Initiated a new position by buying 20 shares of Medtronic for 82,58 USD per share. This is likely a position I will build during the first half of the year depending of course how the stock moves. Thesis is very simple as stock has dropped significantly, it offers decent dividend yield and history. Company itself operates in segments which benefit from the state of general population and are therefore not likely to go out of fashion.
Month: January 2023
Recent Buy: Kemira Oyj
I missed the boat with Kemira a while back when it was significantly lower. Tried to double my position but counted pennies instead of pulling the trigger. Stock rallied afterwards and marked all time high valuation. Therefore I’m not thrilled about the current valuation but lacking better ideas made maintenance purchase of 10 shares at 14,79 EUR per share. Still have very mixed feelings about the market in next three to six months. This makes it a bit hard to make bigger moves but can’t really justify selling either. I suppose these small maintenance purchases are decent compromise while waiting.
Q4/2022 & FY2022 Results and FY2023 Plans
Most people are probably glad that 2022 is now over and done with. This year will probably be remembered as tail of COVID-19 pandemic and from Russia’s brutal war in Ukraine. Perhaps it will eventually be remembered as the year when Ukraine forged itself into proud western democracy that will build itself back and prosper. Russia will be remembered the way it always has been remembered: failed 3rd world country. Next years hopefully will bring end to the war with clear victory for Ukraine, and hopefully well executed build back better financed by Russian money and with western backing.
In general this was very bad year for the markets. Therefore it’s a bit surprising that my portfolios performed well. Main portfolio gained 8,56% during the year while overall markets declined significantly. Dividend income for the whole year was 10821,77 EUR before taxes. At the time of writing this, last dividend from Lockheed Martin has not yet been registered but that does not have huge impact on the bigger picture. Based on preliminary analysis this dividend income covered 130,6% of base consumption after taxes (exact effective tax rate will be resolved later). This indicates that current portfolio fulfils requirements for lean FIRE. Therefore project appears to be on schedule and on track.
Plan for FY2023 is quite simple. I’ll try to eliminate last debt I have but that depends on market moves. I’ve been net debt free for quite some time already but main portfolio still contains small amount of investment debt which I’ll try to eliminate during first half of the year. In addition I’ll re-invest dividends and all other extra cash that remains after handling the debt. Should the market drop significantly, I might postpone the debt payment and buy stock instead.