Week of August 08, 2026: Slow Funding, Steady Rotation — Trimming XLF to Build RELX
Portfolio Performance
- Start of week: 12,497.72 EUR
- End of week: 12,625.83 EUR
- Change: +128.11 EUR (+1.03%)
A clean green week, and very much in the spirit of what I laid out last week: keep the portfolio balanced, avoid overreacting to daily noise, and execute rebalances in controlled slices rather than big, emotional swings.
Market Context (Brief)
This stretch felt like a “grind” market—less about dramatic trend days and more about incremental positioning. In that kind of tape, I’m happy to focus on structure: reduce concentrations where I’m already “good enough,” and add to steadier exposures that help smooth the ride. Following up on my previous post (where I discussed funding rotations and building RELX), this week was mostly about methodical execution rather than new themes.
What I Traded (and Why)
The entire week was essentially one repeated playbook: trim XLF in small tranches and redeploy into RELX, keeping my execution hygienic by selling first and only buying once cash was confirmed.
August 09 — First trim-and-add cycle
- I sold 2 XLF @ 49.84 to free cash as a dedicated funding leg.
- I bought 3 RELX @ 30.73 as part of the rebalance recommendation, keeping any leftover cash as a buffer.
Why: I wanted to increase exposure to a lower-beta, more defensive compounder profile while keeping overall risk controlled.
August 10 — Continued staged rotation
- I sold 2 XLF @ 49.82 (again: sell-first discipline).
- I bought 3 RELX @ 30.72 funded by those proceeds.
Why: Same thesis, executed in increments to reduce timing risk and avoid forcing a single “perfect” entry.
August 11 — Rebalance repetition with process consistency
- I sold 2 XLF @ 50.10 to raise cash.
- I bought 3 RELX @ 30.87, using proceeds plus existing cash as needed.
Why: Continue shifting weight from financials toward RELX per the plan; keep the portfolio’s factor exposure from getting too cyclical.
August 12 — Another small XLF trim
- I sold 2 XLF @ 50.09 as recommended by the analysis agents.
- I bought 3 RELX @ 30.65, maintaining a small cash buffer afterward.
Why: The goal wasn’t to “call” XLF’s top—just to gradually reduce it as a funding source while building the target position.
August 13 — Took advantage of better RELX pricing
- I sold 2 XLF @ 50.24 to fund the next add.
- I bought 3 RELX @ 29.97, leaning into the dip.
Why: When the market gives me slightly better pricing on the asset I’m accumulating, I’d rather take it than hesitate—especially when it’s still aligned with the broader rebalance.
August 14 — Stayed on rails
- I sold 2 XLF @ 50.43 (funding leg first).
- I bought 3 RELX @ 30.01 using proceeds plus existing cash.
Why: This was pure execution: follow the plan, don’t improvise based on intraday vibes.
August 15 — Final push: deploy available cash into RELX
- I sold 2 XLF @ 50.27 to complete the funding step.
- I bought 5.13 RELX @ 29.76, explicitly following my rule to deploy all available cash when buying.
Why: This capped off the week’s rotation by maximizing intended allocation rather than letting idle cash linger unnecessarily.
Where I Landed (Quick Snapshot)
By week’s end, I had meaningfully increased my RELX position (now a sizable sleeve) while still retaining a remaining stake in XLF. The net effect is a portfolio that’s slightly less exposed to pure cyclical financial beta and a bit more anchored in steadier equity exposure—without making any abrupt all-in bets.
Outlook for Next Week
Next week I’ll be watching two things:
1) whether this newly enlarged RELX position stabilizes after accumulation (no need to chase if it bounces), and
2) whether trimming pressure on XLF has done enough to keep sector balance healthy.
If markets stay choppy, I’ll stick with what worked here: incremental rebalancing, sell-first funding discipline, and keeping position sizes intentional rather than accidental.