Two more days and we enter the month of May. May is the month with many public holidays. It is also the month in which the United Kingdom celebrates May as the National Smile Month.

In a nutshell, National Smile Month is the UK’s largest and longest-running campaign to promote good oral health. 

Together, with thousands of individuals and organisations, National Smile Month highlights three key messages, all of which go a long way in helping us develop and maintain a healthy mouth. They are:

  • Brush your teeth last thing at night and on at least one other occasion with a fluoride toothpaste.
  • Cut down on how often you have sugary foods and drinks.
  • Visit your dentist regularly, as often as they recommend.

A very important message, don’t you think ? Well….I haven’t seen such a campaign in Belgium yet. In our family we execute for every family member a yearly visit to the dentist to maintain a healthy mouth.

So on this Sunday morning it is now time to reflect on our Kids Portfolio. Are the dividends still coming in our kids bank account? How about the sectors and stock market sentiment ?

Market Sentiment and Sector Watch

The week ahead is packed with events, including the Fed’s policy update, jobs report and earnings reports from Apple and Tesla. Earnings season started with approximately 80% of the companies reporting results surpassing analysts’ earnings estimates, better than the 74% four-quarter average. And earnings outperformance was substantial, with companies surpassing average estimates by 9.4%, above the average of 5.1%. Many analysts believed that the great earnings of Amazon would be a trigger for another bullish market. However a new stock-market fear has entered in the mindset of investors and some say that there are signs that a period of harmonious global growth is crumbling.

One of those signs include a deceleration in places like the U.K., where the economy grew at the slowest pace in more than five years in the first quarter of 2018, according to a report from the Office for National Statistics on Friday.We see the market sentiment chopping around and going sideways before something will trigger the direction of the markets. I drafted two lines on the chart in which the market sentiment will chop around. Today the market sentiment remains negative.

Let’s take a look at the Sector Watch. Here we look which sectors we should invest in and what is different compared to last month. We placed the latest Sector Watch graph below…This always you to make you your own analysis.

All Sector ETFs are chopping below or around the 0 % market sentiment ratio. Only the energy sector has seen an upward trend.

 

If we take a closer look to the Energy sector and pull up the top Picks chart, we learn that the Oil & Gas Exploration sector has regained momentum. Take a look at the chart of the following ETFs : FXTN, PXI, IEO and PXE. Since February 2018 they had a nice run up. 

 

Be aware we are not a financial advisor. Execute your own risk analysis and investment research. Read our disclaimer.

We hope this sector review was useful for you to understand market opportunities and how we analyse potential opportunities.

Dividend Income Update

Now let’s take a look at the dividend income report of March 2018 for my kids’ portfolio!

During the month of March 2018, we received 20,78$ dividend income. Almost the same as last year.

Portfolio analysis and Growth Strategy

We started early 2017 with a starting amount of 10.000 EURO . The 2018 goal for my kids’ portfolio is to generate 1000$ in the total year. We achieved 13% of our yearly goals so far.

Going forward

During the month of April we did get in action. We executed on our Options investing strategy. For the first time in our Kids’ portfolio. In the coming months we will evaluate whether this will result into new cash flow.

Today we are 61% invested in equity and we have 39% cash. We will grow our cash position going forward as this choppy market is not a good moment to invest in new positions. We can invest using options investing strategies without using our cash positions. 

Good luck with your personal finance strategy for your kids! Thanks for reading.

Putting money on a savings account for your kids is NOT a strategy to make it grow! 

We hope you learned something from this blog post and keep on following us on Twitter and Facebook. As always we end with a quote. 

 

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