By the time you read this it will be December, so it’s time for my usual month-end review of stocks that have been in the virtual SIF folio for at least nine months.

If you’re new to these monthly reviews, then the general format is that I review the portfolio’s performance over the last month. I then consider each of the companies listed below in more detail, to decide whether they should be held or sold. 

This process hasn’t changed, but this month I’ll be testing each stock against the rules in my new selling screen for the first time. You can read about this in more depth in last week’s piece. In short, I hope using these rules to screen for stocks to sell will allow me to hold good, growing companies for longer than I’ve previously done.

There are two companies up for review this month, both of which were acquired in January:

  • Used car supermarket chain Motorpoint (LON:MOTR)

  • Media conglomerate Daily Mail and General Trust (LON:DMGT)

I’ll come to these shortly, but let’s start with a quick look at the performance of the whole portfolio.

SIF performance: November 2020

The portfolio has lagged the wider market slightly over the last month. Here’s a chart showing SIF (blue line) against its benchmark, the FTSE All-Share index:

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Happily, SIF remains well ahead of the market over the year-to-date. The portfolio is now down by just 5% from the market highs seen at the start of the year: 

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These gains have been helped by a handful of big winners, notably Volex, which I added to the portfolio in August (if you haven’t seen it already, I’d suggest taking a look at Jack’s recent Volex Stock Pitch):

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So far, so good. Let’s see what December brings. The near-term outlook remains uncertain. But I’m confident that good businesses should be able to shine, if they’re bought at suitable valuations.

Motorpoint (LON:MOTR)

(Original coverage: 14-Jan-2020)

When used car supermarket Motorpoint (LON:MOTR) floated in 2016 I was a little sceptical about its prospects. But as I’ve followed the company’s progress over the last few years, I’ve become increasingly impressed. Last week’s half-year results did nothing to change that view.

Motorpoint’s nearly-new business…

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