Investment update for June 2019

Only 13 Months to go! Two-thirds of the way there from where I first started the blog.

The market definitely took a downturn, with trade issues and recession discussions causing concerns with investors (can you say “Inverted Yield Curve”). Like so many of us in the FI community, I’m ignoring these issues and just continuing with the plan – investing as much as I can (around 50% of gross pay) and keeping my allocations. I’m up a decent amount for the year, even if the month of May wasn’t that good to me, so I continue to “plod along” as I close in on FIRE.

Retirement Accounts: Remember, my allocation for these is:

  • 30% Bond Index Fund
  • 17.5% S&P500 Index Fund
  • 17.5% International Index Fund
  • 17.5% Small Cap Index Fund
  • 17.5% REIT Index Fund

For the month, I’m down about -3.6% (ouch!). The big losers were the S&P 500, Small-cap and international – the same funds that have been going like gang-busters for most of 2019. The two underperformers in 2019 – Bonds and REITs, were up, which is further proof on the benefits of allocating and rebalancing.

  • S&P500: -6.4%
  • Small Cap: -7.2%
  • International: -5.5%
  • Bonds: +1.8%
  • REITs: +0.1%

My 401K/Deferred account at work is up a similar amount. Since it doesn’t have REITS, it performed a little worse (-4.5%) for May, but it also has performed better for 2019.

Dividend Income Account: Allocation:

  • 25% Dividend Stocks
  • 25% REITs
  • 50% Bond Index Funds

This is up 0.1%, primarily because I am so heavily weighted in bonds and REITs. The dividends they throw off are nice, but at times, they just don’t grow much. My dividend stocks (Chevron, Verizon, etc.) were down more. I continue to use this to learn/experiment with dividend investing, so I’m not too disappointed.

Value Investing Account: My value investing portfolio is down around 7.0% for the month of May. Since its 100% stocks and stocks got beat up in May, I understand. Its done well for the year so far, so no major changes here.

So for the year so far, I’m still up, about 8.94%, and I have put over $42K into the accounts since the beginning of the year. On track to put about $75K for the year.

How was your May?

Mr. 39 Months

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