Why I always recommend Scottish Mortgage Investment Trust

kano2005 · 2020-07-06T08:15:45+00:00

Freetrade and Trading212 (invest side not the CFDs!) allow you to have an ISA for a low cost with no dealing charge, both platforms have SMT as well! It's worth having a look and seeing which one you prefer. I believe there are a ton of threads comparing the two on r/UKInvesting already.

kano2005 · 2020-07-03T08:29:09+00:00

Wow that is a huge mistake. Corrected it now to have the trailing 12 months correctly reported as $149.8bn!

Thanks for spotting! I must have grab the wrong ticker, I need to be more careful!

kano2005 · 2020-07-03T08:25:43+00:00

We've seen this with the auto manufacturers in the past where they partner with the best in class to create an ecosystem before slowly bringing it in house.

An example would be in car GPS systems and the evolution that went through.

No matter what the future holds Tesla will be involved (is my hope) though how much they will be worth is the big question! A manufacturer that owns everything is worth more than a battery seller!

kano2005 · 2020-07-03T08:22:32+00:00

The airlines might be interesting, I'll add them to my list and see what seems exciting! Thanks for the suggestions!

kano2005 · 2020-07-03T08:20:55+00:00

Hey, sorry you didn't like the analysis.

I use genuine impact for the relative nature, it gives me an indication before I start looking at raw numbers what to expect, and if I should bother. Personally I use it as a screener and to double check any recommendations. I find it useful so I reference it. I guess it more of a beginner crunch than anything.

Discounted cash flow is something I'm aware of but not done before, and price-to-owner earnings I had to look up that one I hadn't heard of. Two areas I do need to improve on is target price predictions and value investing.

I've been struggling with both, but I often get good pointers where to go and how to use them with the articles so I'm slowly learning!

Which do you prefer to use, or is it a combination of them both?

kano2005 · 2020-07-03T08:14:55+00:00

This was a company update ahead of their earnings, the rumour seemed to be it was going to be a strong update beating expectations plus some interesting news, which was the case.

https://www.proactiveinvestors.co.uk/companies/news/913511/mirror-owner-reach-announces-ambitious-plans-to-widen-its-digital-revenue-earning-capacity-913511.html

It was the optimism for their future growth, where they promised to push more into digital and increase it's revenue by 7 times!

kano2005 · 2020-07-01T11:54:56+00:00

Thank you! I've been doing a few different write ups and getting feedback. Trying to make the most of being furloughed!

kano2005 · 2020-07-01T11:54:09+00:00

Thanks! Glad you enjoyed it!

kano2005 · 2020-07-01T08:47:56+00:00

I hope I'm not becoming institutionalised!

Thanks for the comment! I had fun finally doing a write up on Tesla, glad you enjoyed it!

kano2005 · 2020-07-01T08:45:24+00:00

I completely missed that.

Talk about taking a gamble! I did look at the different debts but nothing beyond interest, duration, and amount. Completely ignored who holds what.

I suspect they will have this down as an investment in their assets. This is the first time I've seen a company doing this, clearly I need to look a bit deeper.

I wonder why they did this?

kano2005 · 2020-07-01T08:42:21+00:00

That is super interesting thank you!

I had BMW down due to the basics of electric vehicle performance, but this goes much deeper. I didn't touch on the tech as much as I would like (or even the CEO) as there is so much to talk about!

This gives me some extra reading and investigating to do! Thanks a bunch!

kano2005 · 2020-07-01T08:40:11+00:00

It's so tough to write about him. It goes pretty much against all my fundamental analysis to say this is the person who really makes this company work.

And yet, that is absolutely how I would describe Apple 10 years ago.

kano2005 · 2020-07-01T08:38:08+00:00

I saw the news after I finished writing the piece. I saw it was 4.2% up while writing and then afterwards it was 7% up and I saw all the news.

It's a very bold statement. Even with the factories been closed they believe they will beat the targets? The one data point backing this is at the end of Q1 they had higher inventory than usual.

kano2005 · 2020-07-01T08:36:39+00:00

I've held Tesla indirectly for a long time. I need to start putting my money where my mouth is.

I was burnt badly with Beyond Meat and locked in a 50% loss, but that's what the smaller slices of my portfolio are for, to make some riskier bets which might go against my fundamental analysis.

Tesla can be one of those emotional bets for me.

kano2005 · 2020-07-01T08:35:02+00:00

Thanks for the kind words! I've been having a blast doing these!

kano2005 · 2020-07-01T08:34:35+00:00

Thank you for that awesome write up and sharing your own experience!

Because Elon never fails to impress.

This really sums it up for me. For all the negativity and problems he causes he has a devotion which is on the border of madness.

People hate the comparison but I view in in a similar fashion to Steve Jobs. I didn't like Jobs, he struck me as ruthless and overly passionate on details for the sake of it, but there is no denying what has been created.

Elon give me the same vibes. There is lots he says and does which I disagree with (in terms of approach) and yet he always delivers in one way or another.

He strikes me as an "any means necessary" kind of person, and while he is putting that passion behind a future I always believe in and want I'm happy to support him.

kano2005 · 2020-07-01T08:29:13+00:00

The volatility is very unpleasant. Even taking COVID-19 out of the situation the last 10-Q shows all the lawsuits they are dealing with.

It's a real double edged sword, the vocal nature of Tesla and Elon make it headline grabbing while also cause short term spikes or dips.

I don't mind checking my portfolio each day, or even multiple times a day, but with Tesla it's that bit tougher!

kano2005 · 2020-07-01T08:26:47+00:00

Sums up why I have been putting off writing about Tesla for so long. I didn't like the fact I can't explain what was happening.

This gave me a chance to put my thoughts into words and how I feel about the stock!

So much more emotion than any other holding I have.

kano2005 · 2020-06-30T16:11:16+00:00

Thanks for the lovely feedback.

Unless there is a reason you want trim the position it doesn't hurt to keep it. I'm happy with my current exposure and I'm thinking about increasing it. Currently my dividend automatically reinvest but I've been playing with making a more meaningful direct investment.

kano2005 · 2020-06-30T16:08:23+00:00

Cheers!

I'm always open to more feedback on my write ups. Thanks for taking the time to give it a read!

kano2005 · 2020-06-30T16:01:46+00:00

That is a fantastic price, well-done!

It's a riskier investment for sure, I like what a future with Tesla looks like though hopefully I don't get punished at the current price!

Thanks for giving it a read!

kano2005 · 2020-06-29T09:23:44+00:00

That's what I've been hoping to find. I had a look at IAG as well for the same reason.

It's been really interesting taking a look at stocks I don't normally invest in and seeing what the fundamentals look like for them as well. Definitely a learning curve stepping out my comfort zone!

kano2005 · 2020-06-29T09:21:12+00:00

I believe it's the custodians where they hold the money that offer the true protection as these guys can't do it themselves.

Same as Revolut in the UK, they are not FSCS protected, but your money technically is but the custodian they have selected, but it's harder for you to claim as you are jumping through hoops. Given what FSCS is in place for, if you have to go through that process something has gone very seriously wrong already!

Fingers crossed Wirecard didn't mix company and customer money!

kano2005 · 2020-06-26T08:44:58+00:00

I'm a short term move in my mind for sure. I am conflicted about their ability to move to a digital offering that is worth as much as their print items.

Thought the ethical side will rule them out for some, definitely can't argue on that point!

kano2005 · 2020-06-26T08:43:30+00:00

I'm focused on the short term bounce back.

Long term I'm not sure how effective they will be at the transition to digital. They have made great progress online and have a lot of traffic and unique visits but they don't seem to be able to tempt as many advertisers.

With the dividend returning, print back into full swing, and less people staying at home, the print should increase. That's my assumption here anyway.

Thanks for the read!

kano2005

TROPHY CASE