2020 ASX Alphabet Challenge
Due to my interest in the Australian market and learning more about investing, I have challenged myself to create a fictional fund of 26 ASX listed stocks, one stock code for every letter of the alphabet, ending on the 18th December 2020. This is purely for entertainment/personal education purposes, and does not in any way constitute actionable insights or ideas.
Check out my 2019 picks here — my 2019 portfolio finished the year with a 41% return — which was aided significantly by the timing of the competition (starting in December 2019). My best performer was Z1P (+241%) and my worst performer was GTK (-25%).
There’s definitely stocks I’ve picked that I would never put my own funds in, but am including them out of interest in the company or product/services. I am using this challenge to learn more about the 26 chosen stocks throughout the year, and understand they operate and plan to grow moving forward. I am also fascinated to see how this fictional portfolio performs given the minimal time and reasoning behind the stock choices.
I have equally weighted $1,000 (rounded down) to each stock, with the starting value of the portfolio not exceeding $26,000. The companies are all listed on the ASX and I am not able to make any trades during the year, regardless of what happens to the company. There are no other restrictions on which stocks I choose; any market cap, industry and P/E ratio. LICs/REITs/ETFs are all open for business! To make it easier I’m also disregarding brokerage for the purposes of this experiment.
To get started I have added all of my 26 stocks to a hypothetical portfolio using the free InvestSMART Portfolio Manager tool, and have set the purchase price as the close price for each stock on the 19th December 2019. My list of stocks for my 2020 ‘ATOZ Capital Fund’ are as follows:
AEF — Australian Ethical Investment Limited
BPT — Beach Energy Limited
CLV — Clover Corporation Limited
DDR — Dicker Data Limited
EML — EML Payments Limited
FDV — Frontier Digital Ventures Limited
GTK — Gentrack Group Limited
HLO — Helloworld Travel Limited
IIND — BetaShares India Quality ETF
JIN — Jumbo Interactive Limited
KTD — Keytone Dairy Corporation Limited
LOV — Lovisa Holdings Limited
MCP — McPherson’s Limited
NEC — Nine Entertainment Co. Holdings Limited
OCL — Objective Corporation Limited
PPH — Pushpay Holdings Limited
QAN — Qantas Airways Limited
RUL — RPMGlobal Holdings Limited
SMLL — BetaShares Australian Small Companies Select Fund (Managed Fund)
TAH — Tabcorp Holdings Limited
UOS — United Overseas Australia Limited
VGE — Vanguard FTSE Emerging Markets Shares ETF
WEB — Webjet Limited
XRO — Xero Limited
YMAX — Betashares Aus Top20 Equity Yield Max Fund
Z1P — Zip Co Limited
If you replicate this challenge, I’d love to hear your selections and how you fare, all in the name of entertainment and learning!
Happy New Year!
Kate