LM portfolio as at 02/07/2021:
| Code | Sector | Date Bought | Cost | Value | Gain/Loss |
|---|---|---|---|---|---|
| LM026 LM026-2 |
ETF | 14/10/2020 09/12/2020 |
£2160 | £2550 | 17.69% |
| LM028 | 'No specific industry' | 16/11/2020 | £1010 | £1090 | 8.06% |
| LM030 LM030-2 LM030-3 |
ETC | 23/11/2020 13/01/2021 08/03/2021 |
£3050 | £4140 | 36.06% |
| LM032 LM032-2 |
Industrial Transportation | 07/12/2020 20/01/2021 |
£2070 | £3240 | 56.93% |
| LM033 | Health Care Equipment & Services | 04/01/2021 | £1050 | £1220 | 15.97% |
| LM034 | Food & Drug Retailers | 18/01/2021 | £1020 | £1140 | 11.55% |
| LM035 | Food Producers | 19/01/2021 | £1040 | £1090 | 4.08% |
| LM037 | Life Insurance | 03/03/2021 | £1020 | £1220 | 19.26% |
| LM038 | Banks | 10/03/2021 | £1020 | £1080 | 5.16% |
| LM039 | Pharmaceuticals & Biotechnology | 30/03/2021 | £1030 | £1100 | 5.14% |
| LM040 | General Financial | 27/04/2021 | £1020 | £1100 | 7.55% |
Perhaps it has come time to reassess the unit size in this LISA Millionaire portfolio.
Now the value of the fund has gone beyond £20,000 a unit size of £1,000 doesn't seem enough.
Due to some liquidation of trades, I have several thousand in available funds so there is definitely scope to increase the initial investment amount used when a new position is opened.
Opinions differ on how much you should risk on each trade/investment. Some say 1%, others 2% and so on.
With a portfolio of around £20,000, risking one or two percent doesn't give much to play with. Seriously, what can you do with £200 or £400?
The long-term plan for this fund is to get 18% return per year. Achieving this will involve a decent amount of risk because that's the only way to get the required reward. So rather than 1% or 2% percent, we really need to consider 5%+.
Therefore I have settled on changing the unit size from £1,000 to £1,250. At this level a pyramid of two units will make £2,500 maximum on any one trade.
This will be reassessed when (if) the portfolio value reaches £30,000.
Hopefully we aren't too far from that level as this year's contribution will be £4,000 plus the £1,000 bonus almost gets us there, just need a bit of a bump in profit from open trades.
No additions to the portfolio this week. The LM fund is ticking along with no real change in the current value. Far from a negative, this is probably to be expected as we arrive in the quiet summer months.