Investors hoping to achieve financial independence through the stock market need to continue investing on a regular basis. Doing so will allow you to dollar cost average into positions and provide your portfolio every opportunity to compound over time. By investing over the long run, investors should see steady growth in their portfolio. In this article, I discuss three positions that I plan to continue adding to in the near future.
Looking for reliable growth
I’m at a point where I don’t have to be super aggressive when it comes to the stocks that I pick. Therefore, I think looking for slower, albeit reliable, growth is very attractive. Because of this, I intend to continue adding to my Evolve FANGMA Index ETF (TSX:TECH) position. This is an ETF that I have recently added to my portfolio.
I already own Microsoft and Apple outside of this ETF. It then became a question of whether I wanted to buy this fund or buy fractional shares of Meta Platforms, Amazon, Google, and Netflix. I decided to buy the fund because its management fee is relatively low and the fact it trades in Canadian dollars would save me a lot of money in terms of currency conversion fees.
The companies held in this fund shouldn’t surprise investors. These are the six big tech companies in the United States and have very important roles in our day-to-day lives. I don’t expect to see massive growth rates when holding this ETF. However, I see this as a position that can easily beat the broader market over time.
A company I really believe in
I first bought shares of Brookfield Renewable (TSX:BEP.UN)(NYSE:BEP) in 2019. I ended up selling off the entire position to fund a large purchase of Shopify stock last year. At the start of this year, I decided it was time to re-enter a position in the company. Unfortunately, the stock hasn’t performed as well as I would’ve hoped since. Year to date, Brookfield Renewable stock is down about 14%. However, this doesn’t change the fact that the company is poised to continue growing in the future.
One of the largest producers of renewable electricity in the world, Brookfield Renewable’s portfolio has a generation capacity of about 21,000MW. After the completion of its current construction projects, the company expects to more than double its current generation capacity. The world is increasingly moving toward green energy and Brookfield Renewable aims to be a major player throughout green energy’s increased penetration. This is a stock that hasn’t performed very well since I re-entered a position, but I will continue to add to it in the future.
An exciting, smaller growth stock
Although I don’t prioritize massive growth anymore, I do still enjoy holding shares of companies in high-growth phases. Topicus.com (TSXV:TOI) is a relatively small position in my portfolio; however, I believe the company has a very promising future ahead. Therefore, I can see myself slowly adding to this position over time.
Until this past February, Topicus was a subsidiary of Constellation Software. Like its former parent company, Topicus is an acquirer of vertical market software companies. It differentiates itself by focusing on the highly fragmented European tech industry. Led by six Constellation Software executives on its board of directors, Topicus is armed with a wealth of experience. If Topicus can take advantage of that knowledge, it could see tremendous growth over the next decade.