)
Legal & General Group (LGEN)
Mondi (MNDI)
National Grid (NG)
NewRiver REIT (NRR)
PayPoint (PAY)
Primary Health Properties (PHP)
Reckitt Benckiser (RKT)
Schroders (SDRC)
Tate & Lyle (TATE)
Unilever (ULVR)
Vodafone (VOD)
WPP (WPP)

ITs
BlackRock Energy Resource Income (BERI)
Bluefield Solar Income Fund (BSIF)
City of London (CTY)
European Assets (EAT)
Greencoat UK Wind (UKW)
Henderson Far East Income (HFEL)
Henderson Smaller Companies (HSL)
Hipgnosis Songs (SONG)
JP Morgan China Growth & Income (JCGI)
JP Mogran Global Core Real Assets (JARA)
JP Morgan Emerging Markets Income (JEMI)
Law Debenture Corporation (LWDB)
Merchants Trust (MRCH)
Middlefield Canadian Income (MCT)
Murray International (MYI)
North American Income Trust (NAIT)
Real Estate Credit Investments (RECI)
Scottish Mortgage (SMT)
Utilico Emerging Markets (UEM)

Itsallaguess
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Re: Wasron’s annual portfolio review

#497722

Postby Itsallaguess » April 30th, 2022, 5:55 pm

Wasron wrote:
Conclusions

I still get my head turned by higher yields (EPIC, VOD, ASHM), but I’m getting better at topping up the lower yielders to maintain the balance (trailing 12-month yield for the SIPP is 4.3%).


I always enjoy reading your annual reviews Wasron - thanks for keeping them up.

Regarding your point above, and as someone who's also still working but with an aim for their portfolio to provide some income for a hoped-for 'post-work' life, I've definitely found it easier to look further down the yield-risk curve as my portfolio has grown, and thus delivered the benefit of a growing level of internal-compounding of income.

I've had a long-term goal for the level of income I would like to be available and ultimately delivered, and part of that ongoing 'whilst still working' plan has included an element of 'new cash' from my working wage, as well as 'internally compounded cash' from re-invested dividends received.

I've found that as both of those elements have gone better than I'd originally planned for, I've been able to 'chase less yield' with the global, income-related Investment Trusts that I've been happy to invest in over recent years, and it's given me a great deal of satisfaction that my long-term income-generation plan has not only been able to generally stay on track, but it's also very important to me that it's been able to do so at the same time as my portfolio has generally moved away from being exposed to the sort of ultra-high-yielders that regularly gave me so much trouble in my earlier investment years.

Looking at the Forecast Yield for my overall income-portfolio, I see that it's currently sat at a little under 4.1%, so not too dissimilar to your own, and being happy with that general level of income has completely transformed my long-term investment outlook when viewed against the 'chasing yield' years that often gave me so much trouble...

Cheers,

Itsallaguess

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Re: Wasron’s annual portfolio review

#497729

Postby Dod101 » April 30th, 2022, 6:19 pm

I think the sentiments of Itsallaguess are excellent and I was going to say that chasing yield is not a good idea on the whole and in that context I would be wary of Vodafone.

If you can manage it, I would just leave things alone for the next year and see how it all goes. Churning is expensive and unless there is an obvious mistake, it often does not achieve very much. If there is nothing much wrong with a share, quite often a drop off one year will at least be made up the next.

I can see the benefit of looking at the entire portfolio as one, but always know why you are holding a share. I divide mine rather artificially between income shares and growth shares, but it is more a matter of emphasis than anything else because they all contribute some sort of income which is what I am primarily looking for.

Thanks for sharing.

Dod

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Re: Wasron’s annual portfolio review

#586437

Postby Wasron » May 1st, 2023, 7:08 pm

This is the sixth annual review since opening my SIPP and transferring a previous pension into it, but my income portfolio (that I previously called a HYP) has been running for 10 years now.

The SIPP is intended to provide an income in retirement (from 58), and my wife and I will use ISAs to live off between 55 and 58, drawing down both capital and income. At 55 I intend to finish work and transfer my current employer’s pension into the SIPP, and then at 58 extract most of the transferred amount as my tax-free cash to repopulate the ISAs. The income portfolio is mostly in the SIPP.

In 2021 I came to the conclusion that making any kind of distinction between my HYP and ITs wasn’t something I was interested in doing anymore, so the whole portfolio is considered together when I’m looking at top-ups.

As usual, there have been several new holdings and several more sold, as I continue to search for the right balance in the portfolio. The general trend is a reduction in UK exposure, and I’m now at 41 holdings in total, which feels closer to what I’m aiming for.

Performance
In capital terms, the SIPP has barely moved, and with inflation taken into account its value has fallen in real terms, but there’s a war happening in Europe, so it could be far worse.

On an accumulation basis the unitised capital performance of the SIPP has been as follows:

2017 – 100
2018 – 103.38
2019 – 109.77
2020 – 94.57
2021 – 123.16
2022 – 127.69
2023 – 127.89

Dividends for the year are up 8.9% on last year, but it’s been a case of paying dividends out of capital when the SIPP is taken as a whole.

The ISAs have had another respectable year on the capital front, hampered only by Scottish Mortgage and Hipgnosis Songs. I’ve continued the ETF experiment using a 50:50 split between VWRL (global tracker) and SGLN (gold) for a large proportion of one of the ISAs, my ‘barbell’. The combined performance of the two over the last 12 months has been 3.2% TR (it was 14.6% the year before). I hadn’t expected the barbell to provide any positive return, so this is another possible signal to keep simplifying what I’m doing. The rebalancing will take place next week, taking the form of topping up VWRL from available cash.

The target capital figures for the ISAs (calculated as three years of income, as if I were retiring today) look like I’ve gone significantly backwards, but the inflation forecasts mean that a lot more capital will be required to maintain the same standard of living. I’ve also withdrawn a significant chunk of the capital to pay for a big trip to Canada, while the kids still want to go on holiday with us. If I replaced that money today the 2023 figure would be 112%, so this isn’t a bad performance in the current climate.

2018 – 79.8%
2019 – 89.9%
2020 – 91.9%
2021 – 119%
2022 – 121.4%
2023 – 102.7%

Buys and Sells
7 complete sales and 3 new holdings over the last 12 months, but with loads of top-ups and a few trims as well not covered here (I tend to top up four or five shares every month on the regular investment dates)

Here are my notes on each, paraphrased from those made at the time (with any recent comments in italicised brackets):

[BUY] International Biotechnology Trust (IBT) – pays 4% of NAV each year, providing broader pharmaceutical coverage than just GSK. Similar to SMGB in that it gives broad coverage of a sector that’s not well covered by individual UK shares.
[SELL] Imperial Brands (IMB) – results are out and they’re pretty good, price rises so I’m 10% in profit. After seeing MiL die from lung and neck cancer last year this was not an investment I wanted to carry on my conscience any longer. Funds diverted into RECI, SONG, IBT and SMT, so this is an income-reducing move, but one I felt I needed to make (no regrets here, profiting from tobacco never sat easily with me)
[BUY] Tritax Big Box (BBOX) - added back in at 199p, after previously selling at 228p. Discount is now 7%, compared to the 23% premium at point of sale. Will continue to add over time (initial re-purchase was in June 2022 and I’ve gradually added since then at much lower prices)
[SELL] JPMorgan China Growth & Income (JCGI) - sold, price same as original purchase during covid. Nagging doubt about whether Chinese govt will allow westerners to make money from China, money redirected into Admiral (no regrets about this, it was too volatile for my liking)
[SELL][BUY] GSK (GSK) - sold at £17.76 prior to the split of Haleon. GSK was near a 5yr price high and had signalled lower dividends in future. Intention was to potentially buy back in post-split, which happened in August at £14.20, after an issue with Zantac sent the price tumbling 10%. Will add to gradually, having made a decent wedge of profit on the trade (happy with this one, as GSK was one of the first shares I ever bought)
[SELL] Tate & Lyle (TATE) sold, swapping them for JGGI, removing single company risk and getting a better yield (I’d been asking myself for a while why I still held Tate & Lyle, especially after they cut the dividend, so this was part of the shift to ITs)
[BUY] JPMorgan Global Growth & Income (JGGI) – Another of JPMorgan’s IT’s targeting 4% dividend, using capital where necessary. A global IT that’s a mixture of growth and income, with fits with the current investment approach
[SELL] Ashmore (ASHM) – Part of the portfolio rationalisation, as I hold two asset managers (the other is Schroders), with proceeds used to top up holdings across the board, including Schroders
[SELL] City of London (CTY) – I have been gradually reducing my CTY holding as I didn’t feel like I needed four UK-focussed ITs as well as all the individual holdings. The last was sold in February with funds spread across other ITs
[SELL] HSBC (HSBA) - HSBC sold, after it emerged that they were denying HK residents who fled the country their pensions. It was the final straw for me, given my unease about their submissiveness to the Chinese state. Funds diverted into MCT who have significant Canadian bank holdings
[SELL] Vodafone (VOD) - Vodafone sold after seeing the price rise while on holiday. Vodafone have been a serial disappointment, but the recent rise has allowed them to be sold in profit, with the funds spread across ITs

There are another five holdings that I’d consider selling at the right price:
- Paypoint (too small, never really performed in recessionary times as I’d expected)
- Ibstock, Ediston Property, NewRiver (I think something like VanEck Global Real Estate ETF would be better than these three smaller niche players in the property sector)
- Carnival (Terrible timing buying this a few months before covid, but it’s so laden with debt these days it’s much less able to handle the next pandemic)
I’m not in a rush to sell any, but would prefer to see the total number of holdings drop below 40 over the next couple of years.

Fun Trades
There were a few of these this year, the result of carrying a reasonable amount of cash in the account at times. They were profitable, but also small in the context of the portfolio.

[BUY][SELL] Barratt Developments (BDEV) - bought for a bit of fun after seeing analysis suggesting the price falls were overdone. Held for three months but little happened. Came out with enough profit to buy a decent meal for two in a nice restaurant, but with recession on the way and rate rises kicking in I wanted to move the money into something I perceived as lower risk and longer term
[BUY][SELL] DS Smith (SMDS) – added back in after price had fallen 20% (and dividend restored) from previous sale price (341p in May 2020, with dividends suspended). Price gradually recovered to the original selling price so were sold for a significant profit
[BUY][SELL] Admiral (ADM) – bought as the price declined while dividends continued. Closed the position and took the profits soon after DLG cancelled their dividend, as I didn’t want to risk the same happening to Admiral

On my watchlist
VanEck Global Real Estate ETF (TREG - yielding 4.5%), as mentioned above
iShares Developed Markets Property ETF (IWDP – yielding around 3.75%), lower yield than the VanEck option, but is traded in much higher volumes on the AJ Bell platform making it more accessible and available for regular investments
Aquila European Renewables IT (AERI) – yielding around 5.5%, it would be an infrastructure play with a European (rather than UK) focus

Conclusions
ITs still seem to be doing a bit better than individual shares, the ISA barbell is doing its job and I’m creeping along roughly on track.

I’m still scratching the itch to ‘do something’ by having the odd fun trade in play, which have all been sold when I wanted the money to invest elsewhere, but in the grand scheme of things it’s ‘steady as she goes’.

As always, thanks for reading and comments are very welcome

List of holdings to follow

Regards.

Wasron
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Re: Wasron’s annual portfolio review

#586438

Postby Wasron » May 1st, 2023, 7:10 pm

A summary of current holdings:

ETFs
VanEck Semiconductor (SMGB)
Vanguard All World ETF (VWRL)
iShares Physical Gold (SGLN)

Individual Shares
Carnival (CCL)
Coca Cola Hellenic (CCH)
Diageo (DGE)
Ediston Property Investment Company (EPIC)
GlaxoSmithKline (GSK)
Ibstock (IBST)
Lancashire Holdings Ltd (LRE)
Legal & General Group (LGEN)
Mondi (MNDI)
National Grid (NG)
NewRiver REIT (NRR)
PayPoint (PAY)
Primary Health Properties (PHP)
Reckitt Benckiser (RKT)
Schroders (SDR)
Tritax Big Box (BBOX)
Unilever (ULVR)
WPP (WPP)

ITs
BlackRock Energy Resource Income (BERI)
Bluefield Solar Income Fund (BSIF)
European Assets (EAT)
Greencoat UK Wind (UKW)
Henderson Far East Income (HFEL)
Henderson Smaller Companies (HSL)
HICL Infrastructure Company Ord (HICL)
Hipgnosis Songs (SONG)
International Biotechnology Trust (IBT)
JP Morgan Emerging Markets Income (JEMI)
JP Morgan Global Core Real Assets (JARA)
JP Morgan Global Growth & Income (JGGI)
Law Debenture Corporation (LWDB)
Merchants Trust (MRCH)
Middlefield Canadian Income (MCT)
Murray International (MYI)
North American Income Trust (NAIT)
Real Estate Credit Investments (RECI)
Scottish Mortgage (SMT)
Utilico Emerging Markets (UEM)


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