Trade Alert: Increasing AI Security Exposure
Border Security be a key sector for 2026
Border security has been a targeted sector for more than a year, we have had some great success from our counter-drone investments, but not from our AI security investments. I think 2026 will be the year this changes, and expect meaningful growth from our AI security investments.
We have had a number of trades that suddenly shot higher after we opened them, and we all like that immediate return. ABAT in September was a great example, 315% in 29 days! Luck plays a big part in those sudden gains. We have to choose the right company with the right technology, but the price move is driven purely by hype, and we were just lucky to get in before the hype arrived.
Those hype gains are great, but they are not a target of the strategy and should not be expected to happen regularly. We did have another one last month, with one of our counter-drone stocks moving more than 100% higher in 35 days, but for the majority of the portfolio, the time horizon is 2 years.
The strategy is designed to identify small companies with technology that will provide meaningful share price appreciation over the next two years, not the next two weeks.
Today, I will add to one of our holdings that has excellent technology but has been drifting throughout most of 2025, remaining under the radar and not picked up by the market hype machine.
Recent developments imply 2026 may be the inflection point for this company, and I want to increase my exposure.
As the portfolio grows, so does the size of my investments, allowing me to increase some holdings. The portfolio was at $9,635 at the end of January 2025 and today it is at $20,417. In 2025, I had $1,961 in cash on the account. Today, I have $5,293 giving me the money needed to increase positions with high potential.
Disclaimer: I'm not a financial advisor and don't offer investment advice. This newsletter covers my high-risk trading in small-cap emerging stocks; past performance doesn't guarantee future returns. Make independent investment decisions based on your own research and risk tolerance; you are solely responsible for outcomes.