Overview
September was mainly a month of restructuring the ETF side of my portfolio.
After spending more time researching Irish-domiciled UCITS ETFs and thinking about how I want to structure my long-term exposure to the U.S. market, I began gradually shifting away from relying primarily on QQQ.
During the month, I participated in the IPOs of XND and XUS, started building an international position through VXUS using Interactive Brokers (IBKR), and added to one of my existing individual stock positions.
I also decided to stop my regular QQQ DCA for the time being so that new capital can instead be directed towards XND and XUS.
Portfolio Changes
XND and XUS
One of the biggest changes this month was participating in the IPOs of XND and XUS.
These ETFs will form a larger part of my long-term ETF strategy going forward.
XND provides exposure to the Nasdaq-100, while XUS provides broader exposure to the S&P 500.
Since I already have significant exposure to large U.S. technology companies through QQQ and my individual stock holdings, I want to gradually build these positions rather than immediately restructuring the entire portfolio.
QQQ DCA
I have decided to stop my regular QQQ dollar-cost averaging strategy for now.
Previously, I was investing US$175 every two weeks into QQQ.
Instead, future ETF contributions will primarily be directed towards XND and XUS.
I am still holding my existing QQQ position for the time being. I do not want to sell simply because I have found another ETF structure that I prefer.
VXUS DCA
I also started a six-month DCA into VXUS through Interactive Brokers (IBKR).
My current plan is to invest:
US$250 per month for six months
This position is intended to increase my exposure to markets outside the United States and reduce the portfolio’s dependence on U.S. equities.
It also marks the beginning of using IBKR more actively for the international portion of my portfolio.
SOFI
I added another 70 shares of SoFi Technologies (SOFI) during September.
SOFI remains one of the companies I am interested in, particularly after the recent decline in its share price.
However, I am trying to be careful not to let a lower share price automatically make me assume that the stock is undervalued.
Before adding substantially more, I want to reassess the company from the ground up and compare it against competitors such as Upstart (UPST) and other companies operating within the fintech and lending space.
The objective is to determine whether SOFI remains attractive based on its fundamentals and future prospects rather than simply because I already own the stock.
Options Activity
I did not make any options trades during September.
For now, options remain a smaller and more tactical part of my portfolio strategy.
I am comfortable waiting for opportunities where I understand both the potential reward and downside rather than feeling the need to trade options every month.
What I Am Researching
Finding New Growth Opportunities
One of my main research priorities is identifying new sectors and companies that could potentially become significant long-term opportunities.
Two sectors I continue to find particularly interesting are:
- Quantum computing
- Space technology
Both industries potentially have significant long-term growth opportunities, but they are also highly speculative and contain companies at very different stages of development.
Because of this, I want to study the underlying businesses rather than invest purely based on the growth narrative surrounding the industries.
Re-Evaluating Stocks After Price Declines
Several growth stocks have also experienced significant price movements recently.
SOFI is one example that I am currently reviewing.
A falling share price can create an opportunity, but it can also reflect deteriorating fundamentals or changing market expectations.
Because I already own SOFI, there is also a risk of becoming biased towards information that supports my existing investment thesis.
I therefore want to reassess the company as objectively as possible and compare it with alternatives such as UPST, rather than automatically assuming that SOFI is the better investment.
Target Portfolio Allocation
My current target portfolio allocation is:
- 25% — QQQ + XND
- 10% — XUS
- 10% — VAS
- 55% — Individual stocks of my choice
The QQQ + XND allocation is combined because both provide significant Nasdaq-100 exposure.
Over time, I expect XND to make up a larger portion of this allocation as new capital is directed towards it instead of QQQ.
The remaining 55% allocated to individual stocks gives me room to invest in companies where I have stronger conviction or where I believe there may be opportunities for higher returns.
At the same time, I want the ETF portion of the portfolio to provide a stable long-term foundation.
Portfolio Direction
Going forward, I want the portfolio to maintain a balance between:
- Broad long-term ETF exposure
- High-conviction individual stocks
- Geographic diversification
- Exposure to emerging industries
- Tactical opportunities when the risk-reward is attractive
One thing I want to become increasingly disciplined about is separating a good company from a good investment.
Looking Ahead
Going into October, my main priorities are:
- Continue building my XND and XUS positions
- Continue the US$250 monthly VXUS DCA through IBKR
- Keep my existing QQQ position while directing new capital elsewhere
- Reassess SOFI and compare it against UPST and other competitors
- Research opportunities within quantum computing and space technology
- Look for companies with strong fundamentals before they become widely recognised by the market
- Remain selective with new individual stock purchases
- Avoid investing simply because a stock has fallen significantly
The overall objective remains unchanged: continue building the portfolio gradually while improving the investment process behind every decision I make.