Adamski Portfolio - 2022

[Adamski]

Portfolio as of 31/12/22 (not too exciting)
Vanguard World VWRL – 40.7%
Capital Gearing Trust – 24.1%
Vanguard LifeStrategy 60% - 23.7%
Ruffer RICA – 5.2%
Personal Assets Trust – 5.1%
Aegon Diversified Monthly – 0.6%
Cash – 0.6%
Year to date Return - loss 6.8%

Performance last 12 months
https://imgur.com/omEmHTX

2022 has been a pretty dire year, as we all know! On the back of the pandemic.

I'm big fan of diversifying in bonds, gold or defensive funds, to smooth out the bad times.

RICA v Gold V VWRL
https://imgur.com/ozB8T9t

Latest thinking is I'm expecting interest rates to continue to rise until mid-2023, which will inevitably lead people to spend less and hence lead to a recession, which in turn will depress company profits. Therefore like;y some more pain in the markets to come.

My plan is to invest further in RICA and perhaps Gold SGLN for next few months at least. Not sure long term, whether to stick with 60:40 or get more adventurous. Think the good times will be back in 2024, but suspect 2023 will be another difficult one.

[Adamski]

Just to compare, portfolio at 31.3.21:

Fidelity Index World 29%
VLS 60 17%
Monks 12% - SOLD
L&G Global 100 10% - SOLD
AVI Global 5% - SOLD
BG Pacific 5% - SOLD
Scottish Mortgage 5% - SOLD
Fundsmith 2% - SOLD
Aegon Diversified 1%

I guess like a number here, moved out of higher risk, growth funds during 2021, early 2022, as could see tech correction coming (before cost of living crisis).

Tech funds last 2 years - textbook bubble
https://imgur.com/JUzIhw5

[Hariseldon58]

Thanks for posting my 2022 was also poor , down just over 8%.

During 2022 I held a fair chunk of the portfolio in assets that you would recognise from Capital Gearing Trust, inflation and interest rates increases as I expected but my efforts at mitigation did not go as I expected !!!

I am in 70:30 equity / bonds mix now using passive funds, bonds look more attractive than they have for years.

Being in drawdown the objective is to maintain living standards rather than absolute returns as the ultimate goal.

I don’t want to be the same six foot tall man crossing a river that has an average depth of five feet…

[Adamski]

I am in 70:30 equity / bonds mix now using passive funds, bonds look more attractive than they have for years.

Good to hear it's not just me. I think on this forum 'Portfolio', the people who tend to come forward are those who've had good years. Not so many want to advertise bad years.

I suspect a number of us who incurred losses in early 2022 have moved to more mixed portfolios.

I know it's only few days into 2023 but VWRL +3.3% vs VLS60 +2.7%. I suspect this is a bear market rally, but my guess would be bonds in 2023 and the 60:40 will have a good year relative to 100% equity - mean reversion, reverting to their long term return.

[Newroad]

Hi both.

We're similar, though out equity vs "bonds&cash" holdings are calibrated by age.

So, we're 74.22% (youngest child), 73.02% (other child), 62.80% (Mrs Newroad), 60.86% (me) equities.

Regards, Newroad

[BoomBustInvest]

I hold RICA and CGT too for cap preservation. RICA has always outperformed CGT so I was surprised to see CGT do ar ahead.

Have you held one fund a lot longer than the other?