Monday, April 08, 2013

Monthly Review - March 2013

March was a month where all my investments fell in value and the fall was greater than my (low) net savings from my job and the positive cash flow from the properties. Marginally favourable currency movements did not come close to bridging the deficit. The result was a modest decline in net worth.

Here are the details:

1. my Hong Kong equity portfolio fell. There were no new investments this month. I hold shares in CMR which is currently suspended following an attack by a short seller alleging fraud. I have increased the provision for loss from last traded price from an arbitrary one third to an equally arbitrary one half when the suspension is lifted. There were no new investments in March;

2. my AU/NZ equities fell sharply. I added some shares in Challenger Financial (ASX: CGF) to the portfolio; ETFs fell in line with the local markets;

4. my commodities fell sharply, with silver the biggest loser;

5. all of my properties were occupied with all tenants paying on time. had three major bills in March - one repair job which is semi-structural and two levies for building refurbishment. One of the building refurbishments is likely to see the tenant move out and a lengthy vacancy;

6. currency movements were slightly positive, with both the NZD and the AUD rising slightly against the HKD/USD;

7. my position in bonds remains small;

8. there were no open derivative contracts at month end;

9. savings were low with low income and high expenses due to the cost of a family holiday;

10. There were no transfers to Mrs Traineeinvestor  this month.

My cash position rose with more money coming in than going out due to new investments. I currently hold 55.7 months of expenses in HKD cash or equivalents. This is above my target floor of 24 months.

For the month, my net worth fell by 1.57%. The year to date increase is 6.33%. My retirement date has been fixed for 30 September for reasons that have nothing to do with finance - financially, I am past the point where I can afford to retire.

Note: due to travelling, the March 2013 review uses a cut off date of 5 April, 2013 instead of the usual last business day of the month.

No comments: