Australian (ASX) Stock Market Forum

Speculative Stock Portfolio

Jump to new
RFT makes me wanna sing an old Steppenwolf song Born to be Wild (it was my Friday knock-off song as a young bloke) and since its Friday sing along with me folks with adaptions...

Get your Electric motor runnin'
And head out on the highway
Lookin' for a d venture
And whatever comes our way
Yeah darlin' go make it happen
Take the world stock in a love embrace
Fire Charge all of your guns motors at once and explode into roar outa this space place

have a great weekend folks. Enjoy the sunshine Vics you have done fabulously well..
 
Maybe I held on a bit too long on to this one, but I thought it might recover so didn't sell a bit earlier. Anyway OLL was sold for a slightly bigger loss than I would normally prefer...

Recently closed positions:
1607437106076.png

Chart may also be suggesting the up trend maybe in doubt:
1607437201321.png
 
I am cautiously optimistic of the upcoming New Year, given it's been a roller coaster ride this year.

Looking at what themes are driving the market at the moment, I decided to buy small parcels of 2 stocks. Buying smaller parcels will allow me to hold through some volatility and draw downs that may arise in the short term...

First is the stock that has given the biggest % gain in this portfolio since inception when Bitcoin mania 1.0 swept across the planet. The little known Aussie Crypto/Blockchain stock rode on the back of that boom to multi-bag from initial purchase where it was sold in two tranches for very good profits as documented on this thread. Bitcoin has surpassed the peak that was reached back then, so I took a position in the same Aussie Crypto/Blockchain stock Digitalx Ltd (DCC) to ride the current Bitcoin boom 2.0
1609253810224.png

Lithium stocks have been on fire of late led by producers such as GXY, PLS and ORE. There are also deals being made to secure future supply of Li with upcoming juniors such as AVZ which had a stellar day on the market due to an offtake agreement. I decided to take a small position in Li junior Lithium Australia NL (LIT) to participate in this boom.

Current Portfolio:
1609253536943.png

Wishing everyone a safe and happy New Year !

1609254043533.png
 
aus_trader said:
I buy a few speculative stocks every now and then with money I can afford to lose, so smallest parcels of around $500 each per stock. '...with money I can afford to lose' is very misleading as it sound like I have excess that I don't know what to do with ! Quite the opposite is true, I am an average Aussie battler and the money I put into these stocks is any free cash that I have after priorities are taken care of. Priorities are having sufficient funds for: mortgage, utility bills, car expenses, entire amount for monthly credit card balance (not the minimum repayment!), and living expenses (food/clothes etc). Once the basic priorities are taken care of, I have a few thousand in a cash account for emergencies or for a holiday. Then I have money put into longer term stocks with some funds usually kept for new stock positions with a longer term horizon. With any remaining cash, I will buy speculative stocks mentioned in this thread. These include mining hopefuls, new technology startups and turnaround stories of companies trying to recover from near collapse. I have not been including these in my "Medium/Longer Term Stock Portfolio" as these tiny speculative stocks have wild swings such as 50% up or down days and once in a while one of these can go into administration and I will lose the entire stake in that stock, that's a 100% loss on that investment. So I didn't want that level of volatility in a longer term portfolio, hence the birth of this new thread "Speculative Stock Portfolio".

Although it's not common, I have had a few of them that went into bankruptcy either due to poor decision making (such as paying a huge amount for almost a worthless asset), racking up massive debts or running out of money and not being able to raise more capital. In these instances I have lost the amount put into that stock, usually around $500.

Two full paragraphs about Risks buying speculative stocks and depressive text about losing the entire investment in a stock. Usually speculative stock threads start with the biggest hype and excitement with predictions of the next tiny-cap stock that's shooting to the stars from what I've seen in forums. But with decade long experience and having survived through the GFC, I want to be realistic with the risk I'm taking with each speculative purchase.

So why put any money into these penny stocks anyway? Well, given the risk I'm taking, the story has to be big with each pick with potential to return multiple times the initial stake.

So the first stock for this portfolio is a new technology stock involved in using technology to cleanup environmental problems. These problems include air pollution, mining and chemical issues. Company is "Clean TeQ Holdings Limited (CLQ)" bought on 7th of July for 70.5c, a quantity of 750 shares.
Click to expand...
 
I made a bit & then torched my Z1P holding and pumped it into APT a while ago. It just did nothing but melt after its initial ebay contract bounce.

APT has had a much steadier/nicer/consistent increase. We'll see if Z1P nosedives off a bounce again.
 
It's hard to fathom how far the Buy-Now-Pay-Later (BNPL) companies have gone. If I only knew back then I would have left part of the initial purchase of Z1P in this portfolio alone and not trade out of it. It would be worth 12x now or a cool 1200%+ ! Early holders of APT would be sitting on similar % gains.

Anyway, no point being disappointed with gains we haven't made but be proud of gains we have made. In the area of BNPL, both Z1P and QFE made good trades that were profitable in this portfolio in the past.

Rather than chasing the stocks that have already gone to the stratosphere, we would be much more content in looking for early stage opportunities in this portfolio. So I've been hard at work looking through the dozens of asx listed Fintech Payment companies to discover any that haven't run as hard with good future potential. Came across 2 potential candidates and bought both to provide some diversification and to avoid picking the wrong bunny (something I am really good at :smuggrin: )

First is a little firm that is really geared towards business loans as opposed to personal loans. It's been around a long time and used to be called CML group and traded on the asx under the ticker symbol CGR. Now re-branded as Earlypay Ltd (EPY) and re-focused on Small to Medium Enterprise (SME) business needs, I think it's worth adding to this portfolio. It's got a long history in it's making...

1613480967633.png

Experiencing growth even through the challenging business environment with lockdowns and subdued consumer confidence...
1613485580830.png
To top it all off, it pays a dividend as well...
1613485827359.png

The 2nd company is Openpay Group Ltd (OPY), which has both a business loan segment as well as BNPL segment targeting consumers. Here they are side by side...
1613486068591.png

It's not just following the herd either, it's got a different approach to it's competitors...
1613486322121.png

And most exciting is the fact that it's about to enter the US and UK markets. We know what happened to the two big gorillas in this space when they did that...
1613486597789.png

Also experiencing good growth...
1613486746726.png

Open Portfolio:
1613487678384.png
 
Worth noting that they're a pretty much homogenous products and some have much, much, MUCH nicer looking graphs than others.

APT is the pick of the bunch IMO, and I hold for that reason.
 
frugal.rock said:
I note the Speculative Portfolio nature of this thread.
APT is very speculative as it's way overpriced, the smart money has mostly already started rotating out of it, as expected for any stock losing momentum and thrust... it's complicated rocket science

o_O:eek:
Click to expand...
Yes you have the same line of thinking as me Mr. frugal rockstar !

That is the same reason I didn't chase the likes of APT's and Z1P's of the world and look for companies with much more discovery potential. We've made a bit of money in those big cap BNPL fellas such as with the Z1P trade back in their early growth phase.
 
Although RFT probably has longer term potential to play a part in the EV revolution, it's share price has been hit hard with the market retracement over the last few days. So sadly decided to let it go by selling into the small rally today. Will look to buy back in the future...

Closed Positions:
1614699207506.png
 
Underperforming stocks have been given a lot of time to align with the recovery of stocks, but running out of patience so they've been chopped... NTU, DCC and OPY.

Closed:
1618329609684.png

Rare Earth stock NTU went for a good run but has continued to pull back, testing my patience so eventually decided to sell it. I like to acknowledge when other ASF members have outperformed and @barney has alerted us to another Rare Earth stock VML (see VML thread) which has gone for a really good run. I nearly put VML in this portfolio, but at the time it was too volatile for me to decide on a stop loss if I bought it.
 
DCC was waiting for me to sell !!

Nice rally today :sour:

1618366628569.png

Glad I didn't sell LIT which has been on the slide of late, but I noticed junior Li stocks like LIT are playing catch up with the big boys like ORE and GXY which are rallying up again... :cool:
1618367223835.png
 
Last edited:
Hey Everyone,
I'm speculating on DroneShield DRO given their many recent positive announcements in that I have a gut feel that a potential huge Middle East contract deal could soon come to fruition (as alluded too reading between the lines so to speak when going over their recent announcements).

Cheers tela :)
 
aus_trader said:
Underperforming stocks have been given a lot of time to align with the recovery of stocks, but running out of patience so they've been chopped... NTU, DCC and OPY.

Closed:
View attachment 122781

Rare Earth stock NTU went for a good run but has continued to pull back, testing my patience so eventually decided to sell it. I like to acknowledge when other ASF members have outperformed and @barney has alerted us to another Rare Earth stock VML (see VML thread) which has gone for a really good run. I nearly put VML in this portfolio, but at the time it was too volatile for me to decide on a stop loss if I bought it.
Click to expand...

That decision to sell BET really hurt. ouch. BIN not far behind. A couple of potential kingmakers right there.
I believe the outcomes on your list would be a lot different in a normal market. As we know the ASX is predominantly made up of complete rubbish so I suspect there would a lot more red on that list during normal operations.
 
Clansman said:
That decision to sell BET really hurt. ouch. BIN not far behind. A couple of potential kingmakers right there.
I believe the outcomes on your list would be a lot different in a normal market. As we know the ASX is predominantly made up of complete rubbish so I suspect there would a lot more red on that list during normal operations.
Click to expand...

Yes those stocks have continued up north after they were sold out of this portfolio.

I should be keeping a better eye on the stocks that have been sold for turn-around plays as the hard yards of research has been done already.

Our market is looking very interesting as it looks to be breaking out higher, having recovered from the Covid crash...
1619339373916.png

We should be happy as we've picked some nice recovery stocks even during the depth of the crash and made some good % gains which should translate into money in the trading account.

I'll be looking to add stocks to this portfolio if the trend continues as there is plenty of cash to deploy for good speculative plays.
 

Similar threads

BossMan.
The planning of a portfolio
2
Replies
29
Views
545
Value Collector
Value Collector
R
Portfolio Balance
Replies
8
Views
2K
Belli
B
R
Scaling Up Portfolio
Replies
9
Views
1K
DrBourse
DrBourse
Fiona96
Trading US Stocks
Replies
3
Views
1K
karenjones
K
T
Keep $$ in an Investment Home Loan Offset Account OR Buy Shares
Replies
6
Views
1K
Tansam
T
Top