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Financial Transparency as of 28FEB2018

It was a difficult month.

music selection:  “Two Out Of Three (Ain’t Bad)” — Meatloaf

Wells Fargo (taxable): This is down 460 dollars, a 1.53% loss versus last month. The new mark is at 29,525.

Interactive Brokers (taxable): This is down 40,505 to 299,457 a loss of 11.91% versus last month. This is really quite ugly.  The problems in the portfolio are mostly widespread with no individual position nearing its stop loss.  One big pain point is the UVXY puts which are down 5 figures.  Proshares made the surprise decision to cut the leverage target from 2x to 1.5x, hammering the premia.

Interactive Brokers (tIRA): I show 5,483 in losses here this month to 160,379 which is good for a 3.31% monthly loss. Obviously, a portfolio of mostly P&C insurers has a lower Beta than one with a lot of short options positions.

Checking: I’m up here to 2,522, a decline of 19.26% on the month. A withdrawal of 3,450 was made to fund my first HSA account after changing my Obamacare provider to a compliant plan.

HSA: I deposited 3,450 in a Livelyme HSA with self managed investment options through TD Ameritrade.  The account closed the month at 3,663, my one bright spot for the month.

Total Assets: I managed to stay above the half a million mark but just barely.  February finishes at 503,594. That is good for an overall monthly loss of 8.25%. I hope to see some recovery as volatility recedes.

 

LIABILITIES:

House: Paid

Car: Paid

Taxes: I expect to have a “refund” of about 5,000 for 2017. I will apply that forward to 2018 and need to make quarterly payments of about 1,250 to meet the current year’s liability.

 

WITHDRAWAL RATE:

The budget is again set at 25,000.  Against a liquid networth of 503,594 that is a withdrawal rate of 4.96%.  Current annualized distributions, dividends, and interest come to 30,119 or 120.47% of budget. I also earned 4,233 in options income during February which puts me well ahead of pace to generate an additional 25,000 for safety factor.

 

SPENDING:

It was a good month.  Spending was only 1,159 dollars for the month of February.  This is even better than last month.  Next month will see an outgoing payment of 1,250 for income tax prepayments.

Devour your prey raptors!

{ 4 comments… add one }
  • MD March 2, 2018, 5:26 am

    Keep it up! It was a tough month for all of us. Patience & Hard work is the key 🙂

  • Joe March 2, 2018, 6:54 am

    So that is what happened with the UVXY puts. I didn’t know why the premium dropped so much while the Vix went back down.

    Do you think new puts are a good buy right now? Stay tough and use your trailing stops as I think 2018 will be very volatile and 2019 will be a down year.

    • The Lizard King March 2, 2018, 1:07 pm

      I’m not sure what to make of UVXY at the moment as I don’t fully understand how it is attempting to achieve its results.

      • Joe March 3, 2018, 5:24 am

        Thanks for the info. I am going to look into them more. But until I fully understand how the investment is set up, I won’t be buying any.

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