I know that the trade emails can feel overwhelming. So each Friday, I like to take a step back and give you a snapshot of what’s inside my account right now.
Performance so far this year (Jan. 1 to May 1): 0.89%
vs. The S&P 500 Index: 7.88%
Thoughts for the Week:
My account balance is trending in the right direction, but it’s falling way behind the broader stock market. And while part of me wants to complain that this market is “crazy,” the reality is that my process isn’t working, and I’ve been selling things too early.
Upon reflection, I am finding that my investments are falling into one of three categories.
There are “core” holdings—things that I feel comfortable owning for years on end.
There are “satellite” holdings—things that I feel comfortable holding for a bit, but perhaps not forever.
And then there are “momentum” holdings—things that feel like hot potatoes (i.e., they can move up or down dramatically in a matter of days).
You’ll see these three categories reflected in the new chart below. My hope is that, by adopting this new “core-satellite” model—with a touch of momentum here and there—I’ll get better returns, steadier growth, and, frankly, less frenetic trading.
I am so grateful for your continued support.
The Market Outlook for this Coming Week:
The investments currently inside my Roth IRA:
