The market took a nose-dive reacting to the worsening Coronavirus spread in the first quarter of the year; only to bounce and catapulted to the moon partly driven by the perpetual quantitative easing of Central banks and ensuring zero interest rates. For what is worth, the market is artificially inflated but it is also indisputable that many sectors profit from the lockdown like eCommerce, Social Media, Digitisation, Cybersecurity, Biotech, Gaming, and other Stay-at-Home Stocks. SPACs getting popular as an alternative route for companies to go public; Bitcoin at all time high, dragging other crypto-assets along with it. When vaccine approval was announced, the hospitality and travel stocks rebound. In return, indices are ripping. Perhaps even the gloomy, dooms-like 2020 has silver-lining. How this translates to my portfolio? Let's take a look. Return My average return for the year is 28% with only 1 instrument in the red, which is $VUKE. My best performer is BTC, a highly speculative and the riskiest asset that I own. Not a bad return for my trading accounts considering I only started this year actively doing so. A bull market really makes people feel smart about the financial market which is incontestable with the rise of Fintwit superstars coming from nowhere posting their thesis and 100 baggers stock picks. I am not dumb not to know this and I am taking action to ensure that I could still operate in a bear or kangaroo market. Allocation Overall, my investment allocation is as follows, 50% ETF/Index, 49% Trading Accounts and 1% Bitcoin. For 2021, I will increase my Vanguard allocation by 10%, cap trading account contribution to 35% and BTC at 2%. I am not adding to my Revolut Investment anymore. My eToro gets a boosts next year as I build my trading track record. My overtime money goes to my Trading 212 account as usual. 2021 Adjustments I will not make changes on my currently owned equities except for $VUKE where I will de-risk my exposure by buying the entire UK market. I am no longer comfortable that out of the 100 biggest FTSE companies, only 1% is Tech. However, I will not sell at a loss. I am also bullish on Brexit. I will increase my BTC position to 2%. I will protect my capital at all cost and build an actively managed long and short positions. I will complete 2 financial courses per quarter. I will only read finance and investing books for the entire year. End.
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