Hey all, I’ve recently started doing weekly Portfolio updates and just wanted to share my channel with you all, would love to hear some feedback on my portfolio!
I can see you have gone for big names and mostly dividend payers.
Two questions. In good times or bad are these going to see substantial growth long term, (Shell, BP, Coca cola). I see the oil business as largely finished. We dont need oil and plastic in our world. Cola is already worldwide, but in an ever increasing health conscious and green world are people going to be swigging coke and burning oil? By comparison data driven technology companies? Amazon and Microsoft are at the forefront of this.
Precious metal companies? Gold silver, Polladium?
When buying a stock if you hold for short term then you are buying for a quick buck so if that’s your play then great. If you are long term then I’m lost with with these choices.
Which stocks are going to change the way you live? Shell? 50 years ago yep. Today? No. Which stocks will revolutionise healthcare, automation, education? The stocks of tomorrow will never be old technology on declining industries and bad habits.
Long term oil is largely finished for capital growth. The Nasdaq is tomorrows index. If you took out the ten most profitable firms out of S&p500 it wouldn’t look so pretty.
Shell has strong renewable ambitions and the balance sheet and knowledge to achieve them.
I think Shell will be able to pivot towards the future and deliver long-term growth for share holders. Plastics and natural gas will, unfortunately, play a major role in the global economy for decades to come due to a lack of vision by governments and commitment by individuals.
I wouldn’t touch an oil stock, but the thing to remember is they wont be oil companies in 10 years time they will be green energy companies. and amongst the top players. BP bought Chargemaster for 102 million and made a huge move into electric powered cars overnight. They arent going to give up and walk away
I think if you’d like constructive feedback it would help if you could be clear about what you’re trying to achieve.
Hey, thanks for the feedback!
I think the other replies answered for me pretty well, and pretty much have it bang on as to why i’m invested in Shell and BP, I do think both companies are committed enough in terms of renewable energy to be worth investing into, they are both strong balance sheet wise and are well equipped to be future leaders in that area if they put in the funding.
Meanwhile for Coke, I completely agree with what you’re saying but I do think it’s worth having a part of my portfolio dedicated to a consistent dividend paying defensive stock, in my opinion Coca Cola also has shown they still wish to try and grow as a company, and as we move to more healthy alternatives, the company seems to be able to adapt, they own some big brands in the ‘healthier’ drinks area including Innocent smoothies, Appletiser and Oasis and seem to be constantly investing in new brands.
In the future my main focus will be the kinds of companies you’ve outlined, I’ve slowly been building my position in Amazon, Visa and Microsoft and they will be my focus going forward and hopefully build more positions in similar companies in the future.
I don’t agree with this, oil usage is forecast to continue growing at least for the outlook of the next 5 years: https://www.iea.org/reports/oil-2020
That’s not a well thought out argument, saying that we don’t need plastic in our world, I think you are probably conflating this with the issue of single use plastics. Plastic usage is forecast to increase in that same report, despite the reduction in single use plastics and increase in recycling. I am a product developer of plastic products, it’s a pretty basic idea to just say get rid of plastic. A lot of my job is actually moving from traditional materials like wood or metal to using plastic as they’re more durable and just generally better for certain applications.
I think in the west we often forget that about 80% of the world lives in developing countries. The size of the middle class that is going to develop in China over the next 10-20 years is probably the same size as the entire of Europe, that will be a lot of consumers joining the market and buying branded goods, improving their lifestyle: https://www.cnbc.com/2019/09/30/chinas-giant-middle-class-is-still-growing-and-companies-want-in.html
I don’t think the oil decline will start to happen as soon as a lot of people think. I bought some oil stocks a few months ago as the prices were heavily depressed by the price war + covid + just generally out of favour, probably due to hype for renewable energies.
I just watched your vid, you’ve got similar stocks to me. I don’t know what your investment timeline is, but you were mentioning weekly drops being bad for your portfolio etc. I personally invest long term, e.g. 5 to 10+ years, so I don’t care about weekly fluctuations, I could go a year without looking at my portfolio and I would be happy with the stocks that I have.
Cheers for the feedback,
I mainly talk about the weekly drops for a bit of flavour and I’m sure you hear in the video I’m mainly joking about, the main focus is the news and trying to explain price movements. I do mention at the end of the video that the weekly share price doesn’t matter as much due to these all being long term.