Portfolio Summary
Here is a summary of my portfolio at the top level:
- Raiz Aggressive Portfolio – $8,536.16
- VDHG (using VPI platfom) – $39,668.35
- IVV (Selfwealth) – $598.07
- SYI (Selfwealth) – $2,159
- VISM (Selfwealth) – $511.2
- A200 (Selfwealth) – $2,024.8
- Cryptocurrency – $36,571
- Australian Shares – 25.65%
- Global Shares – 22.82%
- Bonds – 5.06%
- Fixed Income Assets – 0.28%
- Cryptocurrency – 40.06%
Portfolio Total – $90,068.58. An increase of 0.81% compared to last month value ($89,343.76).
My saving rate for this month is 72.85%, above the target of 2.85%. The expense for this month is within the limit of $3,000, so the increase in saving means that the income has increased a bit. We have 3 public holidays this month, and fortunately, my workplace needed me to do overtime work on a project so I worked for 5 hours just to cover a bit for the 3 days break. Not only that, but I also received more work from my freelance work, which is a big factor in the contribution this month. With the current progress of my freelance work, I can see a more consistent income in the upcoming months because the demands are there, but I don’t really have the capacity on weekdays to do extra work. A note on my contribution – there are 2 contributions to VDHG ETF this month, on 01/04 and 29/04. This happens because the contribution on 01/04 is supposed to be for March. And there are 4 weeks apart between the contributions so I am still on track with my contribution plan. Another milestone that I have achieved is that the amount of contribution across all portfolios just hits $100k in 1 year and 4 months. People always say that the first $100k is the hardest, and it is true; I have made lots of mistakes during this period of time. Although it was tough, I keep on pushing and now the effort has shown. Once the mindset is in place, I think I can do great things in the future.
Note: A reminder is that this number is still an estimation only as my crypto portfolio consists of different assets, including NFTs, staking, DeFi. I have to use different tools to keep track of and maintain the value of assets to finalize the final value of my portfolio. NFT is hard to estimate because of price fluctuation in the crypto market. However, estimation is still good enough in this case.
Porfolio Analysis
The market has once again proved that you should not expect anything at all. We all see how in March, people were optimistic about the future, but this month has proved that we are heading to something worse. The portfolio only increases about 0.81%, however, this increase is due to the contributions that I have put into the VDHG fund. Looking into the portfolio, we can see a steep decline in the crypto portfolio, $7,739 less. Another factor is that I have contributed more to crypto this month, so, in reality, I actually lose more.
There is a lot of news that affects the current stock market – FED is likely to raise the interest rate to 0.5% in May, disappointed earnings from Netflix, Amazon…, inflation, and COVID lockdown in China. We are now seeing the consequences of printing trillion of money out of thin air. When browsing through forums, the word “fear” appears in almost every conversation, followed by the word “recession”. Raising the interest rates is a must now, and we cannot avoid the bloodbath that it will create.
Nasdaq is down 21.2% and SP500 is down 13.3% in this year. We will continue to suffer more in this bear market. The Crypto market also experiences the same consequence. Last month was the recovery for Bitcoin and altcoins. However, as soon as the stock market tanks, the whole crypto market crumbles down. 5 weeks ago everyone was thinking it would go to 50k, but no, it crashed hard and is now back to 38k. There is strong support at 37k-38k at the moment but I have no idea if it can hold. One thing for sure on-chain data has suggested that the whales are still accumulating bitcoin and the number of bitcoins on exchanges is still in decline as of today. However, it is still a bear market as Benjamin Cowen has pointed out. We would not expect a reversal soon.
An interesting point that I found this month is the correlation between tech stocks and cryptocurrencies. There are articles talking about this and investors seem to see cryptocurrencies as tech stocks as well. That’s why when growth stocks or tech stocks drop, we also see a drop in the cryptocurrency market. Honestly, even though I am used to the feeling that the portfolio is not doing well, I still find myself scared sometimes when thinking about the future of countries, especially in the US. What we can do now is to stay on track with our investment plan by dollar-cost-averaging, and stop looking at charts. I will spend the fund for crypto portfolio into Bitcoin only, as altcoins are still bleeding badly whenever Bitcoin drops.
Some of the articles I use for the information above:
Passive Income
This month has produced about 11.295 ADA. SOL and ONT rewards are small. BAT reward is to be included next week. Staking reward is estimated to be around 0.011 AXS/day, so roughly around 0.33 AXS for this month. It has not been a good month for Bitcoin, and altcoin is still bleeding, I only convert the the first 2 week reward to RON, around 31 AUD, the price is pretty bad so I won’t exchange the other SLP to other assets. No dividend payout for this month.
To sum up:
- ADA Reward – 11.295 ADA.
- SOL and ONT rewards – the reward is not large enough to consider.
- Brave Reward – 8.75 BAT.
- AXS Staking – around 0.011 AXS per day atm, therfore this month reward is 0.33 AXS.
- SLP farming – 31 AUD/ month
- No dividend payout.
What I have learnt
Keyword for this month – Fear
Since there are not many works for this month, I spent most of my time listening to podcasts and found some of them really helpful. One of the podcasts mentions the investing philosophy and one should always believe in their philosophy in order to success. Different people have different ways of investing, so don’t just copy from others, but learn from them. This had made me think quite a bit about my investing philosophy, and probably I will revise my plan soon.
One of my concerns at the moment is the number of topics that I listen to on podcasts. It has been around investing only. However, it could be just me listening to certain podcasts and being lazy to search for others. I need to find more podcasts and search for more topics to listen to.
Besides that, I also spent more time working on weekends as a freelancer. The company that I work with will have a junior software developer and I will be the one responsible for the training section. I need to write documentation and guides about the company’s systems, and it is my focus for this month. I also started to train a student on how to get more experience in IT fields. By helping this student, I will learn the skills needed to train other people in the future, even though there will be more work for me in the future.
Links to Podcasts
- https://open.spotify.com/episode/2TCCPx50Mia8H6ApbCeVXe?si=7af3afb7a1084772 – Just Keep Buying
- https://open.spotify.com/episode/2BAxBluC9l0VfytwzyEohQ?si=8ced6368c2914afd – Meet the Master – Aswath Damodarn