I could echo those words. Sometimes having a lot of book learned knowledge can get in your way. For example, choosing an allocation plan and sticking to it - I doubt successful money managers do that. Putting money into fixed income paying next to nothing in interest will also drag your portfolio down. Certainly low risk, but using common sense to balance risk with return helps. And knowing when to sell. I owned Nortel, but sold it for about $65 when FS brokerage was advising me to buy more!
Originally Posted by hboy54
What might be fun, would be to post the shares that show worse than , say, 50% loss in our portfolios I have several, but luckily mostly penny stocks.
We are almost where you are. Our relatively conservative retirement portfolio has grown by 4% pa over a 13 year period. During that time our target withdrawal was 4%. Not sure if we stuck to that, but whatever, the kids should be happy one day (Unless we end up in an expensive old-folks home )
Originally Posted by Mookie
Or plan on giving a significant portion to charity, or even better if there is a fair bit of money involved, an endowment for your favourite cause. Endowments are 'longer lasting' since the capital is retained to generate income.
Would that help with final estate taxes? I guess so! http://www.queensu.ca/alumni/newrules Not easy to figure out, especially for an aging survivor spouse. Heirs probably get less though. Our kids will probably need all they can get.
Originally Posted by AltaRed
Helps a lot. An endowment is high on my list.
I don't usually worry about returns, but just for fun here's my couch potato portfolio returns. I pulled the data for 'total returns' from morningstar, since I can't be bothered separating out my contributions to calculate my XIRR.
Ticker, % of portfolio, return
XIC , 13% , 21
VTI , 22% , 21.73
VTUS , 21% , 14.94
XBB / VAB, 38% , 1.35
XRE , 4% , 17.05
Cash (P/T), 2% , 1.45
Average is 11.87%. XIC did really well for me this year - I bought about $20k in January 2016 at $19.84.
More importantly, I'm scheduled to double my money in 2018 from my nest-egg that I began looking after by myself in 2012.
Well. My main benchmark is my LIRA. it's all low cost etf's(vti vea vwo xic xqb zrr vre) with my allocation based on age. That produced 8.2%
Originally Posted by gibor365
My real portfolio doesn't have the proper weightings ie) no FI, for example. If I benchmark my actual portfolio weightings for 2016 vs comparable etf's. (54%cad3%reit9%international30%usa,etc. that provided 15%.
Either way I had lost for about 5 years and it felt good this year to get one back.
I use rules based strategies for all my accounts, different ones for different accounts. Its very difficult for me to calculate returns as I add capital every now and them. Capital infusion does not follow strict rules. So a crude (but inaccurate) way I calculate return is with this folrmula:Total Return / Avg (Ending Asset Value, Beg Asset Value)But more importantly, I stuck to my strategy. Q4 was bad for my stocks (market beat my stocks).The 21% is a weighted average that also includes underlying cash, my company pension, fixed deposits in India that earn 10%. But 70% of it is stocks and ETFs that i control.
I also use mostly rules based strategies for my different accounts. What I've started doing (as of the start of June 2016 which is when I have reliable data) is to simply track the performance of my portfolio as a whole. That way any movement between accounts is essentially irrelevant, I only have to worry about money going from my bank account to one of my investment accounts and vice versa. I use the spreadsheet that Justin Bender (of PWL capital) has on his blog, very easy to use. Just google Justin Bender Blog and look under "calculators" or something.
Here is a bigger snap shot on our returns since we moved from another bank to TD Waterhouse .We currently own no bonds or gic and cash in savings returns (Insert lol here) not included :
Husband Account Inception Date Nov 16,2011
12.03% Annualied excluding dividends
MINE Inception date December 31,2010
Annualized Return excluding Dividends 9.45%