Friday, October 24, 2014

Ah... nearly 2 years have zipped by... and things have been chugging along still.
No severe fear (just greed in markets) until recently in Sep/Oct 2014.

These 24+/- months:
  1. Median net worth growth was about 15%-26% based on a 12 months' moving median.
  2. Average net worth growth was about 11%-18% based on a 12 months' moving average. 
Looks like growth from frugal living (savings) being an impact on net worth growth is diminishing as net worth gets higher.
ie Salary has stagnated but cost of living, even frugally, has increased.
Sigh.. what to do, slave to my bosses.

Bottom line:
I'll have to explore other avenues of net worth growth, active or passive,
as salary stagnation Vs cost of living is hit
+ value equity buys are harder to come by with markets going up & up and away (until recent Sep/Oct 2014 hiccup).

Please note - this post is not to brag but to share
a. If we track it, we can manage it better (look at corporations & business world)
b. As we track it, we will "see the light at the end of the tunnel", and it's not an oncoming train
c. Simplify, save and invest consistently and holistically.

Just a thought.
Whoa.. haven't updated since.. 2012!

Been looking for deep value buys but hard to find things to dive deep into, thus since end 2013 been exploring trading US stock options with a small % of  my portfolio.

Dang interesting them stock options, even to an investor (ie. not as a trading tool).
An example and contrast vs "traditional stock investing"
1. Traditional stock investing on Nestle
a. Place order to buy at 60 for 200 units, then wait for order to be filled.
b. IF order not filled for the day, repeat until filled.
c. Bottom line: Can be long time before being filled... "wait till neck also long", while not making $
VS
2. Selling Naked Puts option on Nestle strike price $60
a. Place order to sell naked PUT Nov 2 contracts (200 units), for $0.10
b. Order filled as the "cost of insurance" is comparatively low & i get $0.10 *2 contract *100 units per contract -commissions/fees in pocket
Note: Put buyers may buy Naked Puts as an insurance hedge against falls in their stock's price
ie. Put seller is contractually obligated to buy the stocks at contracted strike price if forced by Put buyer
c. IF Nestle doesn't fall to $60 by contract date (Nov), i keep the premium paid by buyer
Repeat 2a. for next month until Nestle falls to $60
d. IF Nestle falls to $60 by contract date, i get "assigned" and must buy Nestle at $60.. dang! :P
e. Bottom line: While waiting / fishing for my value price, i get premiums + when i get hit with an assignment, dang.. i'm so sad.. bwhahaah.

Just a thought :)

Thursday, July 12, 2012

Tracking of growth / net worth - 2011 to 2012

Ah... another year gone & things have been chugging along.
Fear & greed was my constant companion, especially in 2011 Aug (fear) & 2011 Dec (greed).

These 12+/- months:
  1. Median net worth growth was about 17%-18% based on a 12 months' moving median.
  2. Average net worth growth was about 24%-26% based on a 12 months' moving average. 
Returns from investments were not as great as the ride from 2009 > 2010 > 2011, thus, the growth was mostly thanks to frugal and simple living.

Please note - this post is not to brag but to share
a. If we track it, we can manage it better (look at corporations & business world)
b. As we track it, we will "see the light at the end of the tunnel", and it's not an oncoming train
c. Simplify, save and invest consistently and holistically.

Just a thought.