IG Group

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My Approach to Investing

Summary

I focus my efforts on small and mid-sized companies searching for those where the growth prospects are not reflected in the share price. I am disciplined about the valuation I am prepared to pay; I don’t like to pay over 20x forecast earnings and favour companies that are paying a growing dividend and have a prospective dividend yield of at least 2.0%. I search for companies generating strong cash flow and if not having net cash, then debt levels that is low to moderate. Where possible I like to meet management and understand what makes them tick and if they have a decent stake in the business so much the better; our interests are aligned! I like companies that are beating expectations and earnings forecasts are being upgraded. Ultimately I am looking for the “double whammy” that comes from a re-rating and from faster than expected earnings growth. Having found a potential investment I look at the share price chart as it can help with timing; so often resistance and support levels work. I size a position based on my assessment of the potential Risk and Reward of the stock. I hold between 20 and 30 holdings, making use of investment trusts for overseas or thematic exposure.

The most important number to me is the return of the Portfolio! I try not to get too emotionally involved with individual companies; if I cut a holding and it immediately bounces, so be it. All that matters is the return of the Portfolio, each month, each year, each decade!

I invest principally in the UK

I invest mainly in UK stocks as that is where I have gained my experience. There are clearly opportunities to invest in overseas companies, and it is fair to say that it is now much easier to get the information you need. I think that for a private investor, such as myself, with limited time resources, it is better not to spread my net too wide. For me, it makes sense to focus my efforts on a market where I have experience and familiarity.

I focus on mid and small-sized companies

I focus on mid and small-sized companies but not exclusively.

The FTSE 100 Index comprises the largest 100 companies and by value accounts for around 70% of the UK market, The FTSE 250, (the next 250 companies) accounts for about 25% of the market by value, and the FTSE Small Cap, FTSE Fledgling and FTSE AIM, the remainder.

The table below shows the percentage returns over 1, 3, 5, and 10 years to 31st December 2020

My Approach to Investing

Summary

I focus my efforts on small and mid-sized companies searching for those where the growth prospects are not reflected in the share price. I am disciplined about the valuation I am prepared to pay; I don’t like to pay over 20x forecast earnings and favour companies that are paying a growing dividend and have a prospective dividend yield of at least 2.0%. I search for companies generating strong cash flow and if not having net cash, then debt levels that is low to moderate. Where possible I like to meet management and understand what makes them tick and if they have a decent stake in the business so much the better; our interests are aligned! I like companies that are beating expectations and earnings forecasts are being upgraded. Ultimately I am looking for the “double whammy” that comes from a re-rating and from faster than expected earnings growth. Having found a potential investment I look at the share price chart as it can help with timing; so often resistance and support levels work. I size a position based on my assessment of the potential Risk and Reward of the stock. I hold between 20 and 30 holdings, making use of investment trusts for overseas or thematic exposure.

The most important number to me is the return of the Portfolio! I try not to get too emotionally involved with individual companies; if I cut a holding and it immediately bounces, so be it. All that matters is the return of the Portfolio, each month, each year, each decade!

I invest principally in the UK

I invest mainly in UK stocks as that is where I have gained my experience. There are clearly opportunities to invest in overseas companies, and it is fair to say that it is now much easier to get the information you need. I think that for a private investor, such as myself, with limited time resources, it is better not to spread my net too wide. For me, it makes sense to focus my efforts on a market where I have experience and familiarity.

I focus on mid and small-sized companies

I focus on mid and small-sized companies but not exclusively.

The FTSE 100 Index comprises the largest 100 companies and by value accounts for around 70% of the UK market, The FTSE 250, (the next 250 companies) accounts for about 25% of the market by value, and the FTSE Small Cap, FTSE Fledgling and FTSE AIM, the remainder.

The table below shows the percentage returns over 1, 3, 5, and 10 years to 31st December 2020

ABOUT ME

I launched this website in January 2012 so that I could share with other investors how I manage my investment portfolio; the JIC Portfolio.

There is complete transparency with the current portfolio and all transactions shown. I explain all trades through my blog and hope the site provides food for thought to more experienced investors as well as helping those who are new to managing their own portfolios. I believe JohnsInvestmentChronicle is unique: There are plenty of “tipsters” who will remind you of the “good ones” and quietly forget the disasters; I do not have that luxury as the Portfolio is there for all to see, backed with real money; mine! I have to confront my mistakes and deal with them; there is no hiding place! Above all, this is a true expose of the trials and tribulations of a private investor!

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IG Group: Robust trading update

IG Group: Robust trading update

IG Group: Robust trading update

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.97bn, 1166p, currently 4.4% of JIC Portfolio) IG Group Holdings plc is a United Kingdom-based global financial technology company. The Company delivers online trading platforms and an educational ecosystem. The Company’s products include OTC leveraged derivatives, exchange-traded derivatives and stock trading and investments Trading update: Conclusion: Overall, an encouraging update with it firming up its guidance for the who

Dec 16, 20259 min read

Catching up! Strategic Equity Capital (tender offer), IG Group (Q1 update) and NGEX (season four drilling schedule)

Catching up! Strategic Equity Capital (tender offer), IG Group (Q1 update) and NGEX (season four drilling schedule)

Catching up! Strategic Equity Capital (tender offer), IG Group (Q1 update) and NGEX (season four drilling schedule)

I was away yesterday. Catching up with a few things today. Strategic Equity Capital (SEC.l Mkt cap £155m, 360p, 4.0% of Funds'...

Sep 26, 202516 min read

JIC Portfolio: Short Review of each of my positions (II)

JIC Portfolio: Short Review of each of my positions (II)

JIC Portfolio: Short Review of each of my positions (II)

KraneShares China Internet ETF . Up 1.6% on my average purchase price (which was admittedly poorly timed). 4.8% of the JIC Portfolio. I'm...

Aug 13, 20254 min read

IG Group - Full year results

IG Group - Full year results

IG Group - Full year results

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.7bn, 1059p, currently 4.5% of JIC Portfolio) IG Group Holdings plc is a United...

Jul 24, 20254 min read

JIC Portfolio Trades - Increasing cash through multiple sales

JIC Portfolio Trades - Increasing cash through multiple sales

JIC Portfolio Trades - Increasing cash through multiple sales

I have decided to raise a little cash in the JIC Portfolio. We are not far off the usually volatile summer months and there must be a...

May 22, 20251 min read

IG Group - Positive Trading and Balance Sheet Update

IG Group - Positive Trading and Balance Sheet Update

IG Group - Positive Trading and Balance Sheet Update

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.8bn, 1089p, currently 5.9% of JIC Portfolio) IG Group Holdings plc is a global financial...

May 12, 20253 min read

JIC Portfolio Trade - Holding trimmed

JIC Portfolio Trade - Holding trimmed

JIC Portfolio Trade - Holding trimmed

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.7bn, 1069p, currently 6.0% of JIC Portfolio) IG Group Holdings plc is a global financial...

Apr 28, 20251 min read

IG Group - Robust Q3 trading

IG Group - Robust Q3 trading

IG Group - Robust Q3 trading

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.2bn, 925p, currently 6.2% of JIC Portfolio) IG Group Holdings plc is a United...

Mar 13, 20254 min read

IG Group - H1 Results - knock out!

IG Group - H1 Results - knock out!

IG Group - H1 Results - knock out!

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.6bn, 1073p, 5.0% target, currently 6.7% of JIC Portfolio) IG Group Holdings plc is a...

Jan 23, 20254 min read

IG Group - Acquires Freetrade

IG Group - Acquires Freetrade

IG Group - Acquires Freetrade

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.6bn, 1023p, 5.0% target, currently 6.3% of JIC Portfolio) IG Group Holdings plc is a...

Jan 16, 20254 min read

IG Group - Very strong Q1

IG Group - Very strong Q1

IG Group - Very strong Q1

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.5bn, 960p, Medium Risk/High Reward, 5.0% target, currently 6.1% of JIC Portfolio) IG Group...

Sep 12, 20242 min read

Current thoughts on my positions: Part I (stocks 1 - 6)

Current thoughts on my positions: Part I (stocks 1 - 6)

Current thoughts on my positions: Part I (stocks 1 - 6)

Paypoint 666p, 6.1% of the JIC Portfolio : My last update was on the 1 August update . The share price is down 4.0% since then, including...

Sep 9, 20247 min read

IG Group - Rising Review Price - Review

IG Group - Rising Review Price - Review

IG Group - Rising Review Price - Review

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.6bn, 975p, Medium Risk/High Reward, 5.0% target, currently 5.8% of JIC Portfolio) IG Group...

Aug 20, 20242 min read

IG Group - Results for the year ended 31 May

IG Group - Results for the year ended 31 May

IG Group - Results for the year ended 31 May

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.1bn, 845p, Medium Risk/High Reward, 5.0% target, currently 5.1% of JIC Portfolio) IG Group Holdings plc is a global financial technology company based in the United Kingdom. It delivers online trading platforms and an educational ecosystem. The Company’s products include OTC leveraged derivatives, exchange-traded derivatives, and stock trading and investments. Results for the year ended 31st May. The full results can be found H

Jul 25, 20247 min read

JIC Portfolio Trades - Four positions trimmed to provide funds for new investment

JIC Portfolio Trades - Four positions trimmed to provide funds for new investment

JIC Portfolio Trades - Four positions trimmed to provide funds for new investment

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May 8, 20241 min read

IG Group - Q3 update and management changes

IG Group - Q3 update and management changes

IG Group - Q3 update and management changes

IG Group (IGG.L, FTSE Mid-250, Market Cap £2.63bn, 708p, Medium Risk/High Reward, 5.0% target, currently 5.7% of JIC Portfolio) IG Group...

Mar 14, 20244 min read

IG Group - H1 Results short of expectations

IG Group - H1 Results short of expectations

IG Group - H1 Results short of expectations

IG Group (IGG.L, FTSE Mid-250, Market Cap £3.0bn, 775p, Medium Risk/High Reward, 5.0% target, currently 6.1% of JIC Portfolio) IG Group...

Jan 25, 20247 min read

IG Group announces cost savings building up to £50m per annum.

IG Group announces cost savings building up to £50m per annum.

IG Group announces cost savings building up to £50m per annum.

IG Group (IGG.L, FTSE Mid-250, Market Cap £2.5bn, 640p, Medium Risk/High Reward, 5.0% target, currently 5.4% of JIC Portfolio) IG Group...

Oct 31, 20233 min read

Added to existing position

Added to existing position

Added to existing position

#jicportfoliotrade

Sep 21, 20231 min read

IG Group - Q1 update - Steady as she goes

IG Group - Q1 update - Steady as she goes

IG Group - Q1 update - Steady as she goes

IG Group (IGG.L, FTSE Mid-250, Market Cap £2.67bn, 668p, Medium Risk/High Reward, 5.0% target, currently 5.0% of JIC Portfolio) IG Group...

Sep 14, 20234 min read

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