As a matter of fact, during this month, I have opened two new exciting positions in my investment portfolio. I am confident these will help me achieve my ling term goal of financial strengthening.
The August 2016 additions to my portfolio:
x500 Unicredit spa (BIT:UCG) @ €2.00
x431 British Land Company plc (LON:BLND) @ GBX 650 (or £6.50)
Unicredit spa is the second Italian bank for market cap. At €2/share, I consider it very cheap.
Looking at the fundamentals, the €2 price point represents a P/E of 6.06 which is very cheap, 6% dividend yield (even when considering Italian withholding tax on distributions) is great for my passive income strategy. The performance in august has been astonishing ever since I made the purchase, with a current price of €2.35. Not bad at all!
British Land Company is a much different beast. It is a British REIT business which holds estate properties in several areas, from office space to shopping centres. Because of Brexit, the general confidence in land and estate properties had fallen dramatically. Hence why I decided to risk it and invest in this kind of stock. So far so good, as the stock trades at GBX 671.
The stock pays a decent dividend (around 5%), no withholding tax on this one as it's a British company purchased through my ISA. P/E of only 5.4, another bargain!
The above investments will take me one step closer to my ultimate goal of robust cash inflow.
Few months back I kind of promised myself I would have resisted to the temptation to invest any further during August, as I wanted to maximise my firing power in September (generally considered a bearish market, as you can read here). However, as these new opportunity emerged, I decided to go ahead with the purchase. At the end of the day you never know when the next market correction will take place.
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| August update - ISA utilisation progress |
Now the focus is on September. Hopefully this month will open up new entry points in some interesting companies I am following.
Some names include: Johnson&Johnson, P&G, Unilever (I think I am not sufficiently exposed to the consumables sector), Pepsi, Diageo. These are just some of the many names in my watchlist.
Of course I will keep you updated through my Twitter account on any new purchase. Just waiting for the right conditions...
Thanks for reading.
Yours,
The Gentleman Investor
I have some JNJ. It's a great long term holding. Hey it's been awhile since your last update. Did you add anything new to your portfolio since September?
ReplyDeleteHi Liquid, thanks for stopping by!
ReplyDeleteI actually bought some JNJ few weeks after this post was published. I am writing a new post with a summary of H2 2016.