Portfolio Update March 2019

The funniest thing is happening now, when I write this update post and it’s very hard for me to explain with the proper words. So give me some time and bear with me.

When I started to create this section I wanted to give a real feel of the portfolio value. Our investments are in multiple currencies as mentioned before: economy, emergency funds and the mutual funds are in RON, Forex category and Crypto are in USD and P2P is in EUR. When I mark our gains and financial situation (in a multi-versatile EXCEL file which if I loose I’ll be very upset), I convert everything in RONs, and we are happy because in the most cases we are also gaining on the appreciation of EUR and USD versus RON. Well the problems starts here, when I want to present you our portfolio and I have to convert everything back, from RON to USD.

One of the problem is the fact that the USD/RON is different from December 2018 to March 2019. An USD was around 4 RON back in December and 4.2 RON now. The second problem is due to the fact that converting from December 2018 to March 2019, the Gain/Loss is smaller or bigger, because the initial sums of December 2018 are bigger considering the difference of price.

To solve the problem I will use the annual USD/RON exchange price shown by BNR (National Bank or Romania) and I will convert all the sums to that. This means that I will also modify the sums shown in the December 2018 column. The reason behind this is that I want to show the real gains of the year 2019.

I will take care to updated them for the whole year when I have the reference price. The price I will use in this page is: 4,23 RON for 1 USD

Overlook on March 2019 Portfolio

For the purpose of aligning the portfolio, the following conversions are done:

  • Forex was equal to 692 USD in December and now its 665, so we have a loss of 27 USD
  • Crypto was equal to 234 USD in December and now its 230.18, equaling a loss of 3.82 USD (a coffee in the city)
  • Mutual Funds was equal to 541.5 USD in December and now its 521, another loss of 20.5 USD
  • P2P was equal to 591USD in December and now its 568.76, so we have a loss of 22.24 USD
  • Economy Fund was equal to 714 USD in December and now its 687, and here we have a real loss of 27 USD
  • Emergency Fund was equal to 603.5 USD in December and now its 580.65, and the last one is a loss of 22.85 USD

If we are summing up everything, our portfolio just shaded a BIG 123.41 USD just on devaluation of our local currency. But this is just theory as the numbers are converted only on paper in RON, their real value is secured in EUR and USD in our accounts.

The only ones we can count as a real loss, because they are in RON are the two economy funds and the mutual funds, equaling 70.35 USD (OK, now I am surprised because it was a bigger than expected loss, and as a side note, maybe it is a better to convert part of them to EUR or USD).

Getting back to our normal routine, now that all things are settled, this is our current composition of assets.

image 1
March 2019 – asset distribution
image 2
March 2018 – risk distribution

In terms of contributions, we made some investments to P2P equal to 223.6 USD and another 142 USD to Mutual Funds. We had some spending for the house in February, as we bought furniture for a room and for the balcony, so we used a bit of our emergency fund (-410 USD). We are more than happy as we managed to make a deposit to the economy account (940 USD).

  • FOREX category, took a loss of 14%, equal to 90 USD because of the current copy-trader. We were up in January and February but we took the hit in March (-156 USD)
  • Crypo, brings us a nice surprise and with some good place trades we have a gain of 156 USD (in a way funny regarding the loss in FOREX), meaning we are up 68% in account size.
  • Mutual funds, is again the low performer of the portfolio and it’s down the price of a coffee cup ( I like this analogy). That is -1%, equal to 2.2 USD.
  • P2P is keeping up with the annual income rate. We are up 6% equal to 31 USD
AssetDec 2018DepositEnd PeriodGainGain %Increase %
Mutual Funds521142660.69-2.2-1%27%
Asset Increase: Asset, Deposits, Realized Profit, Increase versus December 2018
AssetDec 2018DepositEnd PeriodGain %Increase %
Economy Fund68794016270137%
Emergency Fund580.65-410170.650-71%
Asset Increase: Asset, Deposits, Realized Profit, Increase versus December 2018

I hope you are enjoying this section of the blog as much as I enjoy accounting for each assets. Would love to hear some feedback of how can I improve the posts, because I feel they are a little to heavy to the reading.

We don’t have any concrete plans for new assets for the next period, just consolidation of our current ones, with a focus on P2P category were I would like to reach the 1000 USD milestone.

Thank you for reading this!

Disclaimer: I am not a financial consultant, all the information you find here are my decisions, I taken in that moment, on my own analysis. I am open to any type of discussion about money. If you want to replicate my portfolio take into consideration that it is your money.

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