Sector Watch & My Kids Portfolio : Passive Income Report March 2019

Just got back from another busy week in the USA and the last day of March 2019 has already arrived. Also the clock moved one hour forward to summer time. April is ahead of us and it looks to be a very busy month.

So let’s move on to our Kids Portfolio. A portfolio I started with 10.000 Euro. We will grow this portfolio as an emergency fund for our kids and try to grow it as big as possible.

Market Sentiment and Sector Watch

The market sentiment has not changed too much in the past weeks. There’s not much that can disturb the sentiment on the immediate horizon. Earnings season is coming on the horizon in April.

Let’s take a look at the Sector Watch. Here we look which sectors we should invest in and what is different compared to last month. We placed the latest Sector Watch graph below…This always allows you to make your own analysis.

All sectors had a strong rebound. Also the energy sector has been on an upward trend.  

 

 

                           

One sector that remains strong is the Technology sector. Take a look at below 6 month chart. The tech sector has been bullish over the past 6 months. This is reflected in the triple leveraged ETF TECL. Take a look at this nice chart. From 80$ to 140$…did you catch this move and profit ? There are always opportunities in the stock market. You just have to know how to find them…

 

Be aware we are not a financial advisor. Execute your own risk analysis and investment research. Read our disclaimer. We hope this sector review was useful for you to understand market opportunities and how we analyse potential opportunities.

Let’s dive in the passive income update for my kids portfolio.

Passive Income Update

During the month of March 2019, we received 20,78$ dividend income and 391,25 options premium. This gives us a total of 1080,83$ after three months…

 

So what magic did I apply in my options trading ?

Options Trade review

So what happened in March with my puts ? Well, the stock price never hit 9$ so I did keep the money in my pockets. In April I have 2 puts at the strike price of 12$

So what happens if the price of JNUG stays below 12 $ as I have two puts for April 18th. No problem….please give me the 200 shares. (avoiding the stupid PRIIPS regulation)

The 12$ strike will result in a 10,6$ average purchase price as I already received a lot of premium. What’s my reasoning ? Have you looked at the chart of JNUG ? What was the highest price on the chart ? Around 850$ ..right !

So if we buy 400 shares and one day it hits 850$, we turned a 4000$ investment in 340.000$. So please give me the 200 shares in april. We will see if it will happen.

Going forward

YaaaY !! We hit our 1000$ in the first three months of the year. Did I expect this to happen ? No, honestly I didn’t. So we have now achieved 10% on our 10.000 Euro and we increased our cash position to more than 5.200$. Isn’t that nice ?

My goal is to repeat this process each month dependent on our cash flow availability. Let’s grow the money in our kids pockets.

This is the end of our blogpost. Did you realize 1000$ for your kids in three months ? No ? Then you should start investing in your own knowledge. Putting your money on a savings account is not a strategy to grow your kids money.

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