It was a good month
music selection:  “Hot Child In The City” — Nick Gilder
weigh-in: 198.4 (1.6)
ASSETS:

Wells Fargo (taxable): This finished the month at 28,532 down 12 dollars from last month end.  That is a 0.04% monthly loss and good for 8.16% annual gain.Interactive Brokers (taxable): Here I finished the month at 221,261 up from 208,647 last month.  That is a monthly gain of 6.05% and year to date gain of 38.96%.

Interactive Brokers (tIRA): This account is up to 161,232 from 159,699 last month.  The monthly gain is 2.91%.  Feel pretty good about the long term performance of this mostly property and casualty insurance portfolio that has a year to date gain of 9.88%.

HSA: This account is up 234 on the period to 3,204.  That is a 7.86% move in the right direction or 24.85% year to date.  This account is still “small” and will see wild swings until it has more ballast.

Checking: Cash is up to 10,986 from 9,891.  That is a 11.07% increase from last month and 27.92% gain year to date.  I have an HSA contribution to make still this year.  Fortunately, budget performance has been very good and my cash balance has increased most of the distance to this year’s contribution cap.

Total investable assets come to 425,214 up 4.55% from 406,720 last month and up 23.79% from 343,483 year to date.

Don’t forget to see the long term trend at Lizard King’s Transparency Page.

LIABILITIES:

Home: paid

Car: paid

Income tax: I have a 12,945 tax asset on deposit with the service.  Because of the mishap with UVXY, I expect to have a trivial tax liability this year and should even qualify for the maximum ACA subsidy.  Net tax rate could be negative for 2018.

WITHDRAWAL RATE:

I have automatic withdrawals from my taxable investing accounts set to provide a cash income of 25,000 a year.  Against a liquid net worth of 425,214 that is a withdrawal rate of 5.88%.  I earned 1,127 in options premium income during the month of February.  Additionally, my income centric approach to investing includes 27,219 in expected distributions, dividends, and interest for the year or an additional 108.87% of budget.  In the event of a downtown, I should be immune to the need to “sell at the bottom”.  At the same time, I can expect steady and robust growth to keep ahead of inflation.

SPENDING:

Spending was 1,273 for the month, which is well under the 2,000 target.   I will be spending much less on Stansberry products now that I have a Choice account allowing access to 10 services with my PWA subscription combined.  This should allow me to come in under budget for the year and for the foreseeable future.  A transfer from cash to HSA will come later in the year.

OTHER INCOME:

I earned 300 this month or 277 after payroll taxes for my efforts at the Memorial Hills UD municipal water board.  It is a small amount but over a year’s time it adds up to another full social security credit.  This should improve my eventual payout when I reach qualifying age.

Devour your prey raptors!


Financial Transparency as of 28FEB2019

Never miss another opportunity to devour prey!

6 thoughts on “Financial Transparency as of 28FEB2019

  • March 4, 2019 at 5:47 pm
    Permalink

    Your portfolio’s recovery was about twice the rate of the S&P500. I wonder if you see the volatility?

    Reply
    • March 4, 2019 at 6:19 pm
      Permalink

      My collapse was double the S&P500 too. Clearly, I am still overleveraged. I’m hoping to continue to tilt further in the direction of a larger bond allocation. I’m also laying the infrastructure to back test a market neutral momentum strategy. There could be big changes to my approach if the back test shows my idea is valid.

      Reply
      • March 5, 2019 at 1:02 pm
        Permalink

        Do you plan to detail the backtest process in a future post? After the pain of December, I have been more closely monitoring the deltas of my options trades to try and stay more neutral. Would be interested to see your thoughts/strategy as they develop.

        Reply
    • March 8, 2019 at 1:27 am
      Permalink

      That was an interesting article. I’d like to see a broader data set and a longer time frame to establish that as “science.” I really think my vol is two things (My highest yielders held up fine during the correction despite what the article says): I was using too much leverage. That was the number one error. The second error is I tend to pick stocks with fat options premiums. A huge component of options pricing is expected volatility. That is, I’m by default tilting towards high-Beta. It might be advisable to accept lower expected returns to get more consistency and less vol.

      Reply

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