Paul Mitchell
United Kingdom
1m
Portfolio update: Recent market jitters has revealed some of the positions I had were not performing as I would have liked under these conditions. I have changed how I want to be hedging against market downturns. I have sold the short position in S&P500 which seems no longer useful in this current market as there is a good chance US stocks can continue at current levels while USD drops. Instead I have gone long on Gold and Silver as this will hedge against both USD and US stock markets falling at the same time. It is clear now that Gold is still the safe haven in times of uncertainty even in this modern age. I also have a short position in what I consider to be the most overpriced large company at the moment (Tesla). This should have a more focused effect of reducing my portfolio losses in the event of a big market event. I have also sold Flowtraders which was also a hedge position but just has too much uncertainty on if it would actually perform in a downward market. Too much of a black box and difficult to unpick from an outsider I realised. Another sale of an under performance is the Argentina fund. This has tipped into the wrong side of risk/reward as the government is fighting to hold up currency valuation, which is costing a lot of money for the country. This is extremely unwise, and undoing a lot of the good effects of government reform to cut costs and stabalise the economy. I suspect they won't be able to hold the currency up long term and therefore I would be able to buy back this fund at a cheaper price in a few months (if I wanted). A very unfortunate situation again for Argentina and disappointing from an investment point of view on how quickly a good turnaround can sour. Thank you again all my copiers and followers for having some patience in recent flat performance, I hope you can see that avoiding losing a lot of money when times are very unclear is a priority for me. The outcomes are VERY unclear at the moment, and putting trust in one direction, even if that is how things turn out, is ultimately unwise when it seems a very different outcome also had a reasonable probability.
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