As you probably know I live in one of Baltic states. It is quite tense situation in the region as Russia is threatening to atack Ukraine and god knows what thouse stupid basterds are up to more. Hope for the best prepare for the worst. So I decided to have some cash reserve, just in case things goes bad and liquidated some of our holdings:
1. Simon property – it was my Catching the dip #4 and the best one cought I say. Bought 10 shares for 570$ incl. fee at 2020-04… yeh the true bottom and zenit of covid zomby acopalypse…🙂 now few days ago sold it for… 1 407$. I made a wooping +837$ or +147% from investment. The most increased position at the portfolio, which was the one reason. Another is that its a mall REIT and malls are heavy hit by ecommerce and retail acopalypse. In L/T this could be Nokia/Kodak business. I know this is the beast retail mall REIT and should do ok in M/T but im here for 20-30y and im not sure if this will not be a dying business by then. So I pulled the plug, took out the juicy profit and can sleep well that at least this one worked out woderfull 🙂
2. Exxon mobile – same reason I sold SPG, oil bussiness will be like land plowing with hourse in 20-30y. Sure oil is here to stay in M/T but it will be 3rd world country and absolite technology like fax or line phone in 20-30y. Sure some of oil majors will adapt and switch to renewables and hydrogen, but XOM is not going toward that path unlike its european peers like BP and RSDA so I pulled the plug as well. On top share price just became positive with all the oil price increase and high profit along with it. Bought it for 1 065$ incl fee in 2019-11 and sold for 1 109$, so made small +44$ gain and some juicy dividends durring thouse +2 years. Small gain I would say in this case.
3. British petroleum – my Catching the dip #1 but also Lesson learned – stick to your strategy. Mixed investment, but just came to positive level as did XOM. First 175 shares were bought for 1 020€ at 2019-12 then added another 175 for 587€ just few months latter at 2020-03. Now sold the same half 175 shares for 813€. If averaged the two buys cost was 804€ so made an also small profit of +9€. Now why sold that one – BP investments into russia or its Rosneft holdings. It made 2,6bn$ profit from 10bn in 2021 9mo. That quite an exposure. If things goes bad bye bye to this part of the business. But I like the BP green transition so it was only partial divestmsnt bringing down the investment to ~800€. I have fate that BP will be ok in L/T perapective and hope that it will exit russia. So with this last divestment I significantly decreased my oil exposure at the portfolio to minimum.
All of these 3 divestments boosted our cash reserve to 3 kEUR. A nice reserve for another black swan event 🙂 Not going all cash or stuff like that but it will make me sleep bit better at night and lets hope for the best ✌
Project 2035 