Damien Albin Douarre @Lyssky: "𝐏𝐨𝐫𝐭𝐟𝐨𝐥𝐢𝐨 𝐔𝐩𝐝𝐚𝐭𝐞 📈 Some cleanup this..."

France

𝐏𝐨𝐫𝐭𝐟𝐨𝐥𝐢𝐨 𝐔𝐩𝐝𝐚𝐭𝐞 📈 Some cleanup this week and sharp optimization, we go alpha-hunting while preserving the dividend income: 🔴 𝗣𝗼𝘀𝗶𝘁𝗶𝗼𝗻 𝗰𝗹𝗼𝘀𝗲𝗱: $TROW (T Rowe Price Group Inc) @ $100.57 (+1.75%) 🔴 𝗣𝗼𝘀𝗶𝘁𝗶𝗼𝗻 𝗰𝗹𝗼𝘀𝗲𝗱: $JNJ (Johnson & Johnson) @ $229.16 (+45.95%) 🔴 𝗣𝗼𝘀𝗶𝘁𝗶𝗼𝗻 𝗰𝗹𝗼𝘀𝗲𝗱: $SWDA.L (iShares Core MSCI World UCITS ETF) @ $10,090 (+7.69%) 🔴 𝗣𝗼𝘀𝗶𝘁𝗶𝗼𝗻 𝗰𝗹𝗼𝘀𝗲𝗱: $MSTR (Strategy Inc) @ $174.30 (-47.5%) 🟢 𝗡𝗲𝘄 𝗯𝘂𝘆 : $RMS.PA (Hermes International) 0.25% of the portfolio’s equity @ €1650.50 🟢 𝗡𝗲𝘄 𝗯𝘂𝘆 : $OHI (Omega Healthcare Investors Inc) 0.75% of the portfolio’s equity @ $47.19 🟢 𝗡𝗲𝘄 𝗯𝘂𝘆 : $CS.PA (AXA Group) 2.25% of the portfolio’s equity @ €40.71 🟢 𝗡𝗲𝘄 𝗯𝘂𝘆 : $O (Realty Income Corp) 0.50% of the portfolio’s equity @ $64.20 🟢 𝗡𝗲𝘄 𝗯𝘂𝘆 : $VITL (Vital Farms Inc) 0.25% of the portfolio’s equity @ $12.49 As I said, a lot of cleanup! And this was done to align more closely with my strategy of maximizing passive income while keeping the lowest possible exposure to the Tech and AI sectors, without giving up all potential alpha. So, why did I exit these positions? First of all, they were very small, representing less than 3% of the portfolio in total. That’s too small to provide meaningful diversification and doesn’t contribute much to overall performance ($MSTR could have gone up 3x and my portfolio likely wouldn’t have noticed). It made more sense to cut the noise, especially when these positions weren’t reducing volatility. Then, my thesis evolved somewhat: 🔸 $TROW is facing short-term earnings pressure, as its earnings are directly tied to AUM. If investors withdraw capital (which could happen for several reasons in the coming months, including global market repricing, migration toward lower-fee products, or selling to cover losses from a potential private credit downturn) earnings could remain under pressure, weighting on the stock which is currently not cheap (although it was just a couple weeks ago when I rightfully reinforced). 🔸 $JNJ is a great business, but its valuation has returned to its historical average, which means we are moving into more speculative territory. Normally that wouldn’t be a major concern, but given that it was a smaller position and there are more attractive yields available with similar or better growth prospects, I decided to exit. 🔸 $SWDA.L and $MSTR were simply not meaningful positions because of their size. I remain fully confident in the long-term outlook for $BTC, but I’d rather realize the loss on $MSTR, free up capital, and redeploy it into dividend-producing assets rather than wait to break even. Now for the positions I reinforced: ✔ I believe $RMS.PA is currently trading at an attractive discount, even with a relatively high PE ratio. The company has expanded significantly, is one of the global leaders in its sector, and still has substantial dry powder, supported by multi-year waiting lists for iconic products and a highly conservative store expansion policy. ✔ $VITL is one of the cleanest compounders I’ve come across, with 28% earnings CAGR, no debt, and no issuance of preferred shares (only minor common share issuance worth less than 1% of total equity over the last five years, which is negligible relative to earnings growth). ✔ $OHI, $O, and $CS.PA are high-quality businesses with consistent execution, offering both solid yields and strong dividend protection. Together, they should more than offset the yield lost from exiting $TROW and $JNJ. This rotation may look significant, but it only represents 4% of the portfolio’s total equity. Mostly fine-tuning, aimed at improving long-term performance clarity while strengthening passive income generation. Following these adjustments, and some of that generous dividend received during the week from $ADAM (Adamas Trust Inc), $EOG (EOG Resources Inc) and $MC (Moelis & Company), cash holdings are now at 12.14% of the portfolio. Cheers 🥂 D.A.D $SPX500 $NSDQ100 $FRA40 𝘋𝘪𝘴𝘤𝘭𝘢𝘪𝘮𝘦𝘳: 𝘛𝘩𝘪𝘴 𝘱𝘰𝘴𝘵 𝘳𝘦𝘧𝘭𝘦𝘤𝘵𝘴 𝘮𝘺 𝘱𝘦𝘳𝘴𝘰𝘯𝘢𝘭 𝘰𝘱𝘪𝘯𝘪𝘰𝘯𝘴 𝘢𝘯𝘥 𝘪𝘯𝘷𝘦𝘴𝘵𝘮𝘦𝘯𝘵 𝘥𝘦𝘤𝘪𝘴𝘪𝘰𝘯𝘴. 𝘐𝘵 𝘪𝘴 𝘯𝘰𝘵 𝘧𝘪𝘯𝘢𝘯𝘤𝘪𝘢𝘭 𝘢𝘥𝘷𝘪𝘤𝘦. 𝘐𝘯𝘷𝘦𝘴𝘵𝘪𝘯𝘨 𝘪𝘯𝘷𝘰𝘭𝘷𝘦𝘴 𝘳𝘪𝘴𝘬, 𝘢𝘯𝘥 𝘱𝘢𝘴𝘵 𝘱𝘦𝘳𝘧𝘰𝘳𝘮𝘢𝘯𝘤𝘦 𝘪𝘴 𝘯𝘰𝘵 𝘪𝘯𝘥𝘪𝘤𝘢𝘵𝘪𝘷𝘦 𝘰𝘧 𝘧𝘶𝘵𝘶𝘳𝘦 𝘳𝘦𝘴𝘶𝘭𝘵𝘴

Not investment advice. The author may have financial interests in the mentioned instruments.