BnB's comment re the speed of the move in Luceco (LON:LUCE) last week, made me reflect on portfolio management and how confident one can be of incremental returns going forwards. I know that many people love positive momentum , but in the interests of buy low, sell high sometimes a drift off with no news can provide great opportunities to accumulate ( and vice versa ). Even though we're only a month into the New Year, one's highest convictions could already have altered either on valuation changes or news flow. I had a look through my portfolio and decided that as we move into February, I would pick my new top 3 convictions.
Brickability (LON:BRCK) : Despite the concern raised by 1 poster last week re potentially buying cladding at peak Grenfell worries, I imagine that will take 3-5 years to manifest itself, if it even proves to be the case. Extremely cheap valuation and recent chart breakout make this my largest holding.
Water Intelligence (LON:WATR) : Classic GARP share.
Alumasc (LON:ALU) : Valuation, positive housing developments from the political situation, technicals and 6% dividend.
Always happy to hear the bear cases and interested in anyone else's conviction holdings. Good luck next week to all.
