7. My Next 3 Investments — And Why

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My Next 3 Investments — And Why

After restructuring my portfolio and defining a clear allocation strategy, the next step is simple:

     execution

Not theory.
Not ideas.

Real capital allocation.

These are the next 3 investments I’m making based on:

  • my current portfolio structure

  • macro environment

  • post-election Hungarian market outlook

  • and risk management

The Goal Behind These Investments

Before naming anything, the objective is clear:

     move toward my target allocation

  • increase ETF exposure

  • build a bond layer

  • reduce single-stock risk

Investment #1 — Core Equity Exposure

     Vanguard S&P 500 UCITS ETF

S&P 500 chart of the day.

Why this is first:

This becomes the foundation of my portfolio

After 9 years of stock picking, I’m making a structural shift:

I want consistent exposure to global growth—not just individual ideas.

What this gives me:

  • exposure to the US economy

  • diversification across 500 companies

  • long-term compounding

Why now:

  • global markets are still driven by US performance

  • capital flows are shifting internationally

  • I need a scalable base

Investment #2 — Stability Through Bonds

     iShares $ Treasury Bond 1-3yr UCITS ETF

(Already partially initiated — continuing accumulation)

Why this matters:

This is the stability layer

After being nearly 100% in equities:

     I need balance

What this gives me:

  • lower volatility

  • capital protection

  • liquidity

Why short-term bonds:

  • interest rates are still relatively high

  • lower duration risk

  • flexibility if rates change

Macro logic:

If central banks start cutting rates:

     bond prices rise
     I benefit from both stability and potential upside

Investment #3 — Hungarian Opportunity (Selective)

     Magyar Telekom (add on dips / hold core)

Why this is still part of the plan:

I’m not abandoning stock picking.

I’m refining it.

Why Hungarian stocks now:

This directly connects back to:

     Article #2 — the 2026 Hungarian election

What changed:

  • political uncertainty decreased

  • EU alignment expectations increased

  • capital inflow potential improved

Why this specific position:

  • strong cash flow

  • dividend potential

  • already proven winner in my portfolio

     This is now a controlled, high-conviction satellite position

How These 3 Fit Together

This is the key.

It’s not about the individual picks.

It’s about the structure they create together

The roles:

  • VUAA → growth engine

  • IDBT → stability + protection

  • Magyar Telekom → alpha / local opportunity

     This is a balanced system, not a random set of trades

Capital Allocation Plan

From my available cash (~12.6% of portfolio):

Step-by-step:

  1. Continue building IDBT position

  2. Start accumulating VUAA

  3. Add selectively to Magyar Telekom (only on good pricing)

     No rushing
     No overcommitting
     No emotional trades

What Changed in My Thinking

Before:

     “What looks undervalued?”

Now:

     “What role does this investment play?”

This is a completely different mindset.

Connecting Back to the System

     This article = deployment

What Comes Next

Next, I’ll go even deeper:

    - exact position sizing
    - exact entry strategy
    - how I manage risk on every trade

Final Thought

For the first time, my investments are not just ideas.

They are part of a system.

And that system is designed to grow.

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