The is a blog to record the transactions in the Tai Family Fund. Tai Family Fund a fund to support the Tai family. Because the current amount is still small. it's at the accumulation phase at this point.
The fund was created on 2021/06/01 and the initial funding came on 2021/06/06 and 2021/06/07. The plan is to invest a few thousand US dollars annually. The fund only buys stocks (including ETFs) without selling. This simplifies a lot of decision making.
In this post, the past transactions and thoughts are copied over from my old notes in reverse chronological order.
2022/03/14
Put in $1000:
$100 for SPY
$400 for MCHI
$300 for FB
$100 for PYPL
$100 for AMZN
The war between Russia and Ukraine was totally unexpected to me. In hindsight, Putin's desire to resurrect the Soviet empire; the weakening of western countries due to covid; the political chaos in the United States; Europe's dependency of Russian energy; the aging of Putin; it all leads to "now or never" opportunity for Putin.
China's position in the confrontation is worrying. However, I still love the Chinese companies like Alibaba and Tencent, so I continue to invest in MCHI.
This portfolio does not have leverage, so very suitable to buy more when the stock goes down more. Hence, keep adding more to MCHI and a bunch of US tech companies which dropped a lot in the past few months.
Portfolio
Transactions
Brief portfolio holdings comments
The plus (+) sign after the following stock symbols represent new shares are purchased since the last update.
SPY (+)
Warren Buffett recommends most people to buy S&P 500 index fund. 90% of his estate is handled this way as well, so I just followed his advice to buy some SPY most of the time when I put money into this fund. I don't aim for the 90% allocation, though.
MCHI (+)
Almost like a China technology ETF composed of the blue chips like Tencent, Alibaba, Baidu, JD. It also has some other blue chips which I like like China Construction Bank, Ping An Insurance. Will try to buy a little more every time I put money into this fund.
FB (+)
Global Monthly Active User (MAU) above 2.8 billion. Facebook is the biggest social network in the world. There will always be people buying Facebook/Whatsapp/Instagram.
2022 EPS is $12.93, P/E 17.4. The economic moat is weakened by Tiktok, but Tiktok is not really a social network that connects users who are familiar with each other, but another variant of youtube, so Facebook is still the top dog in social networking, although user time spent is definitely hurt.
Analysts dramatically reduced the EPS and revenue growth expectation to about 10%, which makes current share price does not look cheap. However, given Facebook's investment in VR; optional values in Facebook dating, and Facebook shops; Facebook Pay and Messenger have good monetization potential; Instagram has a unique position for people to express themselves; the improvement in Ads Infra to compensate for the loss in Apple App Tracking Transparency, I believe Facebook will come back. Long term annual growth of 15-20% should not be a problem.
BRK.B
Berkshire Hathaway in the current form was found by my idols, Warren Buffett and Charlie Munger. I will try to buy more if it's not very expensive. It's trading at about 1.3 to 1.4 P/B, which is acceptable.
AMZN (+)
The biggest e-commerce company outside China. Amazon is the top company in the cloud business. The prime memberships are sticky because of the great value. Its IoT devices, while not complete, are all very popular. Amazon also owns the largest ebook market including the ebook hardware reader: Kindle. Its advertising business is growing rapidly as well. It also has a huge potential in the medical drugs market.
Basically, Amazon has potential in a lot of daily life goods and services which do not require high-end technology. It challenges incumbents with high profit margins. Amazon is definitely a killing machine. The only drawback is that the stock is quite expensive today, P/OCF ~ 30, P/op income > 60. Annual growth around 15-20%.
PYPL (+)
Analysts expect Paypal 2022 EPS to be $4.68, and will grow more than 20% annually for a few years, so it's cheap at P/E 26. Paypal's economic moat did not change recently. It has a few short-term catalysts: amazon partnership, BNPL, continuous growth of users in Venmo, shopping super app. The market only worries about its short-term growth, so it's a good time to buy it now.
OPK
A free stock came from opening this stock account. Not sure what it does.
2022/02/08
Put in $1000:
$100 for SPY
$253.2 (this includes some dividend distribution to the portfolio) for MCHI
$100 for AMZN
$300 for PYPL
$300 for FB
Mainly buy PYPL, FB and MCHI. Analysts expect Paypal 2022 EPS to be $4.68, and will grow more than 20% annually for a few years, so it's cheap at P/E 26. Paypal's economic moat did not change recently. It has a few short-term catalysts: amazon partnership, BNPL, continuous growth of users in Venmo, shopping super app. The market only worries about its short-term growth, so it's a good time to buy it now.
Similarly for FB, 2022 EPS is $12.93, P/E 17.4. The economic moat is weaken by Tiktok, but Tiktok is not really a social network that connects users who are familiar with each other, but another variant of youtube, so Facebook is still the top dog in social networking, although user time spent is definitely hurt. Analysts dramatically reduced the EPS and revenue growth expectation to about 10%, which makes current share price does not look cheap. However, given Facebook's investment in VR; optional values in Facebook dating, and Facebook shops; Facebook Pay and Messenger have good monetization potential; Instagram has a unique position for people to express themselves; the improvement in Ads Infra to compensate for the loss in Apple App Tracking Transparency, I believe Facebook will come back.
On the other hand, I am still bullish in Chinese stocks, so keep buying MCHI.
Portfolio
Transactions
Brief portfolio holdings comments
The plus (+) sign after the following stock symbols represent new shares are purchased since the last update.
SPY (+)
Warren Buffett recommends most people to buy S&P 500 index fund. 90% of his estate is handled this way as well, so I just followed his advice to buy some SPY most of the time when I put money into this fund. I don't aim for the 90% allocation, though.
MCHI (+)
Almost like a China technology ETF composed of the blue chips like Tencent, Alibaba, Baidu, JD. It also has some other blue chips which I like like China Construction Bank, Ping An Insurance. Will try to buy a little more every time I put money into this fund.
FB (+)
Global Monthly Active User (MAU) above 2.8 billion. Facebook is the biggest social network in the world. There will always people buying Facebook/Whatsapp/Instagram.
2022 EPS is $12.93, P/E 17.4. The economic moat is weaken by Tiktok, but Tiktok is not really a social network that connects users who are familiar with each other, but another variant of youtube, so Facebook is still the top dog in social networking, although user time spent is definitely hurt.
Analysts dramatically reduced the EPS and revenue growth expectation to about 10%, which makes current share price does not look cheap. However, given Facebook's investment in VR; optional values in Facebook dating, and Facebook shops; Facebook Pay and Messenger have good monetization potential; Instagram has a unique position for people to express themselves; the improvement in Ads Infra to compensate for the loss in Apple App Tracking Transparency, I believe Facebook will come back. Long term annual growth of 15-20% should not be a problem.
BRK.B
Berkshire Hathaway in the current form was found by my idols, Warren Buffett and Charlie Munger. I will try to buy more if it's not very expensive. It's trading at about 1.3 to 1.4 P/B, which is acceptable.
AMZN (+)
The biggest e-commerce company outside China. Amazon is the top company in the cloud business. The prime memberships are sticky because of the great value. Its IoT devices, while not complete, are all very popular. Amazon also owns the largest ebook market including the ebook hardware reader: Kindle. Its advertising business is growing rapidly as well. It also has a huge potential in the medical drugs market.
Basically, Amazon has potentially in a lot of daily life goods and services which do not require high-end technology. It challenges incumbents with high profit margin. Amazon is definitely a killing machine. The only drawback is that the stock is quite expensive today, P/OCF ~ 30, P/op income > 60. Annual growth around 15-20%.
PYPL (+)
Analysts expect Paypal 2022 EPS to be $4.68, and will grow more than 20% annually for a few years, so it's cheap at P/E 26. Paypal's economic moat did not change recently. It has a few short-term catalysts: amazon partnership, BNPL, continuous growth of users in Venmo, shopping super app. The market only worries about its short-term growth, so it's a good time to buy it now.
OPK
A free stock came from opening this stock account. Not sure what it does.
2021/09/11
Put in $2000 (in two tranches):
$200 for SPY
$1100 for MCHI
$200 for AMZN
$300 for BRK.B
$200 for FB
Continued to buy more AMZN, FB. Berkshire Hathaway business does not do much, but the Apple and Japanese stocks invested earned a lot, whole the stock price of Berkshire itself did not grow much, so I bought a bit more BRK.B this time.
The recent Chinese regulations on the entertainment industry, the gaming industry and the working environment of the technology industry worried the private companies in China.
Despite a big portion of MCHI is Tencent, the ETF has a lot of other companies like Alibaba and Ping An which can come back easily over time. This fund's investment strategy is dollar cost averaging (DCA), which means buying more when the price is low, so I add more MCHI again.
Portfolio
Transactions
Brief portfolio holdings comments
The plus (+) sign after the following stock symbols represent new shares are purchased since the last update.
SPY (+)
Warren Buffett recommends most people to buy S&P 500 index fund. 90% of his estate is handled this way as well, so I just followed his advice to buy some SPY most of the time when I put money into this fund. I don't aim for the 90% allocation, though.
MCHI (+)
Almost like a China technology ETF composed of the blue chips like Tencent, Alibaba, Baidu, JD. It also has some other blue chips which I like like China Construction Bank, Ping An Insurance. Will try to buy a little more every time I put money into this fund.
FB (+)
Global Monthly Active User (MAU) above 2.8 billion. Facebook is the biggest social network in the world. There will always people buying Facebook/Whatsapp/Instagram. P/E at about 30 with annual revenue growth rate of 20%, not expensive. The company has a lot of option values, e.g. VR, cryptocurrency, e-commerce (Shop), etc. Bytedance's Tiktok is the biggest threat.
BRK.B (+)
Berkshire Hathaway in the current form was found by my idols, Warren Buffett and Charlie Munger. I will try to buy more if it's not very expensive. It's trading at about 1.3 to 1.4 P/B, which is acceptable.
AMZN (+)
The biggest e-commerce company outside China. Amazon is the top company in the cloud business. The prime memberships are sticky because of the great value. Its IoT devices, while not complete, are all very popular. Amazon also owns the largest ebook market including the ebook hardware reader: Kindle. Its advertising business is growing rapidly as well. It also has a huge potential in the medical drugs market.
Basically, Amazon has potentially in a lot of daily life goods and services which do not require high-end technology. It challenges incumbents with high profit margin. Amazon is definitely a killing machine. The only drawback is that the stock is quite expensive today, P/OCF ~ 30, P/op income > 60. Annual growth around 15-20%.
OPK
A free stock came from opening this stock account. Not sure what it does.
2021/08/09
Put in $1000:
$200 for SPY
$516.8 for MCHI
$100 for AMZN
$100 for BRK.B
$100 for FB
Portfolio
Transactions
Brief portfolio holdings comments
The plus (+) sign after the following stock symbols represent new shares are purchased since the last update.
SPY (+)
Warren Buffett recommends most people to buy S&P 500 index fund. 90% of his estate is handled this way as well, so I just followed his advice to buy some SPY most of the time when I put money into this fund. I don't aim for the 90% allocation, though.
MCHI (+)
Almost like a China technology ETF composed of the blue chips like Tencent, Alibaba, Baidu, JD. It also has some other blue chips which I like like China Construction Bank, Ping An Insurance. Will try to buy a little more every time I put money into this fund.
FB (+)
Global Monthly Active User (MAU) above 2.8 billion. Facebook is the biggest social network in the world. There will always people buying Facebook/Whatsapp/Instagram. P/E at about 30 with annual revenue growth rate of 20%, not expensive. The company has a lot of option values, e.g. VR, cryptocurrency, e-commerce (Shop), etc. Bytedance's Tiktok is the biggest threat.
BRK.B (+)
Berkshire Hathaway in the current form was found by my idols, Warren Buffett and Charlie Munger. I will try to buy more if it's not very expensive. It's trading at about 1.4 P/B, which is acceptable.
AMZN (+)
The biggest e-commerce company outside China. Amazon is the top company in the cloud business. The prime memberships are sticky because of the great value. Its IoT devices, while not complete, are all very popular. Amazon also owns the largest ebook market including the ebook hardware reader: Kindle. Its advertising business is growing rapidly as well. It also has a huge potential in the medical drugs market.
Basically, Amazon has potentially in a lot of daily life goods and services which do not require high-end technology. It challenges incumbents with high profit margin. Amazon is definitely a killing machine. The only drawback is that the stock is quite expensive today, P/OCF = 27, P/FCF = 68. Annual growth around 15-20%.
OPK
A free stock came from opening this stock account. Not sure what it does.
2021/06/24
Put in $10000:
$3000 for SPY
$3000 for MCHI
$1000 for BRK.B
$1500 for FB
$1500 for AMZN
Portfolio
Transactions
Brief portfolio holdings comments
The plus (+) sign after the following stock symbols represent new shares are purchased since the last update. This is a starting post, so all symbols have the plus signs.
SPY (+)
Warren Buffett recommends most people to buy S&P 500 index fund. 90% of his estate is handled this way as well, so I just followed his advice to buy some SPY most of the time when I put money into this fund. I don't aim for the 90% allocation, though.
MCHI (+)
Almost like a China technology ETF composed of the blue chips like Tencent, Alibaba, Baidu, JD. It also has some other blue chips which I like like China Construction Bank, Ping An Insurance. Will try to buy a little more every time I put money into this fund.
FB (+)
Global Monthly Active User (MAU) above 2.8 billion. Facebook is the biggest social network in the world. There will always people buying Facebook/Whatsapp/Instagram. P/E at about 30 with annual revenue growth rate of 20%, not expensive. The company has a lot of option values, e.g. VR, cryptocurrency, e-commerce (Shop), etc. Bytedance's Tiktok is the biggest threat.
BRK.B (+)
Berkshire Hathaway in the current form was found by my idols, Warren Buffett and Charlie Munger. I will try to buy more if it's not very expensive. It's trading at about 1.4 P/B, which is acceptable.
AMZN (+)
The biggest e-commerce company outside China. Amazon is the top company in the cloud business. The prime memberships are sticky because of the great value. Its IoT devices, while not complete, are all very popular. Amazon also owns the largest ebook market including the ebook hardware reader: Kindle. Its advertising business is growing rapidly as well. It also has a huge potential in the medical drugs market.
Basically, Amazon has potentially in a lot of daily life goods and services which do not require high-end technology. It challenges incumbents with high profit margin. Amazon is definitely a killing machine. The only drawback is that the stock is quite expensive today, P/OCF = 27, P/FCF = 68. Annual growth around 15-20%.
OPK (+)
A free stock came from opening this stock account. Not sure what it does.
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