Home
Previous
Next
October, 2022: 19
Disclaimer - IMPORTANT - Read this first!
| Investor's Journal is a diary focused strictly on investments and personal finance issues, primarily from a contrarian and retiree point of view. Follow along with an average guy's failures and successes as he learns, by trial and error, the fine art of value investing. |
10/19/22- There have been no new sales or buys since the last entry, so our basic 25 holdings remain: ACCO; APA; CRWD; EGLE; GPI; ITOS; MRO; PICK; QQEW; RIO; RSP; SB; SNAP; SWBI; SXC; VBR; VIOO; VIR; VOO; VTI; VTV; WIRE; WU; XLV; and ZBRA.
The portfolio is set to achieve better than our target total dividends for the year of $58,320. (Our goal continues to be that the amount of total portfolio dividends increases yearly by at least 8%, from the latest base amount, $50,000, in 2020.)
Total liquid assets, at $1,671,749, are essentially the same amount as last month. Our total nest egg is worth $2,172,029, down 17.47% or $459,908 from its value at the end of 2021.
Generally, I do not believe in market timing (buying and selling based on predictions of what the bond or stock market will do in the weeks or months ahead), yet, when assets are down 7% or more from their 52-week highs, research has shown they'll get back to breakeven, usually in less than a year. Will this time be different? It certainly seems possible, with interest rates increasing, high inflation, a war in Europe, political instability and threats to democracy in the U.S., and huge amounts of federal, individual, and corporate debt. Still, even during the uncertainties and relative chaos of World War II, stocks were up 50% from 1939 through the end of the war in 1945.
The S&P 500 is down more than 22% already in 2022 and may well have a lot farther to go into negative territory. And equities currently are already just under 80% of our liquid assets. Given the historical returns once securities have been down this much, though, I am betting buying at these levels will eventually be rewarding, and so am investing on a dollar cost average basis in stocks or stock exchange traded funds at the rate of 8% a year.
Disclaimer and Disclosure Statement
Neither I nor Investor's Journal will be responsible for losses by anyone who obtained ideas from this site.
This diary is intended for personal interest and general information only. You are advised to do your own research (as well as to consult highly compensated professionals) before spending money on anything.
I know of no reason anyone should take my financial musings seriously. At best I am a dedicated amateur providing a bit of investment-related insight and entertainment, at worst an amusing diversion.
My wife, Fran, and I may at times own shares of some of the assets mentioned here. But neither of us receive any benefit from reference to them, unless you count the mutual misery when we get it wrong, or the opportunity to gloat when we get it right.