Singvestor's awakening

[singvestor]

What do you mean Stahlmann? In my defense I have never cheated on taxes! Ich schwör!

[singvestor]

Monthly healthy life goals:

- 20 days no alcohol: achieved, 22 days
- 12 times sport: achieved, 15 days

I made it!

May expense report



Spending came in relatively low at SGD 2,653, despite high expenses on gifts and groceries. The lockdown makes saving money quite easy.



I did not move my car for the month, the expenses are insurance and renting a garage (I know...)

Saving rate

The saving rate in May was 68%, not counting some cash I put into short term savings in case of emergency, job loss or other issues.

Portfolio update



In May my portfolio increased from SGD 485,422 to SGD 496,768 (~USD 356,000). I invested SGD 8,363 and capital gains of SGD 2,983 made up the rest.

Markets continued to be very bullish, no idea why. The economy is suffering, people are unemployed, markets go up and up. Strange times.

Progress to retirement



The green and blue lines are creeping towards each other. It is great to see the effect of reducing expenses. I just got a big salary increase at work to take effect in the next 2 months, dating back from a promotion next year.

Lifestyle inflation will be avoided and the saving rate should therefore go up. A saving rate north of 70% seems achievable for 2020.

Investments vs. plan



I invested SGD 8,363 into my portfolio which was more than planned (SGD 6,700).

Portfolio allocation

Bought some bonds and some stock indexes to get closer to my allocation. Too heavy on picked stocks and REITs.



Dividends received



SGD 622

Hypothetical monthly income

SGD 1,656



Outlook

Still worried about the crisis ending my expat life in Europe, but am in a good financial position. Trying to stay optimistic!

[Viktor K]

OOF! I hope it doesn't! My girlfriend and I are already getting stir-crazy being in the US for less than a year. I want to go back to the expat life, I think I just need to give up on this idea of settling down in one place.

What the heck are you doing for exercise? Are you guys shut down? I was playing a ton of soccer... don't know when that'll ever come back. Now we're just going on runs up and down the neighborhood streets.

[singvestor]

Shutdown is easing, but I did mostly bodyweight exercises with the help of YouTube and went cycling a lot. Quite efficient! Where is your next adventure after the US?

[Viktor K]

That's good. I need to re-prioritize exercise again, really fallen off the last couple weeks. Cycling I think can be a lot more fun since you can get a lot further from your immediate environ.

Not sure about next adventure at the moment, hopefully somewhere with some more scenery

[giskard]

Wow interesting to see how steady your portfolio performed through the March volatility. Not even a 10% drop for you it looks like! Mine was down about 15 or 20% at one point in March.

[singvestor]

Five year anniversary of this journal! Still not retired, but only have myself to blame

Monthly healthy life goals:

20 days no alcohol: achieved, 20 days
12 times sport: achieved, 12 days

I made it!

June expense report



Spending was much higher than during peak Covid times and came in at SGD 4,333. My car was only moved once, but needed costly maintenance, tire change and so on. Utility spending was quite high, since I had to pay for yearly home burglary insurance (a must in my city as 20% of my colleagues got their house broken into) and I had to pay a huge water bill.

Saving rate

The “official” saving rate in June was just 54%, because I buffered cash for emergencies and job loss/crisis. I got a surprisingly large salary increase, but did not invest it all.

Portfolio update

In June my portfolio increased from SGD 496,768 to SGD 524,235. I invested SGD 11,089 and capital gains of SGD 13,378 made up the rest.

This is the first time my portfolio exceeded SGD 500,000.



Progress to retirement



As soon as the green and blue lines cross I can start considering my retirement.

Investments vs. plan



I invested SGD 8,363 into my portfolio which was more than planned (SGD 6,700).

Portfolio allocation

Bought some further bonds and some stock indexes to get closer to my allocation. Too heavy on picked stocks and REITs.



Dividends received



SGD 1,452

Hypothetical monthly income

SGD 1,747



Outlook


Family crisis is still ongoing, but dust will settle in 2-3 months I think. After the five year anniversary of this journal it is time to rethink and retool the approach. I am very comfortable below last year's expense levels thanks to Covid-19, but I have to plan the next steps. Maybe I read Jacob's book for the third time ...

[wolf]

congrats to your 5 year anniversary! and well done achieving your healthy life goals this month!

[singvestor]

Thanks Wolf I wish I had managed in July also

[singvestor]

Monthly healthy life goals:

20 days no alcohol: failed, 15 days
12 times sport: 5 days + 20 days plank challenge

Not good. Doing regular planks helped a lot. I had neglected the core exercises.

July expense report



Very embarrassing. Car was so expensive, despite just standing in the garage unused. I had to pay the yearly tax bill, monthly insurance, garage.

Clothes spending was through the roof, because I bought business suits, a winter coat, shirts and shoes at steep discounts. Nobody wants to buy these in summer, especially during covid. Boss had told me to dress better in my job, so I have to be prepared when the office eventually reopens.

Also the family situation which I mentioned in previous posts has gotten worse and I needed to spend extra money to temporarily move to another country. Long depressing story, but will get better.

Saving rate

Saving rate in July was 65%.

Portfolio update



In July my portfolio increased from SGD 524,235 to SGD 548,293 (= USD 399,400). I invested SGD 9,509 and capital gains of SGD 14,549 made up the rest. Markets are so strong despite the massive crisis...

Progress to retirement



Investments vs. plan



I invested SGD 9,509 into my portfolio which was more than planned (SGD 9,300).

Portfolio allocation

Bought some more bonds



Dividends received



SGD 1,143

Hypothetical monthly income

SGD 1,828



Outlook

In the next few months I need to retool the approach. Finances are going well, but overall life designing needs to happen. A bit difficult, as the Covid crisis makes my job and the general future quite uncertain. Right now I am in home office, but at some point they might figure out that they save a ton if they just send me back to Singapore. I have not seen the inside of the office since mid March…

My goals for August are reducing the expenses from crazy July levels and meeting my healthy life goals.

[singvestor]

Monthly healthy life goals:

20 days no alcohol: achieved: 21
12 times sport: achieved: 12

August expense report

I spent SGD 3,854 in August, which was an improvement from July. I got quite sick and had to pay a deductible of SGD 300, I did not see my car, but still had to pay SGD 326 in running costs and tax. Grocery spending was also rather high at SGD 545.

Saving rate
Saving rate in August was 57%.

Portfolio update



In August my portfolio increased from SGD 548,293 to 561,967 (= USD 413,600). This is the first time the portfolio exceeded the USD 400,000 mark. I invested SGD 8,788 and capital gains of SGD 4,886 made up the rest.

Progress to retirement



Investments vs. plan



I invested SGD 8,788 into my portfolio which was more than planned (SGD 6,700).

Portfolio allocation

Bought some more bonds and the STI ETF.



Dividends received



SGD 1,743 - dividends are increasing nicely.

Hypothetical monthly income

SGD 1,873



Outlook

Quite exhausted from work these days. It is becoming more and more obvious that I have to rethink my life and work goals and do something differently. My expat assignment will last about 19 more months at most, after which I am supposed to be posted back to Singapore.

I am thinking more and more that I need to look at designing a different lifestyle. I need to take some time to think about this topic once I have a few weeks off in November.

[singvestor]

Monthly healthy life goals:

20 days no alcohol: failed: 16
12 times sport: failed: 8

I spent the month abroad with my old friends and family, many gatherings and occasions that in central European style came with some drinks. Sport also suffered and I restarted it towards the end.

September expense report

I spent SGD 5,507 in September, which was a lot... Out of this amount SGD 1,184 was for gifts, most of it for investing a part of my higher than usual income into ETFs for my godson. He is only 2 and will get the proceeds when he is 18. I also scratched a relative’s Tesla rim when driving it through a very narrow passage and it made me feel bad, so I bought them a new one, even though they strongly insisted that was not necessary.

Saving rate

Saving rate in September was 59%.

Portfolio update



In September my portfolio increased from SGD 561,967 to SGD 566,398. Fresh investments of SGD 12,613 were offset by unrealized losses of SGD 8,182.


Progress to retirement



Investments vs. plan



I invested SGD 12,613 into my portfolio which was much more than planned (SGD 6,800). Reason was that the company applied my salary increase also for the first three months of the year and paid me extra. Nice surprise for me.

Portfolio allocation



Dividends received



SGD 666.

Hypothetical monthly income

SGD 1,888



I am reaching a point, where an extreme early retirement becomes more and more feasible.

Outlook

No progress yet for the lifestyle redesigning. Took a long walk in the nature today to think about it, but inspiration did not come yet

[singvestor]

Monthly healthy life goals:

20 days no alcohol: achieved: 20
12 times sport: achieved: 12

October expense report

I spent SGD 3,363 in October, not a bad month except the high spending on stuff.

Saving rate

Saving rate in October was 79%, close to ERE worthy territory.

Portfolio update



In October my portfolio increased from SGD 566,398 to SGD 574,784 (~USD 421,200). Fresh investments of SGD 13,029 were offset by unrealized losses of SGD 4,643.

Progress to retirement



Investments vs. plan



I invested SGD 13,029 into my portfolio which was much more than planned (SGD 8,800). Main reasons were low expenses and my cash buffer already being full. With this I have exceeded this years’ investment goal of SGD 105,000.

Portfolio allocation



Dividends received



SGD 2,976 - highest month so far.

Hypothetical monthly income

SGD 1,916



Outlook

Really tired and having nightmares about work frequently. Looking forward to a break...

[singvestor]

Monthly healthy life goals:

20 days no alcohol: achieved: 20
12 times sport: failed: 8

November expense report

I spent SGD 4,715 in November, with grocery spending being way too high, because I hosted friends at my apartment often and bought nice stuff. Furthermore I bought some Christmas presents for family members and used the sales season to buy cheap toiletries in bulk.

Saving rate

Saving rate in November was 68%.

Portfolio update



In November my portfolio increased from SGD 574,784 by SGD 60,228 to SGD 635,012 (~USD 476,100). Fresh investments of SGD 9,016 were supported by massive gains of SGD 51,212.

Progress to retirement



Investments vs. plan



I invested SGD 9,016 into my portfolio which was much more than planned (SGD 6,700).

Portfolio allocation



Bit too high on the picked stocks and too low on the bonds. I sold most bonds in March to hunt for bargains during the market crash, now I am buying them back with the target allocation of 20%.

Dividends received



No dividends received in November.

Hypothetical monthly income

SGD 2,177 - first time over SGD 2,000



Outlook

I took vacation for most of December and will focus on getting life issues sorted out and hopefully do some sports. Stock market has been so strong, my portfolio is now approaching my Lean Financial independence goal. With a bit of luck it could be achieved by the end of next year.

[singvestor]

2020 is over. I kept my job and friends and family all stayed healthy. Most of the year I worked remotely, which had the side effect that I completely detached from work mentally. My job seems even more absurd than before.

Development of finances in 2020:



I invested a total of SGD 136,697 and received capital gains of SGD 51,528 excluding dividends. I ended the year at SGD 664,215 which is just over USD 500,000.

With the recent market meltup I am getting close to lean financial independence, it is crazy. It could take less than a year to reach the USD 600,000 invested mark. At this point I can easily survive if needed. It gives me great peace of mind.

If I get fired from my job I would just need to take the ERE book out and optimize expenses and I would be fine.

Saving rate in 2020 was 70%, not so bad, but also not super good, given that I had free housing.

Where did the money go?





In general the trend is positive, but I could have done a lot more to save money. I spent too much money in nearly all categories. Grocery spending especially, I just did not care optimizing here and always just bought whatever I felt like eating or serving to friends.



Once retired I can eliminate the car category, reduce clothes by 80%, stop paying for cleaning and ironing, reduce groceries by 40%, reduce stuff by 80%... It should be easy. The chart is embarrassing… Even when taking a very lax approach to implement Jacob’s teachings, half of the spending could be eliminated without any negative impact on quality of life.

Development of saving rate over time



70% last year is good, but then I got free housing etc…

Asset allocation

Is not looking too well, way too low on bonds. Will use fresh investments to buy bonds until they reach 20% again.



Outlook

Stock valuations and prices seem crazy to me. I will buy more bonds and otherwise stay the course. At the end of the year, lean financial independence could be reached.
My biggest concern these days is mental health and fitness level, both are not in great shape… Will focus on improving that, since finances are on autopilot