3 Recent Buys – BAM, FB, MSFT

BuySell

A quick update on a couple of recent buys in the portfolio.

  • First purchase: I added to my position in Brookfield Asset Management (BAM.A.TO) @ CAD$44.00 with the recent weakness in stock price. There are still a lot of overhanging questions on the impact of BPY (Brookfield Real Estate subsidiary) on the parent company and how the commercial real estate market will play out, but I decided to incrementally add to my position here.
  • Second purchase: I added to my position in Facebook Inc (FB) @ $209.70. The recent backlash against FB from companies to pull ads was a good buying opportunity imo. Some of these companies have stated that this is a pause for just one month, while others have left it open-ended. Regardless, the revenue source is diversified with third party analytics showing that FB’s top 10 advertisers make only 1.5% of total revenue.
  • Third purchase: I continued building on my new position of Microsoft Corp (MSFT) @ $193.50. Recently I decided to go up the risk curve a bit and sold off most of my bond allocation & decided moving those funds to one of the two AAA rated companies with a long road of growth ahead. I am close to a full position now, but may add more in the future as my overall portfolio grows and sizing automatically changes.

Full Disclosure: Long BAM.A.TO, FB, MSFT. Our full list of holdings is available here.

3 Recent Buys – BAM, BIP, EQX

BuySell

A quick update on recent buys in my portfolio. After a lot of sales in March, I have decided to start wading back into the markets as the volatility subsides.

  • First & second purchases: I re-initiated my position in Brookfield Asset Management (BAM.A.TO) @ $45.00 and Brookfield Infrastructure Partners LP (BIP.UN.TO) @ $55.00. Split-adjusted, I didn’t really time the market as well as I hoped, and just got them for a few percentage points lower than sale price; but I am starting off with a smaller position than what I had before the selloff. I will be looking to start building this position back up in coming weeks/months.
  • Third purchase: I added to my position in Equinox Gold (EQX.TO) @ $10.00. Equinox should see significant revenue growth in 2020 & 2021 and with it tremendous FCF depending on the spot price. This was an easy decision to add at this price point.

What are your thoughts on these purchases. Share a comment below.

Full Disclosure: Long BAM.A.TO, BIP.UN.TO, EQX.TO. Our full list of holdings is available here.

Recent Sell

BuySell

More sales in our portfolio as I try to save our hard earned capital instead of being blasé about it. Whether now is a good time to sell after stocks have fallen more than 20-30% from their all time highs is debatable. But having an anchoring bias to an all-time high prices & valuation is exactly the reason why I see some investors trapped and not accepting the reality.

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2 Recent Buys – SPGI, BAM

BuySell

A quick update on two purchases in my portfolio last week in the midst of the correction.

  • First purchase: I added to my position in S&P Global Inc (SPGI) @ $283.00. I have been building my position in SPGI slowly as the stock continues falling from its all time highs. I am still nowhere close to a full position, so I expect more purchases in SPGI if the stock keeps falling. See previous purchase here.
  • Second purchase: I added to my position in Brookfield Asset Management (BAM.A.TO) @ $83.90. Another incremental purchase as I build to what is now a full position. I believe in Bruce Flatt’s stewardship and expect continued tailwinds for Brookfield as interest rates continue falling further than where we are today — thus making an even stronger case for alternative asset managers. See previous purchases here.

What are your thoughts on these purchases. Share a comment below.

Full Disclosure: Long SPGI, BAM.A.TO. Our full list of holdings is available here.

2 Recent Buys – BAM, SPGI

BuySell

A quick update on two purchases in my portfolio. As with the last iteration, this one also includes a new position in the portfolio.

  • First purchase: I added 75 shares of Brookfield Asset Management (BAM.A.TO) @ CAD$70.24. I have been adding to my BAM position regularly over the past few months and getting close to a full position. The stock yields 1.2% and adds US$48 in annual dividends.
  • Second purchase: I initiated a new position in S&P Global Inc (SPGI) @ $245.00. SPGI barely needs any introduction as one of the most recognizable names in finance, esp the debt market as every company that needs to raise funds needs to go through a debt rating process. While companies can issue bonds without a rating (which is inefficient and punitive by the markets), companies simply pay the ratings agency SPGI/MCO/Fitch to have their bonds rated. SPGI has a deep and wide moat and operates in four division (ratings, market intelligence, Platts, and Indices). Overall, SPGI has a terrific business model, thoughtful capital allocation, great management, and a dividend champion (dividend grower for 46 consecutive years). The valuation is a bit on the expensive side, so I have started off with a small starter position and will look for pullbacks to add and build to a full position. Here’s a link to the Investor Factsheet for further reading.

What are your thoughts on these purchases. Share a comment below.

Full Disclosure: Long BAM.A.TO, SPGI. Our full list of holdings is available here.