Recent sales from my portfolio

[Harmony Management]

In addition to selling my SAN and MRK these days, I sold my Dow Jones and SP500 trackers today. I think I'm going to tie my hands to not make any more sales that I might regret later, but it's true that I'm tempted right now given the valuations.

[Jerome]

In any case, it is certainly less crazy to sell than to buy at the moment, especially a tracker!

[Lopazz]

Same, I'm currently thinking about selling to buy back cheaply later. According to Ben Graham's 4 criteria, the Shiller P/E and the total market cap / GDP ratio, the market is overvalued. What do you think?

[birdienumnum]

As far as I'm concerned, the higher it goes, the more questions I ask myself. Especially when we see the PE of defensive values (yield) pass the 20x mark.

The problem of the last 6-9 months is that investors have been looking for yield and have very naturally turned to JNJ, KMB, PFE, CLX, etc. offering a good dividend, pushing some of these stocks to record highs. And specialists think that this will last for a while with the Fed keeping interest rates low.

What to do now? I keep stocks like JNJ and CLX, with low beta, and which increase their dividend year after year (CLX just announced a new increase 2 days ago) and I liquidate some positions with high beta (> 1.0) and stagnant dividend.

 

 

 

[Jerome]

This seems quite wise to me indeed

I don't know when the correction will come, but what is certain is that it will come, and then you have an interest in not being too exposed to explosive titles.

It is clear that the market is overbought at the moment, that said, as investors are mostly in the masses, it can still rise and some smart people will still be able to take advantage of making some nice capital gains.

It's a game of who will be the craziest

Personally I have already given and I no longer take this kind of risk.

[Lopazz]

So you sold? Surprising of you.

 

In this period where rates are so low, an increase in yield above 3% for US markets, and therefore a drop in the price (and the PER) is in my opinion difficult to imagine. It is difficult to accept buying stocks that pay less than 3% in gross dividends for us French residents, who receive 3.40% almost net via life insurance euro funds. So for the time being, I am staying in "Hold", and am consoled by looking at the pay-out ratio of the companies in which I have invested, which gives hope for a future increase in yield and price, and I tell myself that in any case if I were to realize my nice capital gain, I would pay a big packet of taxes (since I am already heavily taxed)...

 

That said, I think there are still good investments to be made in France. I don't have much time at the moment to study neighboring countries (thanks Jean-Louis for your analysis on Switzerland, but fiscally the investment there is unfavorable for non-residents), but I see in some stocks like Total, Vinci, Bic, Casino, Rallye, good investment opportunities. I am deliberately not mentioning Axa because I am not in the habit of investing in financial companies or insurance companies (except perhaps the purchase of MUV2 or BRK which is programmed for a possible decline), but I think the potential is there too. Let's not forget that the PEA envelope is fiscally very advantageous for the French taxpayer; I have also made a date with Altaprofits with their Titres@Vie contract to place the surplus of French stocks there.

 

The idea of building a small building, financed on credit, to make up the land deficit without having to worry about maintenance work or co-ownership is teasing me more and more (I currently have an old property portfolio, which is entirely for sale). Given the low rates and my good borrowing capacity, I think I will soon move on to the business plan!

 

What is your opinion on my investment policy?

[Jerome]

Lopazz said
So you sold? Surprising of you.

you're talking to Birdie I presume... I didn't sell anything

So for the time being, I'm staying in "Hold", and I'm consoled by looking at the pay-out ratio of the companies in which I've invested, which gives hope for a future increase in yield.

Exactly! My wallet payout has fallen to 37%, that offers some nice prospects!

I see some stocks like Total, Vinci, Bic, Casino, Rallye as good investment opportunities.

I'm also looking at Casino and a bit of Bic

What is your opinion on my investment policy?

It's always good to take on good debts from a tax point of view and above all to diversify your types of investments. In Switzerland, real estate is expensive at the moment, but the rates are ridiculous... in France, I don't know?

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