Contents
This FFJ Portfolio - July 2023 report overviews my recent investment activity.
Relative to July 2022, the value of the FFJ Portfolio has fallen by ~$ 27,609 CDN and increased by ~$785,022 USD. The increase is attributed to my concerted effort to increase my exposure to high-quality US companies.
Purchases In The FFJ Portfolio
In July, I made the following purchases in the FFJ Portfolio.
Genuine Parts (GPC)
On July 21, I published my Genuine Parts Raises FY2023 Outlook Again post in which I disclose the purchase of a very limited number (limited liquidity in the investment account) of additional GPC shares @ ~$157.51/share in a 'Core' account within the FFJ Portfolio.
Danaher (DHR)
On July 6, I acquired an additional 50 DHR shares @ ~$234.36/share in a 'Core' account within the FFJ Portfolio bringing my exposure to 445 shares in that account.
On July 31, I published my Danaher Consistently Generates Strong Free Cash Flow post.
Agilent Technologies (A)
On May 10, I initiated a 200-share position @ ~$127/share in a 'Core' account within the FFJ Portfolio and disclosed this purchase in this post. I acquired another 100 shares on June 9 @ ~$115.96/share and another 100 shares on July 6 @ ~$118.49 and now hold 400 shares in a 'Core' account. I did not create a post to disclose my June and July purchases.
Chevron (CVX)
On July 14, I acquired an additional 100 CVX shares @ ~$153.69/share in a 'Core' account within the FFJ Portfolio. I now hold 1,995 shares in 'Core' accounts and 330 shares in a 'Side' account within the FFJ Portfolio.
On July 30, I published my Chevron – Energy Transition Should Generate Superior Returns post.
Lockheed Martin (LMT)
On July 18, I acquired an additional 50 LMT shares @ ~$455.21/share in a 'Core' account within the FFJ Portfolio. I now hold 509 shares in a 'Core' account within the FFJ Portfolio.
On July 30, I published my Lockheed Martin – Improved Valuation and Earnings Outlook post.
RTX Corporation (RTX)
On July 18, I acquired an additional 100 RTX shares @ ~$85.67/share in a 'Core' account within the FFJ Portfolio. I now hold 408 shares in a 'Core' account and 423 shares in a 'Side' account within the FFJ Portfolio.
On July 29, I published my RTX Corporation Headwinds Present A Buying Opportunity post.
Nasdaq (NDAQ)
On July 13, I published my Added Nasdaq To The FFJ Portfolio post in which I disclose the purchase of 500 NDAQ shares @ ~$51/share in a 'Core' account within the FFJ Portfolio.
On July 20, I published my Nasdaq – Promising Long-Term Outlook post in which I disclose the purchase of an additional 100 NDAQ shares @ ~$50.75/share in the same 'Core' account.
Alimentation Couche-Tard (ATD.to)
On July 10, I acquired an additional 100 ATD.to shares @ ~$65.38/share in a 'Side' account within the FFJ Portfolio. I now hold 1,225 shares in a 'Side' account and shares in an account for which I do not disclose details.
On July 10, I published my Alimentation Couche-Tard: Profitable Business Model post.
Dividend Income
I base my investment decisions on risk, valuation, and long-term total potential return. Dividend metrics are of lesser importance. Nevertheless, I do track dividend income.
The income from the holdings within the FFJ Portfolio is accessible here.
During June, the holdings within the FFJ Portfolio generated:
- 'Core' accounts: ~$ 2,539 CDN and ~$1,238 USD
- 'Side' accounts: ~$ 2,972 CDN and ~$1,055 USD
YTD dividend income is:
- Core' accounts: ~$13,665 CDN and ~$21,793 USD
- 'Side' accounts: ~$15,801 CDN and ~$13,623 USD
I received dividend income from the following companies in the FFJ Portfolio and retirement accounts for which I do not disclose details.
- Agilent Technologies (A)
- Automatic Data Processing (ADP)
- Broadridge (BR)
- Danaher (DHR)
- Ecolab (ECL)
- FedEx (FDX)
- Genuine Parts (GPC)
- HEICO (HEI-a)
- Merck (MRK)
- Nike (NKE)
- The Coca-Cola Company (KO)
- Thermo Fisher (TMO)
- TotalEnergies SE (TTE)
- Alimentation Couche-Tard (ATD.to)
- BCE Inc. (BCE)
- SMART Centres Real Estate Investment Trust (SRU-UN.to)
- The Bank of Nova Scotia (BNS.to)
- The Canadian Imperial Bank of Commerce (CM.to)
- The Toronto-Dominion Bank (TD.to)
Holdings
The monthly FFJ Portfolio holdings dating back to December 2018 are accessible here.
The following are the monthly values of the FFJ Portfolio over the past several months.
January 2022
Core Accounts: ~$773,000 CDN and ~$1,858,000 USD
Side Accounts: ~$666,000 CDN and ~$1,475,000 USD
Total: ~$1,439,000 CDN and ~$3,333,000 USD
February 2022
Core Accounts: ~$778,000 CDN and ~$2,014,000 USD
Side Accounts: ~$672,000 CDN and ~$1,465,000 USD
Total: ~$1,450,000 CDN and ~$3,479,000 USD
March 2022
Core Accounts: ~$810,000 CDN and ~$2,118,000 USD
Side Accounts: ~$696,000 CDN and ~$1,554,000 USD
Total: ~$1,506,000 CDN and ~$3,672,000 USD
April 2022
Core Accounts: ~$770,332 CDN and ~$2,026,487 USD
Side Accounts: ~$658,363 CDN and ~$1,514,137 USD
Total: ~$1,428,695 CDN and ~$3,540,624 USD
May 2022
Core Accounts: ~$784,833 CDN and ~$2,133,728 USD
Side Accounts: ~$661,080 CDN and ~$1,499,998 USD
Total: ~$1,445,913 CDN and ~$3,633,726 USD
June 2022
Core Accounts: ~$742,473 CDN and ~$2,006,645 USD
Side Accounts: ~$595,911 CDN and ~$1,401,823 USD
Total: ~$1,338,384 CDN and ~$3,408,468 USD
July 2022
Core Accounts: ~$794,405 CDN and ~$2,230,466 USD
Side Accounts: ~$644,255 CDN and ~$1,539,292 USD
Total: ~$1,438,660 CDN and ~$3,769,758 USD
August 2022
Core Accounts: ~$740,560 CDN and ~$2,064,323 USD
Side Accounts: ~$637,547 CDN and ~$1,478,073 USD
Total: ~$1,378,107 CDN and ~$3,542,396 USD
September 2022
Core Accounts: ~$707,781 CDN and ~$1,894,989 USD
Side Accounts: ~$612,394 CDN and ~$1,311,542 USD
Total: ~$1,320,175 CDN and ~$3,206,531 USD
October 2022
Core Accounts: ~$740,555 CDN and ~$2,160,153 USD
Side Accounts: ~$624,677 CDN and ~$1,441,483 USD
Total: ~$1,365,232 CDN and ~$3,601,636 USD
November 2022
Core Accounts: ~$785,647 CDN and ~$2,311,806 USD
Side Accounts: ~$653,367 CDN and ~$1,516,013 USD
Total: ~$1,439,014 CDN and ~$3,827,819 USD
December 2022
Core Accounts: ~$737,157 CDN and ~$2,271,705 USD
Side Accounts: ~$602,514 CDN and ~$1,438,680 USD
Total: ~$1,339,671 CDN and ~$3,710,385 USD
January 2023
Core Accounts: ~$775,787 CDN and ~$2,387,269 USD
Side Accounts: ~$642,451 CDN and ~$1,520,472 USD
Total: ~$1,418,238 CDN and ~$3,907,741 USD
February 2023
Core Accounts: ~$757,627 CDN and ~$2,283,481 USD
Side Accounts: ~$634,210 CDN and ~$1,474,168 USD
Total: ~$1,391,837 CDN and ~$3,757,649 USD
March 2023
Core Accounts: ~$747,355 CDN and ~$2,385,759 USD
Side Accounts: ~$628,335 CDN and ~$1,532,785 USD
Total: ~$1,375,690 CDN and ~$3,918,544 USD
April 2023
Core Accounts: ~$768,494 CDN and ~$2,506,613 USD
Side Accounts: ~$638,604 CDN and ~$1,527,968 USD
Total: ~$1,407,098 CDN and ~$4,034,581 USD
May 2023
Core Accounts: ~$726,443 CDN and ~$2,536,273 USD
Side Accounts: ~$613,517 CDN and ~$1,480,114 USD
Total: ~$1,339,960 CDN and ~$4,016,387 USD
June 2023
Core Accounts: ~$769,378 CDN and ~$2,773,868 USD
Side Accounts: ~$630,919 CDN and ~$1,611,031 USD
Total: ~$1,400,297 CDN and ~$4,384,899 USD
July 2023
Core Accounts: ~$769,720 CDN and ~$2,884,064 USD
Side Accounts: ~$641,331 CDN and ~$1,670,716 USD
Total: ~$1,411,051 CDN and ~$4,554,780 USD
NOTE: The above values exclude investments in several tax-efficient accounts for which I do not disclose details.
Final Thoughts
While I try to invest in great companies that have temporarily fallen out of favour, share price behaviour is not the basis for making investment decisions.
When analyzing a company, I:
- try to understand the business;
- look at the key financial characteristics;
- determine whether the company has the wherewithal to withstand severe temporary adversity;
- try to determine senior management's quality and competency;
- determine if senior management's compensation structure is aligned with shareholder interests;
- try to assess some external threats that could jeopardize a company; and
- gauge the company's valuation.
In many cases, I easily eliminate some companies because I am extremely reluctant to invest in a company whose credit risk is, or is close to, non-investment grade.
That's it for now.
I wish you much success on your journey to financial freedom.
Note: Please send any feedback, corrections, or questions to [email protected].
Disclaimer: I do not know your circumstances and am not providing individualized advice or recommendations. I encourage you to make all investment decisions through research and due diligence. You should also consult your financial advisor where appropriate.
I wrote this article myself and it expresses my own opinions. I am not receiving compensation for it and have no business relationship with any company whose stock is mentioned in this article.
