Responsible Investor Portfolio Weekly Update, March 13th, 2021 | $TCEHY $NEM $BK $SYF $CLIX $GRUB $PCG $LVMUY $LRLCY $STLA $IMPJY $TERRF $DSV.CO $DANSKE.CO $BRK $UMC $JD $ADSK $GMAB $ORSTED.CO $NIO $CMG $SKLZ $RBLX $ABNB $VIAV $MSFT $TRYG.CO $WMT

The Big Picture

The US stock markets had a very strong week as the US treasuries show signs of stabilisation around the 1.6% mark and the sell-off in growth stocks appears overdone. The inflows in equities reached 51 billion $ this week due matching outflows in bonds as inflation expectations continue to rise. Jobless claims beat estimates this week and the US unemployment rate fell to 8.2%.

Covid-19 data in the US continue to be positive and the vaccine rollout numbers are very strong: president Biden has announced that all adult Americans are expected to be vaccinated by May 1st and the next July 4th is being labelled as Independence Day from the virus. $NVAX announced good efficacy on both the main and UK variant strains of the virus while some European countries have suspended the use of the $AZN vaccine, which is not approved in the US, following allegedly connected blood clot cases.

Market Performance

The stock market indices were all markedly higher this week: in the US the Dow led with a 4.1% gain, followed by the Nasdaq (3.1%) and the S&P500 (2.6%). In Europe, the Stoxx gained 3.5% while the Italian index rose +5.0%. The Danish OMX20 reversed the negative trend finished the week with a strong gain (5.1%). The US Dollar finished lost 0.3% relative to the Euro. Crude $oil was flat while $Gold gained 1.3%. $BTC-USD continued its rise by adding 11% to its price.

Earnings

$JD reported Q4 earnings before market open on Thursday and beat on both revenue and EPS. The stock gained 6% on the news but was then caught into the Friday sell-off which affected various Chinese stocks fined by antitrust regulators.

$RBLX IPO was a big success this week however the number of IPOs is starting to fade possibly due to signs of unjustified froth. $DOCU shares slipped 2.5% after hours despite reporting Q4 beats and upside sales forecasts that suggest the digital transformation trends will continue after the pandemic.

None of our stock will report their Q4 earnings next week, the last three in our portfolio will do so on week commencing the 22nd of March.

Dividends

$NEM will pay its quarterly dividend on March 18th. $DSV.CO and $DANSKE.CO also go ex-dividend this week. Italian stocks traditionally pay an annual dividend in late May. US stocks distribute quarterly dividends.

Portfolio Performance

Our portfolio gained 4.0% this week whereas the weighted average of the relevant market indices finished 3.7% higher corresponding to a 0.3% market beat.

We made a new purchase this week: Denmark-headquartered utility company $ORSTED.CO. This is a long term green energy investment. The stock has experienced a 2 month period of weakness falling from 1400 kr to about 900kr and recently rebounded from the 161.8% fib which offered a good opportunity to buy.

This week’s winner was $STLA.MI with a 12.9% gain. All of our European stocks continue to show signs of strength.

Our Responsible Investor portfolio is now up 22.8% (23.7% including dividends) in 41 weeks. We are about 60% in stocks & ETFs and 40% in cash. On my watchlist this week I have $WMT, $MSFT, $AMBU-B.CO, $ABNB and $LRN.

The table below summarises the portfolio performance since inception.

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Responsible Investor Portfolio Weekly Update, March 6th, 2021 | $TCEHY $NEM $BK $SYF $CLIX $GRUB $PCG $LVMUY $LRLCY $STLA $IMPJY $TERRF $DSV.CO $DANSKE.CO $BRK $UMC $JD $ADSK $GMAB $NIO $CMG $SKLZ $AVGO $ABNB $VIAV $MSFT $TRYG.CO $WMT

The Big Picture

Despite the intra-day rally on Friday, the Nasdaq finished 2% lower this week as the technology sector was affected by a general sell-off in favour of value stocks. The energy sector was this week’s winner following the Opec + meeting which basically left production cuts unchanged and sustained the rally in crude oil. Only time will tell if the rotation will continue. Now more than ever is important to have a well diversified portfolio.

The 10-year treasuries reached 1.56% this week: the interest rates are up 60 basis points over the last 13 weeks. During an interview with the WSP on Thursday, chair Powell did not appear concerned with the rising interest rates given the general state of the economy – the markets did not react well to this analysis.

The 1.9 trillion $ stimulus is expected to be approved by the Senate this weekend ahead of President Biden signing it into bill next week. Attention will soon shift to the infrastructure package. The jobs reports exceeded expectations with most of new employments coming from the re-opening of bars, cafes and restaurants in the US. The unemployment rate has reached the lowest percentage since the pandemic begun.

On the covid front the positive vaccine data are balanced with the flattening of the infections, hospitalisations and deaths curves which may be due to factors such as relaxed behaviours and the impact of more contagious variants. In Europe the infection rates are on the rise again, paving the way to a possible third wave.

Market Performance

The stock market indices were mixed this week: in the US the Nasdaq fell 2.1%, whereas the S&P500 gained 0.8% and the Dow rose 1.8%. In Europe, the Stoxx gained 0.9% while the Italian index rose +0.5%. The Danish OMX20 fell for the third consecutive week (-3.9%). The US Dollar finished 1.4% stronger relative to the Euro. Crude $oil gained 9.9% while $Gold lost 2.2%. $BTC-USD finished 8.5% higher.

Earnings

Italy-based telecom company INW.MI reported Q4 earnings this week. The company announced an increase of EBITDA by 82% and confirmed guidance as outlook remains positive. The stock’s recent weakness is probably due to portfolio rotation into cyclical stock and to a rising interest environment, not to its fundamentals which remain intact.

Notable earnings this week included $ZM, who crushed expectations and posted a 370% revenue growth yoy, and $AVGO who beat both on earnings and revenue and confirmed their annual dividend at 3.24% which is significant given the companies growth rate.

Returning to our portfolio, next week $JD will report their Q4 earnings.

Dividends

Most Danish companies go ex-dividend in March, while Italian stocks traditionally pay an annual dividend in late May and US stocks distribute quarterly dividends.

Portfolio Performance

Our portfolio fell 0.3% this week whereas the weighted average of the relevant market indices finished 0.2 higher.

The tech stocks in our portfolio continued to be under pressure due to the market rotation but the rise of the financial and real economy stocks balanced the weekly performance.

Our Responsible Investor portfolio is now up 19.6% (20.6% including dividends) in 10 months. We are about 55% in stocks & ETFs and 45% in cash. On my watchlist this week I have $WMT, $MSFT, $AMBU-B.CO, $ABNB and $AVGO.

The table below summarises the portfolio performance since inception.

Responsible Investor Portfolio Weekly Update, February 27th, 2021 | $TCEHY $NEM $BK $SYF $CLIX $GRUB $PCG $LVMUY $LRLCY $STLA $IMPJY $TERRF $DSV.CO $DANSKE.CO $BRK $UMC $JD $ADSK $GMAB $NIO $CMG $SQ $AVGO $ABNB $VIAV $MSFT $TRYG.CO $WMT

The Big Picture

The 10-year treasuries reached 1.5% this week, a level not seen since prior to the pandemic: the rising bond yields are believed to have caused the general sell off on the stock market, particularly for tech companies, even though the Nasdaq is still up more than 3% year to date. Consumer discretionary also lagged, while financials were flat, and energy came out as the best sector.

The 1.9 trillion $ stimulus was approved by the House yesterday but the Senate is likely to strip the 15$ minimum wage off the package. The next stimulus deal on the agenda is the infrastructure package which has bipartisan support except for the quantum.

Vaccine data keeps improving with the trendline of fewer infections, hospitalisations and deaths continuing. The vaccine rollout has now surpassed the 50 million doses mark which corresponds to half of the doses Biden promised to achieve in the first 100 days of office.

Market Performance

All indices finished lower this week: in the US the Nasdaq led with a 4.9% loss, followed by the S&P500 (-2.5%) and the Dow (-1.8%). In Europe, the Stoxx lost 2.4% while the Italian index retraced -1.2%. The Danish OMX20 fell 4.2%. The US Dollar was unchanged relative to the Euro. Crude $oil gained 7% and $Gold finished flat. $BTC-USD traded lower at 48k$ from the 57k$ level achieved last weekend.

Earnings

Four stocks of our portfolio reported Q4 earnings this week.

$BRK-B published their 2020 annual report on Wednesday and their Q4 earnings today (Saturday). In the annual letter to his shareholders Warren Buffett focused on operating margin, intrinsic value, and buy-backs. The company hasn’t made sizeable acquisitions in 2020 and has recently sold some $AAPL shares and increased the stake in value companies. The stock was marginally down this week.

$ADSK beat on both the top and the bottom line on Thursday but guided lower which led to a sharp decline, partly caused by the general weakness in the technology sector. The strong Q4 earnings were offset by revenue and EPS expectations below consensus.

$PCG reported a marginal earnings beat on Thursday, though revenue fell short. The company reaffirmed its 2021 guidance. The market did not react well and the stock fell by 9% and underperformed compared to the energy sector stocks.

$GMAB.CO reported Q4 earnings on Tuesday, with a revenue beat thanks to an 88% increase year on year. The Danish biotech company also reported operating profit above expectations and initiated a share buy-back programme.

Notable earnings this week included $NVDA, who smashed expectations, and $ABNB who missed on earnings but beat on revenue and has the prospect of restrictions lift which are expected to lead to a significant travel rebound..

Returning to our portfolio, next week $INW.MI will report their Q4 earnings.

Dividends

Most Danish companies go ex-dividend in March, while Italian stocks traditionally pay an annual dividend in late May and US stocks distribute quarterly dividends.

Portfolio Performance

Our portfolio fell 4.3% this week whereas the weighted average of the relevant market indices finished 2.5 lower.

We exited our position in $RWAY.MI on Monday as the stock showed more signs of weakness after the previous week’s sell-off. Technically, the stock has also fallen below the 38.2 fib which could have led to further downward action. Our tech stocks were hit by the sector weakness but their fundamentals remain intact. The only positive performance was that of $SYF which finished 1.6% higher and is now up 67% since we bought it.

Our Responsible Investor portfolio is now up 19.2% (20.2% including dividends) in 39 weeks. We raised same cash this week and are about 55% in stocks & ETFs and 45% in cash. On my watchlist this week I have $WMT, $MSFT, $AMBU-B.CO, $ABNB and $SQ.

The table below summarises the portfolio performance since inception.

Responsible Investor Portfolio Weekly Update, February 20th, 2021 | $TCEHY $NEM $BK $SYF $CLIX $GRUB $PCG $LVMUY $LRLCY $STLA $IMPJY $TERRF $DSV.CO $DANSKE.CO $BRK $UMC $JD $ADSK $GMAB $NIO $CMG $OCDGF $AVGO $ABNB $VIAV $MSFT $TRYG.CO $ADBE

The Big Picture

The markets were down this week as the rising 10-year treasuries spooked investors who are concerned that if the uptrend continues it might induce a pull back on the stock market. The counter-argument is that raising interest rates are caused by inflation which would be indicative of a solid economy. The covid-19 stimulus package is expected in March. Q4 earnings have mostly beat expectations and a few additional ones are due to be published over the next couple of weeks.

Vaccine news were mixed: on the negative news front, a US study showed that the $PFE vaccine is less effective on the south-African variant; on the flipside, data from Israel suggests that the effectiveness of the Pfizer vaccine is not impaired by lengthening the time between two doses which would increase the number of people who could get the first jab.

Market Performance

Most indices finished lower this week: in the US the Nasdaq led with a 1.6% loss, followed by the S&P500 (-0.9%) while the Dow was marginally higher (+0.1%). The Stoxx gained a meager 0.2% while the Italian index retraced -1.2%. The Danish OMX20 fell 1.1%. The US Dollar was unchanged relative to the Euro. Crude $oil retraced 0.5% and $Gold finished 2.2% lower. $BTC-USD gained 12% as the cryptocurrency flies past the 50k$ mark.

Earnings

$NEM reported a Q4 earnings beat this week as gold price rose and despite a reduction in gold production in its mines. The EPS more than doubled from the same quarter in the prior year with in-line income; the company guided higher on the basis of projected output and hiked the dividend from 0.4$/share to 0.55$/share which corresponds to a 3.81% forward yield.

$BRK-B latest 13F filing revealed the most recent changes in stake in the company positions including important divestments (eg $PFE and $JPM) and new holdings (eg $VZ and $CVX).

Notable earnings this week included $DE who crushed expectations and gained 9.9% on the news and $WMT who underwhelmed despite a good quarter and a stable outlook and slid 6.6%.

Returning to our portfolio, next week $PCG, $ADSK, $GMAB.CO and $BRK-B will report their Q4 earnings.

Dividends

$SYF paid its quarterly dividend on February 16th. Most Danish companies go ex-dividend in March, while Italian stocks traditionally pay an annual dividend in late May and US stocks distribute quarterly dividends.

Portfolio Performance

Our portfolio retraced 0.6% this week whereas the weighted average of the relevant market indices finished 0.7% lower which means that we beat the market by 0.1%.

Among this week’s winner we had $JD (+6.8%) and $DANSKE.CO (+3.1%). Two of our Italian stocks, $RWAY.MI and $INW.MI finished 6% lower, whereas $WBD.MI gained 3.4%.

Our Responsible Investor portfolio is now up 23.5% (24.4% including dividends) in 38 weeks. We are about 60% in stocks & ETFs and 40% in cash. On my watchlist this week I have $NIO, $CMG, $WMT, $MSFT, $AMBU-B.CO and $OCDO.L.

The table below summarises the portfolio performance since inception.

Responsible Investor Portfolio Weekly Update, December 19th, 2020 | $TCEHY $NEM $BK $SYF $CLIX $GRUB $PCG $LVMUY $LRLCY $PEUGF $IMPJY $TERRF $DSV.CO $DANSKE.CO $BRK $UMC $JD $ADSK $GMAB $DVA $CMG $COUP $AMT $ADBE $AVGO

The Big Picture

The Covid-19 numbers keep rising in the US and while good news on the vaccine front instill confidence in the future, the near term appears very challenging. The impression is that mitigation measures are not being implemented as quickly as they should in the US, whereas lockdowns are announced every day in Europe, especially considering the upcoming holiday season is seen as a clear threat. Negotiations on the stimulus bill continue and seems to be very close to a positive resolution which might come as early as next week.

After last week’s positive vote for the $PFE vaccine, the FDA advisory board gave the green light to the $MRNA vaccine on Friday with no votes cast against it. This emergency authorization will increase the distribution of the vaccine within the US population, especially since it requires much lower storage temperatures.

The Fed met for the last time in 2021 on Wednesday meeting. The FOMC statement was quite dovish and Powell expects growth to pick up in the second half of the year. Bond buying will continue at a clip of 120B $ per month for the foreseeable future. The injection of liquidity has been massive and is believed to have propped the market considerably in recent months. The excess liquidity in particular, ie the liquidity that is not absorbed by the economy, tends to grow valuations. Nobel-prize winner and Yale professor Robert Schiller stated that valuations are not excessive earlier this month. Earnings have deflated 15% globally in 2020 but the 25% liquidity increase caused by central banks has made the markets gain 10% on average. With earnings expected to increase again in 2021 the market should go higher and valuations become more reasonable.

Market Performance

All US market indices finished higher, led by the Nasdaq, up 3.1%, followed by the S&P500 (1.3%) and the Dow (0.4%). The Stoxx was also higher (1.5%) and the Italian index partly recovered from last week’s loss ending with a 1.3% gain. The Danish OMX20 rallied 4.1% and is lined up to be the best index in developed countries this year. The US Dollar fell relative to the Euro and gold finished higher.

Earnings

$ACN traditionally reports earlier than most stocks and beat Q1 earnings on Thursday before market open and guided higher for 2021. The stock jumped 7% on that day and reached all time highs. I like the stock a lot and continue to own it in another portfolio.

$FDX also reported an earnings beat this week with 19% growth of the top line and more than double EPS yoy. Clearly the company, alongside its peers, has benefitted from a sharp increase in e-commerce and shipping demand. The stock fell sharply, however, after not providing guidance for 2021.

Dividends

The next dividend payments for our stocks are due in March, which is when most Danish company go ex-dividend.

Portfolio Performance

We beat the market this week, as our portfolio rose 2.5% versus a weighted average gain of the relevant market indices of 1.7% (+0.8% beat).

$UG.PA was up 7.1% this week and 51.1% overall. It now weighs 7% in our portfolio: I will be looking to scale down our position on pull backs as I don’t like to be too invested in a single stock. Other notable weekly jumps were observed in $ADSK (+9.1%) and $ELC.MI (+7.5%).

Our Responsible Investor portfolio is now up 15.0% (16.0% including dividends) in 29 weeks. We are about 56% in stocks & ETFs and 44% in cash. On my watchlist this week I have $DVA, $CMG, $COUP, $AMT, $AVGO and $ADBE.

The table below summarises the portfolio performance since inception.

Responsible Investor Portfolio Weekly Update, December 12th, 2020 | $TCEHY $NEM $BK $SYF $CLIX $GRUB $PCG $LVMUY $LRLCY $PEUGF $IMPJY $TERRF $DSV.CO $DANSKE.CO $BRK $UMC $JD $ADSK $GMAB $DVA $ROKU $LMND $AMWL $AMT $ADBE $LULU $AVGO

The Big Picture

The pandemic continues to worsen in the US both in terms of daily cases and deaths. Reports now anticipate the peak to occur in January. Additional restrictions have been imposed this week, including the banning of indoor dining in New York and travel restrictions in the state of California. Despite these mitigation measures, the Christmas season is only expected to exacerbate the situation as people gather in any way they can. It surely feels like now would be a good time to pass that stimulus package, however speaker Pelosi is now anticipating the talks to continue over Christmas lengthening the time since they were initiated over summer.

On the data front, this weeks reports were mixed with the jobless claims surpassing 850k which corresponds to the largest week on week increase in the last 3 months. On the flipside, the Michigan University consumer sentiment index for December rose to 81.4 from 76.9 in the prior month.

The FDA advisory board voted in favour of the $PFE vaccine which has started being deployed in the UK. Next Thursday will be the time of the $MRNA vaccine. It seems that the market has already factored in the positive outcome of these emergency authorizations such that any delay to their approval could have an adverse, short-term impact.

Market Performance

The US market indices fell this week, led by the S&P500, down 1.0%, followed by the Nasdaq (-0.7%) and the Dow (-0.6%). The IPO bonanza is seen as one of the factors which caused the sell-off as fund managers rebalanced their portfolios to embellish them with popular names such as $ABNB and $DASH. The Stoxx was also lower (-1.0%) and the Italian index experienced a sharp decline (-2.2%) due political uncertainty. The Danish OMX20 finished 2.0% higher after two consecutive weeks of decline. The US Dollar was mostly unchanged relative to the Euro and gold finished flat.

Earnings

$ADBE beat earnings on Thursday after the market close and upped the 2021 guidance. While the company has seen its growth rate reducing to below 20% per year, it is still in the late teens. $LULU posted a surprised profit in Q3 and grew revenue by 21% yoy. I like them both but feel our exposure to the technology and the consumer discretionary sectors is well balanced in our portfolio at the moment.

In other corporate news, $DIS upped their projected subscriptions at the Investor Day by a factor or three which led the stock to a +15% finish for the week. $AAPL announced they are developing their own cellular modem which sent $QCOM sharply down.

Dividends

This week $NEM went ex-dividend and paid their quarterly dividend. We have one more stock of our portfolio going ex-dividend in December.

Portfolio Performance

We closed our remaining position on $GRUB this week after having halved it back in the middle of October. Overall, the investment yielded a whopping 35% profit.

Our Responsible Investor portfolio is now up 12.3% (13.2% including dividends) in 28 weeks. We are about 55% in stocks & ETFs and 45% in cash. On my watchlist this week I have $DVA, $AMWL, $LMND, $AMT, $AVGO and $ADBE.

The table below summarises the portfolio performance since inception.

Responsible Investor Portfolio Weekly Update, December 5th, 2020 | $TCEHY $NEM $BK $SYF $CLIX $GRUB $PCG $LVMUY $LRLCY $PEUGF $IMPJY $TERRF $DSV.CO $DANSKE.CO $BRK $UMC $JD $ADSK $GMAB $DVA $ROKU $LMND $AMWL $AMT

The Big Picture

The US jobs report disappointed as only 245k jobs were added in November compared to more than 600k in October. This may well be a sign of the economic recovery slowing down which isn’t all surprising given the worsening situation of the pandemic in the US with Joe Biden intending to require citizens to wear masks for 100 days. Meanwhile the US Congress seems closer to agreeing on a stimulus package after weeks of deadlock as the democrats lower their ask to just below one trillion USD. On the vaccine front the FDA advisory board will meet on December 10th to discuss the approval of the $PFE vaccine and 7 days later for the $MRNA vaccine.

Market Performance

The US market indices were all up this week, led by the Nasdaq which gained 2.1%, followed by the S&P500 (+1.7%) and the Dow (+1.0%). After reaching 30,000 last week, the Dow finished at all times highs again this week. Europe was mixed: the Stoxx was only marginally higher (+0.3%) whereas the Italian index finished 0.8% lower and the OMX20 fell considerably (-2.2%). The US Dollar was weaker, though, and depreciated 1.29% versus the Euro. This weakness sent gold futures higher by 2.9% this week.

Earnings

Some of the stocks we are watching released Q3 earnings this week as the earnings season draws to a close. $DOCU for example beat earnings expectations on both the top and the bottom line: I really like this stock but it is difficult to keep up such a growth rate. On the cybersecurity sector $CRWD also beat earnings and added about 1,200 new customer subscriptions. Ollie’s Bargain Outlet (ticker: $OLLI) beat earnings but it is likely to feel the pressure in Q4 due to mounting concerns about C-19 numbers in the US.

None of our stocks reported earnings this week.

Dividends

This week $MC.PA went ex-dividend and paid a 0.92% dividend. The stock finished lower this week but is now up 28% since inception. Two more stocks of our portfolio go ex-dividend in December.

Portfolio Performance

Our semiconductor stock $UMC is on a tear: with this week’s 27% gain our position is up 55% in just 6 weeks. We haven’t seen any significant news to justify this action and it may just be the market catching up on its compelling valuation: at Friday’s close price, the stock now has a PEG ratio of about 1 which makes it fairly valued.

Our Responsible Investor portfolio is now up 14.9% (15.9% including dividends) in 27 weeks. We are about 56% in stocks & ETFs and 44% in cash. I am always on the lookout for possible new buys and am keen to enter the insurance as well as the telemedicine sectors in the not too distant future. On my watchlist this week I have $DVA, $AMWL, $LMND and $AMT.

The table below summarises the portfolio performance since inception.

Responsible Investor Portfolio Weekly Update, November 28th, 2020 | $TCEHY $NEM $BK $SYF $CLIX $GRUB $PCG $LVMUY $LRLCY $PEUGF $IMPJY $TERRF $DSV.CO $DANSKE.CO $BRK $UMC $JD $ADSK $GMAB $DVA $ROKU $GOOG

The Big Picture

On the US presidential election front, Trump finally gave the green light for an orderly transition and there are now signals of him getting closer to conceding: however remote the possibility of surprises in the transition process was, this is good news for the US markets. President-elect Biden announced some of the prospective cabinet members as well as his pick for the US Treasury, the well-known and respected Janet Yellen; this is another good news, first of all because it would be the first woman to cover that role and secondly because she is known to be lenient towards QE.

Market Performance

All the indices we track were higher this week, especially European stock markets which benefitted from an additional trading day as the US celebrated Thanksgiving on Thursday. In the US, the Nasdaq was up 3% whereas the Dow and the S&P500 gained 2.2 and 2.3%, respectively. The Energy sector led for the second consecutive week. European stock markets went higher, with the Stoxx index gaining 1%, the Italian FTSEMIB ripping 3% and the Danish OMX20 finishing flat. With just one trading day to go, this November could be the best in the stock market history.

Earnings

The Q3 earnings season is almost over. In the S&P500, 84% of the companies beat earnings; however, there was a 6.6% decline in earnings overall this quarter. Healthcare was the best sector with a 13% earnings growth. Check out this cool infographic by Factset for more.

With last week’s 5% increase, our $SYF position is now 43% since we bought it 6 months ago. One of our most recent buys, $UMC, which is an investment in the semiconductor sector, jumped 20% this week following news of capacity increase of their production facilities. It is also worth noting the 7% weekly gain of $ADSK which is up 11% since our purchase 2 weeks ago, with the recent boost triggered by their earnings beat on Tuesday.

Dividends

This week $TRN.MI went ex-dividend and paid a 4.3% dividend bringing the performance in our portfolio to about 9.1% which is very good considering the defensive nature of TSO companies. Three more stocks of our portfolio go ex-dividend in December.

Portfolio Performance

Our Responsible Investor portfolio is now up 13% (14% including dividends) in 6 and half months. We are about 55% in stocks & ETFs and 45% cash. On my watchlist this week I have $DVA, $ROKU and $GOOG.

The table below summarises the portfolio performance since inception.

Responsible Investor Portfolio Weekly Update, November 21th, 2020 | $TCEHY $NEM $BK $SYF $CLIX $GRUB $PCG $LVMUY $LRLCY $PEUGF $IMPJY $TERRF $DSV.CO $DANSKE.CO $BRK $UMC $JD $ADSK $GMAB $DVA $BYDDF $GOOG $AZN

More positive vaccine news came in this week with Moderna ($MRNA) announcing that their vaccine is 95% effective and requires much higher storage temperatures than Pfizer’s thereby simplifying logistics, Pfizer ($PFE) upping the effectiveness of their vaccine to 95% and Astrazeneca ($AZN) reporting that their vaccine produces a strong immune response in older adults. These news pushed the markets higher in the first half of the week. Thursday and Friday wiped off the earlier gains as other news dominated the narrative about Covid-19 numbers, including New York closing its schools, and further delays in the start of the orderly transition of powers to the next US President.

All of the above resulted in a mixed bag in terms of stock market indices performance. In the US, the Nasdaq was the only index delivering a nominal gain of 0.2% whereas the Dow and the S&P500 were down 0.7% and 0.8%, respectively. The Energy sector was the leading one this week. European stock market indices generally delivered a weekly gain as the Stoxx index rose 0.9%, the Italian FTSEMIB was up a 3.6% and the Danish OMX20 finished 1.5% higher.

The biggest winners of our Responsible Investor portfolio were $PCG and $WBD.MI. Our two positions in the Californian energy company are now up 20 and 25% respectively. The Italian-based contractor has delivered its third consecutive weekly double-digit gain.

We added our first drug stock this week, $GMAB.CO, which is already up 2.7%. The company is headquartered in Denmark but is also traded in the US stock market (ticker: $GMAB). Genmab is grossly undervalued based on future earnings estimates and has an outstanding track record having delivered a 40% annual capital appreciation to its shareholders over the last 10 years. It is a pure growth stock hence it does not pay a dividend.

Next week $TRN.MI goes ex-dividend. Italy’s TSO has a 4.1% annual dividend yield. Three more stocks of our portfolio go ex-dividend in December. $ADSK will release their earnings on Tuesday.

Our Responsible Investor portfolio is now up 10.8% (11.5% including dividends) in just over 6 months. We are about 54% in stocks & ETFs and 46% cash. On my watchlist this week I have $AZN, $DVA, and $GOOG.

The table below summarises the portfolio performance since inception.

Responsible Investor Portfolio Weekly Update, November 14th, 2020 | $TCEHY $NEM $BK $SYF $CLIX $GRUB $PCG $LVMUY $LRLCY $PEUGF $IMPJY $TERRF $DSV.CO $DANSKE.CO $BRK $UMC $JD $ADSK $DVA $BYDDF $GOOG

It didn’t take more than just a few hours after our last weekly update was published for the news that Biden was confirmed to be 46th president to be broken last Saturday afternoon. Yesterday that outcome was further confirmed by the “final” results from a few states where the race was very close. The formal recognisition by China was an equally important milestone achieved by Biden, especially considering that Trump has still not conceded. It wasn’t the US presidential election to dominate the news and the market this week though. Attention swiftly shifted back to the pandemic but the concerning increase of Covid-19 cases was eased by the biggest story of the week: Pfizer’s announcement of their allegedly 90% effective vaccine. That day a massive rotation was observed from the so-called working from home stocks to those that have been badly hit by the pandemic.

Value outperformed growth this week as demonstrated by the Dow being up 4.1% while the S&P500 grew by 2.2% and the Nasdaq finished 0.6% negative. This side of the Pond, the Stoxx index was up 5.4%, the Italian FTSEMIB yielded a 6.4% weekly gain while the Danish stock market lagged and finished 1.8% lower. Our Responsible Investor portfolio was up 3.3%, with six of our positions gaining more than 10%.

$BRK released their earnings last Saturday. The main takeaway is that they bought back 9B $ worth of shares in Q3. Typically, companies implement buybacks as doing so reduces the number of shares outstanding, thereby inflating earnings per share and, often, the value of the stock. Berkshire must have thought that there was nothing else worth buying this quarter. $TRN.MI ‘s earnings were positive and the company will announce their 2021-2025 business plan on November 19th.

We added another technology stock this week, $ADSK, which is already up 2.4% in just two days. I have always admired the ability of this company to innovate as well as their earnings growth rate: their projected annual earnings growth for the next 5 years is 35% which is almost equal to the annual appreciation they have delivered over the past 5 years. To put things in perspective, with such a growth rate the stock could double in just over 2 years.

$SYF and $BK paid their quarterly dividend this week. Our Responsible Investor portfolio is now up 9.7% (10.4% including dividends) over its first 6 months. On my watchlist this week I have $GOOG and $CMG.

The table below summarises the portfolio performance since inception.