Model portfolio update and transactions
(published on Substack on 10 Apr 2026)
Dear fellow value investors,
As advised in the posts published on the 27th of Mar 2026 and 03rd of Apr 2026, we have established our model portfolio with USD 100,000 as a starting capital. No monthly contributions will be added to the initial investment.
We will not chase the returns at any expense but apply cyclical value investing principles set out in previous posts. We will focus on owning shares in businesses with low-risk/high-reward options. If the business’s stock price goes down, we shall buy more and thereby enjoy higher annual returns, as long as our analysis of fundamental factors and intrinsic value (in our case, Net Asset Value) still holds. As mentioned in one of the previous posts, the daily price movements are pure noise. By managing this portfolio, we will focus on the true intrinsic value of the business we own and compound the invested capital.
We have covered 3 companies that are currently undervalued and that offer low-risk/high-reward perspectives.
All portfolio transactions (buy/sell/dividends) will be disclosed to paid subscribers, and the YTD performance will be shared with all subscribers.
For a value investor, compounding is one of the most vital principles in value investing (along with the circle of competence, the margin of safety (MoS), and the opportunities of low-risk/high-reward options).
Albert Einstein put it beautifully:
“Compound interest is the eighth wonder of the world. He who understands it, earns it ... he who doesn’t ... pays it.”
Please see the transactions below related to the initial investment and first purchase: