This is a new monthly post format I am introducing on the site. On the first of every month I will show how I have allocated the funds in my investment account. I am not a frequent trader, nor a passive index investor; I try to make the best investments I can although I do not use the stock market as my primary vehicle for wealth creation. My primary vehicles for wealth creation are my career and online businesses.
As of October 1, 2019 this is my investment portfolio. Of course, nothing in this article is investment advice.
Approximately 3/4 of my investments are in exchange traded funds (ETFs), and approximately 1/4 is in cash. Right now I have a negative to neutral outlook on the stock market, and a positive outlook on gold and silver especially in my currency, the Canadian Dollar.
Overall I am happy with my positioning in the markets, the only thing I wish is that I had more cash. I would prefer to have a 40/60 split between cash and my ETF holdings, in case there is a liquidity crunch with a wide ranging selloff where correlations approach 1. However, I am positioned quite defensively so I cannot complain too much, and I don’t want to adjust too frequently because it could cause me to incur a tax liability.
Of the 72.5% of my investment account that is actively invested, I have 49% in the $GLD (SPDR gold trust – gold ETF), 19% in the $RING (iShares MSCI Global Gold Miners ETF – gold miner ETF), 18% in the $XGD.TO (iShares S&P/TSX Global Gold Index ETF – gold miner ETF), and 15% in the $SLV (iShares Silver Trust – silver ETF).
I like these ETF holdings, if the silver price decreases I may sell some $GLD and buy a silver miner ETF. If the prices of gold and silver increase or stay relatively flat I will keep my positions.