Many people have been asking me how is my current portfolio in Brazil and I decided to respond in this post.
STAY TUNED! IT’S NOT A PURCHASE INDICATION!
I chose to run my risks, all investments have risks, have the purpose and have a goal.
What works for me may be useless to you.
Study your assets a lot and try to follow your own strategy.
My profitability in 2015 was -15% !!
In 2016 my stock portfolio appreciated almost + 30%.
In 2017 I think it went up by +5%, I’m not sure, it could have been a bit more.
In general, my portfolio has been following the market as a whole (after all, it is a big part of the market).
The risk investor made an interesting post on the profitability of the Brazilian bloggers (blogosphere Finance) versus profitability of brokerage firms and the result you can see there on his blog. I found a very cool idea (partly to unmask brokers).
Let’s see my allocation in BRAZIL’S STOCKS :
cmig3 0 , 26%
abev3 3, 56%
The total stock balance in today’s amounts is close to R$ 840,000.00 (US $ 269,230).
In real estate funds my portfolio is this:
This portfolio has cost R$ 109,289.00 (U$ 34,694) and is currently worth R$ 122,283 (U$ 38,820) in today’s prices.
In Fixed Income I have:
Treasury Direct SELIC 2021 R$ 111,000.00 (U$ 35,238) (short government bonds due 2021 ) – They pay just Brazilian SELIC (the value that banks borrows money each other at overnight).
Treasury Direct IPCA 2035 R$ 52,000.00 (U$ 16,508) (long government bonds)
IPCA it’s the official inflation. This bond pays IPCA + 5,5% per year, it will have 15% on taxes on the profits.
BONDS CEMIG paying IPCA + 9.5% R$ 50,000.00 (U$ 15,873) due 2019 and 2024, it will have 15% on taxes on the profits. CEMIG it’s a state electric company from Minas Gerais state (close to Sao Paulo state).
The next Fixed Income purchases will be in Treasury Selic 2023 (Treasury Direct), Treasury Direct IPCA 2045 (also new) and perhaps LCI (bonds from real state market) of Intermedium bank with duration of 5 years I think. (this bonds it’s tax-free)
For now, the investment in stocks in Brazil is on stand by because the allocation there is very high. Contributions during 2017 will be in real estate funds, fixed income in Brazil and stocks abroad. All purchases will be reviewed and analyzed here. I already bought a new stock and I will post about it briefly.