Monday, December 30, 2013

December 2013 update ($298,420 -$9,390 or - 3%)



The portfolio changes:
Accumulated additional 3,500 USD as part of recreating my Emergency fund.
Vanguard 500 Index up by 300 USD
Company shares up by 330 USD.
EUR and GBP are up towards USD, overall gain is 4,970 USD (EUR) and 270 USD (GBP)
Grand total additions:  9,370 USD

Precious metals lost 910 USD
GazProm shares are down 17,710 USD
Rosneft shares are down by 140 USD
Grand total losses are 18,760 USD

 Observations:

-         GazProm shares are heavily speculated on and towards end of the year a lot of people sold the shares to fix the gains.  Last year GazProm had not very good year and the dividends where quite low but at today prices the dividends are 4.5%
-         It is not the result I was hoping for towards end of the year, but on the other hand it is underlines fact of not to be excited about share prices movements in real time. Even with the humble portfolio of 300 K movement of 3% will get you either 9K gain or loss.   The focus is on the dividends returns, rather than anything else.


2 comments:

  1. At least the dividends are still good :) 4.5% is a pretty good yield. I'm sure precious metals are nearing a bottom. I don't see gold dropping to below $1,000/oz and it's around $1,200 today so the downside risk is limited. Some contrarians believe the RUB will appreciate against the USD over time. Is that why you hold it, or because you live in Russia and need spending money?

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  2. Hi Liquid,
    Thank you for stopping by. I keep about 3% of the portfolio in RUB just for the diversity sake, the same as I do for EUR and GBP.
    5 years ago I would be pulling hair if I recorded loss of $ 18 K in one month, but I haven't as for the next 20 years the focus is on the returns. Hopefully one day I will achieve financial independence and could just keep my portfolio and live of the proceeds.

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