I currently manage a virtual stock portfolio on Yahoo Finance, I will
be posting weekly updates on how my portfolio has fared against the
markets.
Currently
my portfolio is composed of manily FTSE100 companies which are market
leaders in their field. I focus mainly on defensive stocks which tend to
grow whatever the economic conditions, that is why my portfolio is
composed of consumer stables which customers will still purchase their
products even in a downward economy.
In the first week
of July my portfolio is currently under performing, but generally this
isn’t a surprise as most stocks are not performing well. This mainly due
to the weak data coming out of Japan and also a strengthening yen (see
graph below). This news is causing problems for my portfolio because
many of the companies that are in my portfolio rely on cheap Japan
exports. But if the Yen continues to rise my companies will have to
offer up more capital in return for their purchases.
In
order to hedge my portfolio against this I have taken up positions in
stocks that are not exposed to Japan and focus solely on the UK Economy.
Stay tuned for more updates in the coming weeks.
References : Yahoo Finance 44SGTHFJRDWQ
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