February’s monthly performance across all my listed investments was -2.57%. YTD (Year to date) performance is now negative at -0.87%.
Top 5 company holdings: $RIO, $BATS, $CAML, $EZPW, $MEGP. The REITS income fund has ended the month down -1.37%. GOLD and SILVER ETC holdings were down -1.70%. Fund of funds down -0.74%.
Markets like stability, and when they don’t have it, you can see wild swings in prices of equities, bonds, commodities, and the like.
It’s very hard to say the world is “stable” at the moment, and for all his many strengths, the leader of the free world, Donald J. Trump, isn’t known for his stability. He likes shaking things up, driving change, and getting things done.
We have seen tariff wars, trade tensions, the USA backing away from the Ukraine war, European countries having to increase defence spend, rising inflation concerns, recession risks, etc. Depending on your political stance, some of these are great things, some not so great.
All this means it has been a terrible month across the markets. The FTSE All Share is down 0.96%, and FTSE 250 down 3.90%. Over the Atlantic, it’s even worse, with the S&P down 5.80% while the NASDAQ is down 7.46%.
During downturns like this, it’s very easy to think you’re doing everything wrong as an investor, but when the whole market moves, it’s not just down to your individual stock selections. At the end of the day, the vast majority of companies are just carrying on as usual; their customers are still walking in and buying their products or using their services.
Yes, of course, especially in the UK, they are struggling with the rising costs and potential new rules and regulations (April is going to be horrendous in the UK), making it harder than ever, but they are (in the most part) just getting on with it and making the relevant changes, be it cutting employees, raising prices, etc.
In my own personal experience of town centres, shopping centres, flights, holidays, restaurants, shops, car dealers, concerts, etc., over the last few months… it doesn’t feel like there is a recession; it’s busy out there.
It’s not all rosy; I only have to spend a few mins on social media to see people being made redundant, businesses closing down, wealthy people leaving the UK, etc.
The mainstream media (if you even bother with it anymore… I try to avoid) is saying how bad it is, and it might be, but maybe it’s not as bad as the fear-mongers want us to believe?
I acknowledge I’m in a bubble (we all are), and I do think you’re seeing certain age demographics with a lot of money. Those 50+ for example. Many around pension age are now blowing their money rather than saving it and letting the government steal half of it from them.
What are you seeing and feeling now in terms of the economy and prospects?
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