First steps investment portfolio (December 2022-December 2023)
Expected profitability
25%
Current profitability
6.7%
Optimal amount of investment
10 000 USD
Risk
20 %
Investment term
12
months
Whole period
Portfolio indicators
Current profitability
6.7%
Monthly profitability
9.50%
Current drawdown
0.13%
Maximum drawdown
4.33%
Portfolio formation date
05.12.2022
Portfolio end date
01.12.2023
Description
Review
Strategy
Analysis
Description
The First steps conservative investment portfolio is a low risk portfolio. S&P 500 serves as a benchmark for this portfolio yield.The distribution of investments in various stocks allows to mitigate portfolio risks and get a reasonable returns
Review
02.03.2023
Apple (AAPL) dividend of $1.15 received
07.02.2023
Gold (XAUUSD) was added to the porfolio with the target price at $1996 per troy ounce
U.S. 10-year Treasuries (TNOTE) sold with a profit of $8.8
10.01.2023
No changes were made to the protfolio's structure
12.12.2022
Launch of the portfolio
Apple (AAPL) dividend of $1.15 received
07.02.2023
Gold (XAUUSD) was added to the porfolio with the target price at $1996 per troy ounce
U.S. 10-year Treasuries (TNOTE) sold with a profit of $8.8
10.01.2023
No changes were made to the protfolio's structure
12.12.2022
Launch of the portfolio
Strategy
Two types of stocks were included in the portfolio in order to meet its targets. First, stocks os sustainable companies with regular dividends were included. These stocks have low potential for their prices to rally. Second, growth stocks with significant upsude potential were included that should become a major upside driver for the portfolio.
Portfolio structure may vary depending on market performance.
Portfolio structure may vary depending on market performance.
Analysis
02.03.2023
Portfolio performance: -1.62%
Expected profit: 12.2%; risk: 9.0%
07.02.2023
Portfolio performance: -1.45%
Expected profit: 12.4%; risk: 9.0%
10.01.2023
Portfolio performance: -1.76%
Expected profit: 8.5%; risk: 10.0%
12.12.2022
Launch of the portfolio
Portfolio performance: -1.62%
Expected profit: 12.2%; risk: 9.0%
07.02.2023
Portfolio performance: -1.45%
Expected profit: 12.4%; risk: 9.0%
10.01.2023
Portfolio performance: -1.76%
Expected profit: 8.5%; risk: 10.0%
12.12.2022
Launch of the portfolio
Underlying Asset Information
S&P 500
Gold
Apple
Adobe
Google
Tesla
S&P 500 broad stock market index is considered the leading stock benchmark in the world. Over 500 top companies with the largest market capitalisation are listed in the index. The S&P 500 index is a highly deversified finnancial asset.
Highly deversified asset
High dowside potential
Gold is historically used as a hedge. In this case it is used as a shock-absorbing asset. When the stock market is falling the presence of gold will cushion it as the gold has negative correlation with other risky assets such as stocks and stock indices
• Hedge asset in the falling stock market
• Significant growth potential compared to U.S. Treasuries
• Long-term upward trend
Apple – Famous personal computers, tablets, phones, digital players and software producer. One of the pioneers in personal computer manufacturing. Innovation and design made Apple iconic among consumers of digital devices with unique reputation that could be compared with a religion.
• Significant growth potential
• Is a growth stock
• Financial sustainability of the Company
• Booming IT-sector
Adobe Inc. operates as a diversified software company worldwide. Its Digital Media segment provides tools and solutions that enable individuals, teams, and enterprises to create, publish, promote, and monetize their digital content. Its flagship product is Creative Cloud, a subscription service that allows customer to download and access the latest versions of its creative products.
Company's earning are close to $4 billion a year. The Company revenue growth is expected to continue, including from newly released products.
Company's earning are close to $4 billion a year. The Company revenue growth is expected to continue, including from newly released products.
• Fast recovering sector company
• Is a growth stock
• Sustainable business
• Growing revenues and earnings
Google is an American multinational technology company that is now a part of conglomerate called Alphabet Inc. The company specializes in Internet-related services and products, which include online advertising technologies, a search engine, cloud computing, software, and hardware. It is one of largest Tech giants in the United States together with Amazon, Facebook, Apple and Microsoft. Google generates most of its revenues from advertising.
• Revenues and earnings growth
• Still low interest rates in the U.S.
Tesla – an American electric vehicles manufacturer and electric storage solutions producer. The company was founded in 2003 and is based in California. The first car model was produced in 2009.
• Significant growth potential
• Is a growth stock
• Financial sustainability of the Company
• Booming electric vehicles sector