Saturday 29 October 2016

Stock bought October 2016: ABF

ABF, logo, 2016

I have for a long time been interested in increasing my holding in ABF but it always felt hard to do so due to the share price increase that I had had on that investment.

Due to all the complications with Brexit etc the share price of ABF have dropped so significantly that I decided to step in and buy some more. I now bought this in my British stock ISA account which makes everything a little complicated due to currency effects. One could argue that I can any day sell the shares and directly move it from my German EUR stock account to my British GBP so I might as well keep it as one investment under one umbrella in EUR and I will therefore do it like that... for now...

I bought 77 more shares in Associated British Foods for a total cost of 2173 EUR in that price is included 24.62 EUR in fees which is an outrage and tells me that the UK is even one step further behind Germany and twenty steps behind Sweden when it comes to the general public holding shares in companies. I now hold 177 shares in ABF with a total cost of 3849 EUR or 21.75 EUR per share including the various fees.

To find out more about ABF then please visit analysis of ABF 2015.

If you want to see my current Stock Portfolio then click on the link but the portfolio will not be fully updated until the end of the month.


Anonymous said...

Hello Fredrik.
The experiment is going bad or am I wrong?

Anonymous said...

Hi there,

The experiment is not going as well as I would have hoped. That is indeed korrekt. The index funds that I do have... Russia, Austria and Portugal are also not going so well which means that also my fall back plan of buying index funds are a bit difficult to start pushing.

Right now my biggest problem is that I do not have the time to find new companies according to my new checklist either i buy old ones or i buy nothing...

Anonymous said...

I mean your project was to "beat the DAX".

DAX is at +51% and your portfolio is at -8% (last report published).

That'a a big gap.

Anonymous said...

har tittat lite på ABF värderingen är lite hög vad får dig att köpa ?

Fredrik von Oberhausen said...

Ah, yes, the valuation of ABF is high. It was high when I bought it the first time many years ago also and I expect that their expansion in Europe and USA will continue to do well for many years to come.

I still see people come out with a crazy amount of bags from Primark and the day I stop seeing that then is the moment to step out.

Fredrik von Oberhausen said...

beat the dax

Well... it is a complicated calculation if one wants to do it correctly... If I would have bought DAX when I bought my shares and in the quantity that I would have done then DAX would only be up by 14.56% since the project started. I started to push in the "big bucks" during summer 2014 when DAX was up at around 10k already which... is more or less were it still is today after being up at around 12k at which point I was also buying individual stocks and would have added to the index fund.

Additionally the DAX index re-invest the yearly dividends which I do not account for... for me which is easier to count with I should then have an additional gain of +8.2% to my own result.

So right now the standing is around +14% for DAX and 0% for me during a four year period. Both results are poor.