Monday 5 September 2011

New Worth Update: August 2011

A fourth month of declining net worth. My geared stock portfolio dropped further into negative equity, which meant that our SMSF also had a bad month, as it is mostly invested in the stock market (via Vanguard High Growth Fund and some ASX200 CFDs (IQ)).

The valuations for our Sydney properties also dropped slightly, but so far Sydney property prices are holding up slightly better than in other Australian capital cities.

Assets___________$ Amount______$ Diff_____% Diff 
Stocks_*_________-$52,589____-$11,377______n/a % 
Retirement_______$347,483____-$13,817____-3.82 % 
Properties_______$975,738_______-$533____-0.05 % 

Debts____________$ Amount_____$ Diff_____% Diff 
Home Mortgage(s)_$359,614______-$455_____-0.13 % 

Net Worth________$910,748____-$25,272____-2.70 %
* the Stocks figure is portfolio value - margin loans. As my portfolio value (and margin loan debt) is around $500,000 relatively small movements in the stock market produce huge percentage swings in the net value of my stock portfolio each month.

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2 comments:

Financial Independence said...

I hope with the property evaluations going down, you are not dropping rent for the tenants. Otherwise, it is just a lesson to all of us.
It is unlikely to see 7% return on the stocks (maybe annualized over a 100 years only), no safe harbor either.

Strictly speaking, the only desire is to keep money away for inflation. I had to revise my goals recently and projected need went to 2 million USD.

Anonymous said...

Your 'wealth chart' shows the rally back of roughly 66.66% - get out now - convert 100% to cash/fixed interest - start to build short IQ over positions over the next few days/weeks - we are going down to levels un imaginable. Deflation will rule, cash up to survive.

I converted everything (to cash/fixed int) some weeks ago and am now adding short IQ on big rally days, also going long USD at 1.07, then 1.04 and any up days from here.

Dire_times_ahead