LM portfolio as at 07/01/2022:
| Code | Sector | Date Bought | Cost | Value | Gain/Loss |
|---|---|---|---|---|---|
| LM028 LM028-2 |
'No specific industry' | 16/11/2020 10/08/2021 |
£2280 | £3100 | 36.08% |
| LM037 LM037-2 |
Life Insurance | 03/03/2021 05/07/2021 |
£2290 | £2700 | 18.14% |
| LM038 LM038-2 |
Banks | 10/03/2021 04/01/2022 |
£2290 | £2620 | 14.45% |
| LM039 | Pharmaceuticals & Biotechnology | 30/03/2021 | £1030 | £1160 | 12.61% |
| LM040 LM040-2 |
General Financial | 27/04/2021 22/11/2021 |
£2290 | £3000 | 30.81% |
| LM041 | Real Estate Investment Trusts | 27/07/2021 | £1270 | £1410 | 10.78% |
| LM042 | Construction & Materials | 27/07/2021 | £1270 | £1370 | 7.57% |
| LM045 | Gas, Water & Multiutilities | 06/12/2021 | £1280 | £1240 | (2.97%) |
| LM046 | 'No specific industry' | 29/12/2021 | £1270 | £1040 | (17.64%) |
LM046 may well become the shortest ever trade in the LISA Millionaire experiment as the underlying share dropped around 14% this week.
It has been a very poorly performing share for several months now. I watched it closely and bought in when it showed some decent upwards potential. Of course, the moment I completed the purchase the share price began to drop. And now it lies very close to the 20% stop-loss point.
Whilst I do hope it recovers, I am quickly losing patience with it and may cut the position and take the loss.
From there I will continue monitoring it as there may be a recovery at some point. However, there's no point holding and hoping. Better to cut the losses and wait.
As part of my weekly checks I have decided to also look at 52 week lows in the hope of following shares that have been decimated but may come back. Sometimes you see shares make lows, and then rebound upwards in a very short space of time. It would be good to perhaps create a strategy for finding these shares and working out when to invest for the best chance of capturing some profits.
Purchasing LM046 has reinforced the message that patience is a virtue. Maybe I was worrying too much about missing the bus when I should've been waiting for further confirmation before jumping in.
Yes, I definitely lumped on this one too early but luckily I always use the same money management so losing 20% on this trade will not make a large hole in the bank. It will just bruise my ego a little.
There were no new additions or pyramids this week but outside of the LISA I did finally sell my Bitcoin holdings. The Bitcoin price has been declining in recent weeks and it has dropped below the 200 day SMA so I sold everything I had. It wasn't a lot but certainly a huge return from the £15 I initially invested 6 years ago.
When I am back in the black i.e. when my tax bill has been paid and 2021/2022's LISA contribution paid in full, I will likely buy back in to Bitcoin. I'd certainly like to own the same amount that I just sold and if I can buy it back at a significantly reduced price then all the better.