My journey to early retirement
As soon as my kids finish the university I want to retire, and for that to happen I need to have a good retirement fund to keep my current quality of life without worrying about money.
I am already making a lot of money in my live account, but just started to publish my trades in Collective 2 on 20th November 2020. This is a marathon and not a sprint. I started my portfolio with 10 stocks of similar money value and I am adding regularly either new stocks or reinforcing existing positions. In most cases the positions are held for long periods, of at least 3 years, and many are bought for life. These positions I only sell if there is a significative change, either in the company or in the environment, that makes me think that it will not be an over performer anymore. In some cases, when the profits are huge, I might sell partially to take out my investment and let only the profits run. This way I can fund new investments or withdraw the money. Because I am investing in companies that I fundamentally believe that will outperform the market, I analyse every big drop to check for a buying opportunity. If the drop was generalized, like in a market crash, or if there aren’t any company or industry news that justify that drop, I consider adding to the position. I have some times positions that are on the red for long periods of time, and I don’t use stop losses. But in the end, my total portfolio is always growing. What matters is that I win more than I loose, and that's how I make my account to grow.
A small part of my positions are short term (1 year). These can easily be identified by having a clear profit target. I very seldomly add to these positions.
I hope you enjoy this ride with us and join the club.