Wow, Yo Boy is Losing Chedda-How to Navigate Losing a Ton of Money Displayed by My Choices
My portfolio has lost about 10% of its value in the past two weeks-ish. In times like these, it is important to keep a calm head, which can be really tough. For example, TQQQ, one of my favorite positions has shed 33% of its value in the past two weeks alone. That is a lot. So, let’s tackle this problem, this sudden implosion of funds.
And really, the first place to start is by recognizing that this implosion is not sudden. All of the worry finally caught up to the market. Donald Trump’s incessant, tactless boistering is obviously not helping either, but in general, the market has been seizing up more and more recently. A correction was necessary, and it should not be something you look at with disdain. Corrections like these are opportunities.
The TQQQ is down 33% in the past two weeks, but nothing fundamentally has changed about the composition of the companies that lie within it. I think I will buy more. Currently, TQQQ only makes up 10% of my portfolio, and I will likely increase that by 50%. I mean, it was down 12% today alone because Donald Trump, who has never done what he has said he will do in his 78 years of life, said that we might have a recession. We will not have a recession because he cares too much about public opinion, even though it really doesn’t matter too much. Really, he was just boasting to boast. People need to stop taking Trump at his word when it comes to economic matters. This tariff thing will blow over quickly, we will not go into a recession, and people just need to calm down.
The VIX is at its highest point in over two years, and these were the four headlines on the WSJ finance page: “Nasdaq index plummets 4%; Dow closes down 890 points as S&P 500 declines 2.7%,” “What the Dot-Com Bust Can Tell Us About the AI Boom,” “Economists Are Taking a Gloomier Outlook on Recession Chances,” and “The Mounting Case Against U.S. Stocks.”
Oh, come on people. All of this is about Donald Trump. His recent comments and actions are the only new variable in this equation. It’s not AI-stock prices. Nvidia has not risen in price substantially in seven months, for example, Microsoft in well over a year, and Apple in ten months. Smaller companies like ASML have also slipped backwards, and AMD is literally worth half what it was worth a year ago.
Not that the market is undervalued entirely, and everybody is completely missing the picture, but the market is certainly undervalued in some aspects and many people are missing a lot of the picture.
Here is what I am doing. I have six positions, Costco, Microsoft, Ferrari, ServiceNow, ASML, and TQQQ. I will re-orient my portfolio to favor a rebound because I think this correction is overblown, and if it’s not, then that will stink.
I will sell some of my more conservative Microsoft and buy more TQQQ because it is way oversold. I already bought more ServiceNow, which is definitely the type of company I want to be in right now for a rebound. I am delving more into tech, more into AI, and I want to become more concentrated. Ferrari and Costco, which combine to make 40% of my portfolio, will be my only non-tech companies.
Oh, and by the way, this is total BS that Ferrari stock is falling. If the market is falling because the US looks less appetizing and Europe more so, then Ferrari stock should rise, total garbage.
But either way, people are freaking out for no reason because they are stupid, and they are thinking in a really dumb way. This money will come back, and I feel extremely confident that the TQQQ will break 90 before the end of the year.
Also, COYS. We’re going to smash those Dutch chumps Thursday in a 6-0 win, with a hatty from Son (my GOAT/king), three assists from Madders, two goals from Odobert, and a bicycle kick from the stupefying Swedish specialist, Lucas Bergvall (my other GOAT).
