SIPP PROGRESS

Current Value (As at 10th May 2017) = £134,850 including cash
Target for 31st December 2017 = £153,000
Value at commencement of this blog on 1st August 2012 = £51,684.02.
Monthly contributions since commencement of blog = 36mths @ £300 plus 21 months @ £750 = £26,550
Capital Growth = £134,850 less (£51,684.02 + £26,550) = £56,600+

Thursday, 4 September 2014

SIPP restructured for Autumn "push"

One of the company shares I've bought for my SIPP recently, is one that I think I'll be holding onto for a long time: GLAXOSMITHKLINE (£GSK).
I've purchase 420 shares at a cost of £5,990.28 (ave 1426 per share including commission).
In the 2-years that I've been managing my own SIPP, the lowest pice of £GSK shares has been 1317 way back in November 2012. In the intervening period, they've traded over 1700, hitting 1782 in May 2013. However, they've recently slumped to 1377 in mid-August this year (my purchase was made on 1st August - I was on holiday in Crete in mid-August), so I think I've caught them at a low ebb.
£GSK have considerable dividend power, and should maintain a yield of over 5% for the next few years. I aim to re-invest those dividends in the company. £GSK is currently trading at 1470.

Since my last post on 28th July, there have been a few changes to the SIPP.

I decided to sell-off the last 162 shares I held in the Aberforth Smaller Companies Investment Trust: £ASL. This IT has been good to me since I opened my SIPP just over 2 years ago; in fact it was the first share that I purchased. Thing is, smaller companies have flattened-out performance wise in 2014 after spectacular gains in 2012-13, and this IT just seems to be treading water.

I also decided to consolidate my Far-Eastern IT's, and sold-off my holding in Edinburgh Dragon IT (£EFM), and re-invested it into my other Far-Eastern IT, Fidelity Asian Values (£FAS). As such, I now hold 1337 shares in £FAS.  I have a bit of history with £FAS as I originally bought shares in this IT back in the autumn of 2012, and then sold them off (at a small profit) in the summer of 2013. I really should have held onto them as my re-investment in the IT this year has been at a fair sum greater than what I sold off my initial holding for.

Another IT that I've decided to reduce my holding in is Herald Investment Trust (£HRI).  The performance has been fairly poor since I bought my shareholding. Even so, on reflection, I reckon this IT is a bit too speculative even for me, so I've reduced my holding to 400 shares.

One of my largest value shareholdings back in July was that in JPMorgan Mid Cap IT (£JMF), and I thought that it was too large a stake.  As such, I sold-off 440 shares to reduce my holding to 900 shares. I reinvested some of the proceeds in that sale by doubling my holding in JPMorgan Emerging Markets IT (£JMG) to 600 shares.

Some of the best gains in my SIPP over the past couple of years have been when I've invested in individual companies, and I've made some investments in the past month in companies that I think have potential to beat the market. One is GLAXOSMITHKLINE (£GSK) - see above.

One company that I think has a very bright future is International Personal Finance (£IPF) and, as this companies share-price has dropped to below 550, I've decided to increase my stake by another 500 shares to 2000 shares. This company now represents my largest investment (in terms of cash paid) with those shares costing me an average of 561. The current share price today is 528, so I'm sitting on a paper-loss of about £670.  However, this share has been at 683 (on 21st October 2013) and I think it'll visit that level again soon after posting a record half-year profit to June 30th 2014.

In addition to £GSK, I've added 2 new companies to the SIPP:
Booker Group (£BOK)
and
Segro (£SGRO)
Both these additions were on the basis of information obtained from investment publications, with both companies expected to out-perform the market in the next 12 months.