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Financial Transparency as of 31MAR2018

Happy Easter Raptors!

music selection:  “Never Tear Us Apart” — INXS

ASSETS:

Wells Fargo (taxable): This is down 134 dollars, a 0.45% loss versus last month. The new mark is at 29,391.

Interactive Brokers (taxable): This is down 13,970 to 285,487 a loss of 4.67% versus last month. Rising interest rates have begun to impact my fixed income investments.  I have a few that are variable rate and they are curiously not rising yet.

Interactive Brokers (tIRA): I show 3,876 in gains here this month to 164,255 which is good for a 2.42% monthly gains. P&C insurers continue to treat me well with gains and low Beta.

Checking: I’m up here to 11,371 a gain of 7.58% on the month.

HSA: This account is down 267 dollars to 3,396.  That is a 7.29% decline.

Total Assets: I fell back below the half a million mark.  March finishes at 493,900. That is good for an overall monthly loss of 1.92%. I will continue to monitor trailing stops.

 

LIABILITIES:

House: Paid

Car: Paid

Taxes: This is a real bright spot.  I qualified for an Obamacare credit on my recent 2017 filing. I am rolling forward a prepaid tax asset of 11,945.

 

WITHDRAWAL RATE:

The budget is again set at 25,000.  Against a liquid networth of 493,900 that is a withdrawal rate of 5.06%.  Current annualized distributions, dividends, and interest come to 30,734 or 122.91% of budget. I also earned 5,325 in options income during March.  Annual options earnings are already 19,742 so I should easily cover the budget two times over this year.  That is a great comfort when my balances are declining as I know I will not be forced to sell low.

 

SPENDING:

It was a good month.  Spending was only 1,431 dollars for the month of March.  I am on pace to spend only 15,596 this year.  Next month will see an outgoing payment of 500 for income tax prepayments.

Devour your prey raptors!

{ 3 comments… add one }
  • MD April 7, 2018, 2:03 pm

    For the IB account – do you mean that your Closed End Funds are those mostly underperforming? Do you have any plans with the CEFs if the rates keep on rising? thanks!

    • The Lizard King April 7, 2018, 5:29 pm

      The CEFs I hold are mostly trading around breakeven. The return comes primarily from distributions. These are ‘hold forever’ positions that I will not exit in a rising rate environment. They are different than traditional bond funds in that there can be no forced liquidations. It is expected each CEF will hold its debt to maturity such that my duration risk expires with time. Yield on cost should remain consistent in essentially any interest rate environment. So I expect my budget needs to continue to be met.

  • MD April 13, 2018, 3:53 pm

    great, thanks and best of luck!

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