Portfolio Update, 31 March 2021
🚨 PORTFOLIO UPDATE 🚨
So, at the moment I’m following what’s called a ‘core' and satellite' approach. Ideally, the core portion is made up of low-cost index-tracking ETFs and should make up the vast majority of my portfolio.Â
The satellite portfolio is made up of high conviction ideas I have. Â like CSL or BBN
I’m trying (and failing 🤣) to keep the satellite part of the portfolio below 20% of assets to reduce my risk. For good or bad, things haven’t gone exactly to plan. Let me explain.Â
I’m currently heavily overweight Baby Bunting. This is mainly because I made a pretty substantial investment (for my money at least) when their share price took a dive in March 2020. Since then, BBN has recovered well, but it’s meant that they’re still taking up nearly half of my satellite portfolio.Â
To reduce my downside exposure to BBN without selling down my position (I believe there’s still plenty of room for growth with BBN) I invest the same amount into my 3 core ETFs (NDQ, VGS & VAE) on a rolling 3-month cycle.Â
 2021 has been a far more normal year (so far) in terms of my portfolios performance (no covid crash) For context, I’m up about. 10% for the year to date across the portfolio, which is close to my goal of a 15% return for the year (excluding dividends).Â
I do like to keep some cash on the sidelines for any short term pullbacks in companies I like, or in the market overall. My cash position has increased quite a lot over the first quarter mainly because I’m contributing more from my pay each month into my investing account while also selling down a couple of positions.Â
For the  rest of 2021, the plan is to continue dollar-cost averaging into my core ETF portfolio, while also keeping an eye out for any exciting opportunities for the satellite portfolio to reduce my cash position and consolidating overlapping ETFs (IHVV and VGE).
I’ve made created some new positions (CSL and A2M) because think they’re great companies available at reasonable prices following pull backs from their highs. You’ll also notice the ‘others’ category, which is essentially a collection of US companies I hold through @hellostake like Visa.
Pheww thats all, Folks!