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My Shares and Shares ISA and Self-Invested Personal Pension (SIPP) portfolios have started 2026 strongly. Other catches are up by double digits, which is a pleasant surprise.
Let’s take a closer look at what happened, and why one FTSE 100 the stock has started to make me uncomfortable.
A large portfolio is moving
One strong trade for the stock market in early 2026 has been Artificial Intelligence (AI). The surge in AI-led demand is creating a shortage of memory chips, driving up prices.
I don’t own these memory chip stocks, but my SIPP holds a leading chipmaker Taiwan Semiconductor Manufacturing Company increased by 8.7%.
At that time, my biggest gripe, MercadoLibreincreased by 8.2%, mainly after the development of Venezuela. It operates the largest e-commerce market in Latin America, and now it can re-enter Venezuela (if the government accepts capitalism).
Even one of my worst stocks ever – an mRNA vaccine maker Modern – has joined the group. It’s up 15% so far this year (although it’s still very much in the red for me).
Up 11%, BlackRock World Mining Trust continues to benefit from rising gold and copper prices, up 73% over the past year.
A new position — a premium sportswear brand In the grip – increased by 9%.
Defense stocks are rising
Another trend that benefits my portfolio is the sharp rise in defensive stocks. This has been caused by the events in Venezuela and elsewhere, where President Trump now wants the US military spending to increase significantly $1.5trn in 2027.
Thus, BAE Systems again Rolls-Royce are up 19.7% and 10.3% respectively, year to date. BAE gets almost half of its revenue from the US.
My third biggest gripe, Axon Companyalso benefited, up about 8% as it had some defense-related income.
Small catch — a manufacturer of electric aircraft Joby Aviation – would also benefit from higher military spending. It has an agreement to supply the US Department of Defense with aircraft. Therefore, its stock increased by 15.5% in 2026.
I’m getting worried
Although I’m happy with this start, I’m obviously not counting my chickens after just one week. AI and defensive stocks can pull back quickly, and not all of my stocks are up (Roblox down 10% and in freefall).
One holds from FTSE 100 I’ve been worrying about it Coca-Cola HBC (LSE:CCH). The company manufactures and distributes Coca-Cola products in many European and African countries, from “the West Coast of Ireland to the tropics of Nigeria“.
The stock has jumped 42% over the past 12 months, driven by strong performance.
So what worries me? However, most of the company’s revenue comes from soft drinks, and I fear that sales of these may be greatly affected by GLP-1 weight loss drugs.
Many health studies show that these treatments can reduce sweet cravings, which can include sugary drinks (and maybe even their taste, making them seem like metal).
Like every day Govy tablets become cheaper and available to countless millions of people over the next decade, including in emerging markets, I’m worried that this could hurt sales growth.
Granted, Coca-Cola HBC also sells water and coffee, and does not have a large snack business. The stock is cheap. So I don’t see any immediate danger.
However, I fear that in the end it may have the same fate Diageo. As such, I will be keeping Coca-Cola HBC strong, while exploring other FTSE 100 opportunities.
