Portfolio adjustment

Dear FI seeker,

We would like to report some changes in our portfolio:

  1.  Sold our position in TransOcean (RIGN.VX), that was  not because the stock went up and we would have made capital gain, but RIGN will be delisted from the Swiss exchange and it’s performance is very low, not given dividend for the minimum next 2 quarters. Therefore we are not making money out of it. Ok, in this operation, we lost 61k compared to our buying price. I know a lot of people will scream out, but sometimes you need to take hard decision. This loss, is half compensated  by this year capital gain we made at the beginning of the year, so our net loss is 31k.
  2. Bought Novartis (NOVN.VX) Shares, Novartis is the largest pharmaceutical company by sales and have promising drug pipeline and very good dividend distribution.
    1. We bought 570 shares at 90.74CHF, it will add around 960CHF of net dividend next year.
  3. Bought LafargeHolcim N (LHN.VX) shares to average down our previous position and considering the next year dividend increase that will be proposed to shareholder (from 1.3CHF to 1.5CHF, 15% increase).
    1. We bought 1075 shares at 54.85CHF, which will average  down our buying price to 57.7CHF versus 62.5CHF previously. It will add around 1560CHF to our dividend distribution next year.

So, December, is not financially positive, but we are fully confident that the actions we took this month will pay in the future.

I will update our portfolio page very soon.

What about you, how December look like?

Cheers, RA50


Markets crisis or should I say tension

Dear all,

I went through the performance of our portfolio considering the markets situation, the Greek endless crisis, the Chinese market falling like hail in summer and the reaction of the global markets. Well, the picture is really not nice. In almost one month, the actual value of the portfolio vs. our calculated selling price of each shares (including all broker fees) went down from -8.3% to -14.1% or in percentage point -71%.

Looking at the positive side, it gives us an opportunity to buy shares at discounted prices or investing on our tax advantage account (3rd pillar), our cash position available is around 156’000 CHF. the split is one-third for the broker account and two-third for the tax advantage account. In order to keep a certain cash value as an emergency fund, we will probably not touch the broker account, but investing in our 3rd pillar.

In next couple of day, I will closely look at the market and evaluate how much, and on in which of the fund we will put money to work.

What is your situation, hopefully better than our.



Portfolio decrease and increase

Dear all,

We are pleased to announce a portfolio decrease and directly after a portfolio increase. On Tuesday 5th, UBSG.VX announced an above estimation first quarter, the stock jump by around 7%, we jump on the occasion and sold our entire position at a level of 6.9% increase based on our purchased cost. It represent a cash gain of 12’230.00 CHF. We believe that UBS will continue to provide solid results in the future as well as important dividend distribution. By chance, at the end of the day the market drop by 2%, so we took the cash just gained and reinvested it completed.

We bought 10’100 shares at a value of 19.90 CHF, considering the different broker fee, taxes, we will be able to sell the stock at a value of 20.17 CHF or 1.36% about the purchase value. The good point is that these transactions are before the ex-date, so we will still get the dividend of 0.5 CHF or 5’050 CHF!

This gain allow us to achieve so far a capital gain of 32’341 CHF, which has you know is free of tax in Switzerland!

Considering our personal saving, the dividends and the capital gains to date, we should save this year a minimum of 107’000 CHF, which is inline with our objective of saving a minimum of 100’000 CHF. We still have 8 months in front of us, so I can already say that we will have a great year!

What about you, have you been able to estimate your annual savings?



Portfolio decrease

Dear all,

I would like to inform you that we sold the shares of our UBS Vitainvest 50 Swiss fund. We made 6.7% or 6’776 CHF of capital gain. If you remember, we bought just after that the massive drop of the Swiss market due to SNB decision to stop supporting the Swiss Franc.

We took this decision in order to have a cash position in case of future market drop, so our cash position is just above 100k.

This portfolio decrease is following our mix investment strategy (Mix investment strategy) and we have a +/- 6% gain selling limit which for this position we are just above.

What about you, any selling to have cash position for market drop?

Cheers, RA50

Portfolio decrease or future increase?

Hi All,

What a title for a post, yes, I agree it is a bit a strange, but am going to explain you the reason. In our current portfolio, we are indicating a position of PMI stocks, which were not physically in our position as it was stock options, I received 3 years ago and are vesting this month. This mean that I will receive physically the shares and sell them to get the cash.

Now, after evaluating our current portfolio, I am building a cash position that will allow us to enter new positions, in stocks or in funds. It’s what I am evaluation at the moment as well as when will be the best time to do that.

This is the reason of the title, the portfolio decrease now but will grow in near future.


Portfolio decrease

Dear Friends,

Today, we sold our Adecco shares at a value of 73.90CHF, this give us a net gain of 3’267.0 CHF or 6.32%.

We decided to sell Adecco as this gain makes a significant upside to our portfolio. If we would kept the shares until the dividend distribution, we would have only a 975.0 CHF net gain.

Now our available cash stand at around 60k, which will increase with the upcoming dividend season.

I will update you as soon as all the companies have reported their 2014 results and dividends proposal. But as of now, I can already say that we are going to surpass by a large margin our dividend gain estimation, thanks to cash distribution (net of taxes) that most of the companies have decided to give to shareholder.

I have updated our portfolio based on today action.


Portfolio progress

My objective for the next 10 years, Is to achieve or surpass the below increase curve that we achieve for the last 8 years, having an average increase of more than 123K/year.

This increase is composed of a 22% saving of our monthly salary, the dividends received and the buying/selling process.

Since 2011, I really started to look at the dividend gain, which before was not my strategy. For this year, I am expecting a lower dividends gain but again the market situation will drive my purchases.


In my next post, I will describe the our retirement scheme that we have in Switzerland (3rd pillars).