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In our monthly portfolio review, we give a run down of our performance across asset classes, along with any notable changes in positioning.

Summary

January P/L = -8.4%

FX 

We continued to be active in the FX market in January, placing eight trades across major pairs. This generated a profit of 2% for the overall portfolio. Key trades included buying the dip in EURGBP around the 0.8300 level and also taking advantage of what we believe is an oversold EURCHF pair with any dips below the 1.0400 level. Carried over month end was another long EURCHF trade and a long GBPUSD position. 

Stocks

The bulk of our unrealized losses during January came from our growth stocks, particularly in the US. The likes of Upstart and Roblox were hit hard in the selloff, in what proved to be one of the worst starts to the year for US equities in well over a decade. Given the long-term value we see, we decided against closing out many of these positions. Some we did close, including CRM and BLNK.

We had some opportunistic profits, notably from shorting PENN and buying BABA. Unfortunately, these were unable to offset the large shift in the market, leading to our stock book to drag the portfolio performance down 8% on the month.

Crypto

Our crypto exposure remained a small portion of our overall portfolio, but given the size of the move lower in January, it still gave us a 2% drag on the overall book. We see the crypto market as now having a strong correlation with equities, with the negative sentiment acting as a large dampener on even relatively good value plays that we hold. 

Given the increase in correlation, we are looking to continue to trim down our exposure to crypto as we think we can better pick plays on stocks rather than crypto.

February actions

From an FX standpoint, we see no need to make any changes to our strategy. Given our 33% cash position, we are looking to buy some dips in equities once we are happy that the volatility has settled somewhat. For crypto, we will continue to reduce our exposure and only take short-term tactical buys.

Later in Q1, we will be making the funds available for outside investment via the CopyTrader function on Etoro, our affiliate partner. Early birds can register here.

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