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Coffee Can Portfolio - Week 5

Our 10 year journey continues in Week 5 of our Coffee Can Portfolio. For those who haven't read the earlier posts, we request you to read those first.


It's been an eventful week for our Coffee Can Portfolio. Some more buys and our portfolio is shaping up well. Our portfolio may go slightly above our target price of INR 1,00,000, but we've pulled the trigger on a major part of our target portfolio since Timing the market is a fool's game.


Purchase Update:

Pidilite, Britannia, Divi's Lab, Dr. Lal Pathlabs, Asian Paints, Dmart, Inox, PVR - you name it, we've bought it this week.

Note: Stocks purchased this week highlighted in grey.


We thought it was time to take the plunge and invest the major part of our portfolio. You'll notice that now a major part of our portfolio is completed. While this does leave us susceptible to a crash in the markets, we have to remember this is a 10 year portfolio. Short term falls and rises should not impact us.


We've restated the above table to show you the average investment price for each of the stocks already purchased:

Below is the comparison of our target price v. the current market price of our coffee can portfolio

Notes:

  • Prices for Page Industries, Nestle and PVR are based on actual invested price (not current price)

  • The remaining stocks - Value in "Total" column is based on a weighted average of investment already made and current price.

We're holding off for the remaining investment to see if there's any fall in the market. The markets have moved a little bit away from our target price - but patience is key.


Let's see what our Portfolio would like like based on the above table for 5 June 2020 (compared with our original Coffee Can Portfolio on the right).

You'll notice again that there's no major change in the portfolio. We're still holding off for our target prices so expect the final portfolio to more closely resemble the donut on the right.


We've added a new section - Portfolio Watch


Let's see what our current portfolio value is:

Our portfolio is already up 7.5%. Inox and PVR are heavy hitters - up ~31%. Obviously, this means nothing right now. We're on a 10 year journey!

The above chart will be updated weekly so that you can see the movements in price over time.


We'll keep updating the numbers as we make the actual investments in the coffee can portfolio. Stay tuned for Week 6!


Our investment rationale for investments in Page Industries, Nestle and Britannia is available here. For the other companies, sign up in the footer below to get early access!

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