Saturday, December 30, 2017

The stock portfolio development 2017


Portfolio development 2017


As all of you know my target in the end is to reach 750 k€ invested on the stock market that will be my retirement fund. This means that I should not forget to every now and then look at the development for reaching this target.

For the previous please visit the stock portfolio development 2016.
As can be seen in the graph above my plan is working well. In my first year (2012) of investment I ended up with a stock portfolio in the value of 17,659 € which was 4,744 € more then my plan required. In the second year (2013) my stock portfolio grew with 73 % and ended up with a value of 30,623 € which was 4,723 € above my target meaning that I managed to stay ahead of my plan but I did not manage to increase this advantage. In the third year (2014) my stock portfolio grew with 57% and I ended up with a value of 48,208 € which is then 8,333 € ahead of my investment plan which means that I managed to double my advantage during 2014. In the fourth year (2015) my portfolio grew by 53% and I am up at a value of 73,579 €. My plan was to have a stock portfolio of 54,915 € in the end of 2015 which means that I am now 18,664 € ahead of my plan. During my fifth year (2016) which was horrible in terms of new investments my portfolio still grew by 20% and the value was up at 88,414 € which mean that I was still 17,312 € ahead of my plan which was good but it is still disgraceful that I did not manage to increase the difference and that it even decreased in comparison to 2015.

In year 2017, my sixth year of investing, I sold several investment and bought new ones but the amount of fresh money that I pushed in was less that what I would like to. The portfolio still grew with almost 24% and is now up at 109,606 € which is 21,082 € ahead of my plan that required 88,524 € at this point of time. If I would account for my company pension scheme then this value would be even better.

The only reason for why I am ahead is still only because of that I have managed to push in much more money each month than what I calculated from the beginning. The strategy was to invest 1,000 € per month which would have given 12,000 € fresh euros during 2017 but instead I only managed to push in around 11,000 € so 1,000 € less than according to plan. This MUST be improved during 2018. As can be seen in the graph below during the entire 2017 the invested value was pretty much flat until the very end of the year. The current value did, happily, increase due to improved valuations of some of my companies.

Invested vs Current during 2017

Conclusion: This year my stock portfolio received a slight boost due to increased valuation but I am very unhappy with myself and how I have been saving during 2017. I must change it and change it I will because otherwise the snowball effect will take too long before it arrives. The only reason why I am ahead of my plan is still due to the big push that I made back in 2015.

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