January 2016 update ($281,248 -$14,288 or -5%)

↑ Accumulated $4,000 USD as part of my annual saving goal for January

↑ I received some additional vested Company shares. Total amount vent from 272 to 624.  The share  price collapsed by 40% over the course of the year, so the increase in the number of shares added  $6,208  to my portfolio.

↑ Received Vanguard S&P 500 (VUSA) – 178 EUR or 1.81% annually.

↑ Received Vanguard Emerging markets (VFEM) – 52.5 EUR or 1.71% annually.

Grand total additions:  $ USD 10,460

 

↓ Vanguard emerging markets ETF lost $1,504 USD

↓ Vanguard S&P 500 ETF lost $3,837 USD

↓ Gazprom shares lost $13,080 USD

↓ Company shares lost $1,831 USD

↓ Rosneft shares lost $801 USD

↓ iShares Core DAX lost $916 USD

↓ EUR lost to USD 1% or $1,774 USD

↓ GBP lost to USD 6% or $1,372

↓ Precious metals lost 2% or $179 USD

Grand total losses:  $ USD 25,294

There is a difference in $546 USD this is attributed to the fact that I spent some GBP to buy ETF nominated in USD.

 I bought following shares:
- iShares Core DAX® UCITS ETF (DE),  total expense ratio 0.16%. Primarily exposed to German sector (Bayer, SAP, Daimler, Siemens, BASF, etc.).  Dividends distribution in May.  Historically these are 2% annually. I added another 100 shares to my portfolio at 89.3 EUR.
- Vanguard S&P500 ETF. The capital flight is likely to continue from other parts of the world. This are typically emotional, not rational movements.  S&P500 delivers 1.8% in dividends and these are likely to fall this year.   I added another 400 shares to my portfolio at 34.3 EUR.
- iShares J.P. Morgan $ Emerging Markets Bond.  The fund assets are about $ 4 bn. The fund delivers 4.5% on average.  The fund is investing money in sovereign debt of emerging countries  (Brazil – 4%, Russia – 5.5%, China – 4.2%,    South Africa – 3.5%) and others.  This fund is focused on squeezing life out of Venezuela, Turkey, Brazil, Ecuador, Angola, China which after bad publicity in the press offered money at 8-12% a year. Dividends are monthly.  I added 200 shares to my portfolio at $ 104.7 USD.
- iShares $ Emerging Markets Corporate Bond UCITS ETF - The fund delivers 5% on average. This fund is focusing on corporate bonds of emerging countries  - Petrobras, Petronas, Kazmunaigas, Qatargas, etc. Mainly exposed to the following countries: Brazil, Mexico, China, India, South Korea, Chile, Russia. Average dividends distributions twice a year. I added 400 shares to my portfolio at $ 92 USD.  
     Observations:
-   I have been over 34% of my portfolio in cash.  Hence, the returns were limited.  Markets are continue straight fall, as was predicted. Fall in oil and widely commodity prices is indication of slowdown in demand all over the world, the leading indicator to the subtracting or decelerating economy. The people are simply not buying goods. I was also overly optimistic on energy companies.
-   In the US and Western Europe there is a perception that cheap oil price is good.   Gallon of gas in the US is $ 2 USD (3.8 liters), in the UK is it almost $ 6 USD.  Most of the profits go the government in the UK.   EU citizens do not see much of the benefits of the low oil and natural gas prices, but getting less jobs (capital spending in oil companies is down) and less dividends. The Netherlands, Norway and the UK are heavily exposed, as BP, Statoil, Shell and BG will produce very low returns this year.  
         I took a moment and look at the some of the investments I did over the last 5 years.  Cost of acquiring investments:

		2012	2013	2014	2015	2016	Total	Average	2016 money of the day (inflation adjusted)	Price today
Inflation %		3	4	4	3	4
Cumulative inflation		1.09	1.13	1.18	1.21	1.26
Gazprom	Shares	3,000	18,000	3,000	1,000		25,000	5.9	6.9	3.0
	Cost, €	21,390	107,828	15,274	3,998		148,490		171,767
Vanguard SPX 500 ETX	Shares			1,100		400	1,500	30.7	33.5	33.2
	Cost, €			32,327		13,725	46,052		50,157
Rosneft	Shares		2,000	100			2,100	5.2	6.1	2.9
	Cost, €		10,482	504			10,986		12,719
Vanguard Emerg markts	Shares			300			300	47.4	52.6	36.0
	Cost, €			14,220			14,220		15,784
iShares Core DAX	Shares				100	100	200	89.5	94.4	86.3
	Cost, €				8,957	8,945	17,902		18,887
iShares EM MRK SOUV BD	Shares					200	200	104.7	108.9	103.6
	Cost, $					20,940	20,940		21,778
iShares EM MRK CORP BD	Shares					400	400	92.0	95.7	92.0
	Cost, $					36,800	36,800		38,272

Conclusion: all investments between 2012 and now would lose money against TIPS (Treasury Inflation-Protected Securities). Most of the dividends were re-invested into the respected shares over the period of time.