It’s time for us to move to a monthly report as we near the holiday season and can now wait for the trades already made to “reap the benefits” at some later time. We were up over 10% at one stage but then ended the period back down around a still positive 6.6% since June. Camplify and MRNA (new) were good but Qantas, A2M, Archer and other tech stocks were negatively affecting our portfolio. We expect these to bounce back at some point as the tech stocks continue their good progress towards commercialisation of their innovations.
We are also still very cautious, holding cash and waiting for better opportunities, as the conflicting challenges of “Omicron” (or other virus variants) that can instantly close borders and tourism or trade vs the fear many had about rising inflation and interest rates. Now we know that it cannot generally be both, so which will be the main force for 2022? Our guess is that the latter because the world is getting more used to living (or dying) with Covid and governments cannot afford to keep closing things down. Of course, the problem will be if the hospital systems can manage the inevitable waves in future? However, the main difference now is that not only do we have vaccines that can be quickly changed (like the flu virus) but that more treatments are coming through for those that do catch Covid resulting in shorter hospital stays.
You can see the more detailed consolidated spreadsheet Aware-Inv-Portfolio-30-11-21
The report form Interactive brokers here.
Bell Potter portfolio here.
With Cryptocurrencies also very volatile during the past month. Some players (i.e. large traders) are obviously making a lot of money but we are still relatively small in comparison. Technical trading is almost impossible when these players simply buy and sell whenever they feel like it and I doubt they care what the charts are telling them. There’s often moves of +/- 20% which is simply riduculous and then you still get many authorities trying to warn people that the Cryptos could be a scam and worthless. It is certainly probable that some will be worthless but right now there’s clearly hundreds of millions of people not listening to authorities because many of these people are desperate to make some money any way they can – eg. low income people from the Phillipines playing Axie.
So we will continue to hold the diversified portfolio below and hopefully it will continue to give us a hedge against inflation and other market volatility.
Merry Christmas and hope to see you soon!