A short intro for new readers
If you are not new here, then you can simply skip to the next section.
For those new to my finance journey, this net-worth update is a simple report I publish every month, which tracks the progress of my journey to reach my financial goals.
My ultimate financial goal is to become a self-made millionaire by December 2024 (10 years plan). I have a strong belief that I can achieve this goal by saving and investing in high-quality dividend-paying blue-chip companies. I am also a strong believer of ‘compounding’ power, and I believe if I can push myself now and build a decent net-worth, then the ‘ compounding effect’ will give a heavy lifting in my later part of this journey.
I am posting all my financial information on this website because I love to inspire and motivate people to start their own journey to reach their financial freedom. You could learn from my successes and failures (experience) and improve your financial knowledge.
Along the way, I make financial mistakes and will share my experience here with you. So, you could learn something, avoid those mistakes and save money.
Also, I like to publicly track my progress and get feedback from like-minded people.
December Net-worth Update
My net worth increased by $3800 or just 1.05% in December 2020.
It is a smaller increment compare to the previous month – November 2020.
Due to the recent purchases and the stock market rally, my assets’ value reached a new high of $730K in December.
My debts also increased to a new high because I purchased some stocks using my margin loans.
I am not too worried about my debts as I pay a relatively lower rate for my loans.
Now I have over $400K investment assets, which generate around $1400 dividend income monthly (average).
Therefore, I don’t need to dig into debts anymore to continue building my portfolio.
I can reinvest my dividend and use my savings to buy assets.
However, if I see new opportunities, I wouldn’t hesitate to use debts.
Re-evaluating my home value and consolidating my debts.
I am in the process of re-evaluating my home value with my bank and consolidate debts into a mortgage.
Therefore, my net net-worth report will look slightly different. But there will be no dramatic changes in my debt value.
I will update more details in the coming weeks.
The current market situation.
Army of retail investors has been targeting the most shorted stocks in the market. As a result, shorts have been getting squeezed out.
It is a very interesting battle to watch. I am not exactly sure how this is going to end and who is going to win.
This event may start to reflect in the overall stock market soon. Many analysts feel that the needs are already in overvalue territories, and they expect a correction in the near future.
The current situation may become a trigger for the next stock market correction.
I am not making any significant changes in my portfolio, but I will prepare to take advantage of any market sell-offs.
Let’s see my net-worth in numbers.
As I always say, I am here to share my financial freedom journey with this site’s readers. My financial goals, financial situations, and risk tolerances are much different than yours and blindly copy my ideas may not benefit for your life. Please do your own research or discuss with qualified financial advisors before may any decisions.
December 2020 Net-worth Update
Net worth update as of December 31, 2020 ()
Assets: $731 400 ()
- Cash: $1500 ()
- Home: $291 900 (no changed) – Yearly adjustment with average inflation rate of 2% in every January
- Canadian Stocks: : $334 400 ( )
- U.S. Stocks: $56 500 ( )
- International Stocks: $11 300 ( )
- Employer’s Pension Plan: $35 800( )
Disclaimer..
Please note the information posted on this website is the opinion of my own and should not be considered as professional financial advice. I am not a financial professional, and I can buy, sell, or hold any investment at any time.
Any transactions I publish on this website are not recommendations to buy or sell any securities or investments.
My financial situations, goals and risk tolerances will be much different than you. Therefore, please do your own research or consult with a qualified financial professional before even considering using the information obtained from this website.
Liabilities: $364 200 ( )
- Mortgage :$179 600 ( )
- Student loan: $5600 ( )
- Margin loan: $112 600 ()
- Credit card 1: $1800 ( ) (low interest credit card – 0% special rate for 10 months – expired in June 2021)
- Credit card 2: $9400 (no change) (low interest credit card – 0.99% special rate for 12 months – will be expired in February 2021)
- Credit card 3: $15100 () (low interest credit card – 0.99% special rate for 12 months – expired in November 2021)
- Credit card 4: $0 (no changed ) – a promotional offer at 1.99% special rate – expired in March 2020)
- Credit card 5: $17500 () (low interest credit card – 0.99% special rate for 12 months – expire in May 2021)
- Credit card 6: $0 – (Paid-off – a promotional offer at 0.99% special rate – expired in November 2020)
- Credit card 7: $600 () – (regular expenses)- high interest rate of 19.99%.
- Line of Credit 1 : $12 300 ( ) – (low interest credit card – 2.99% special rate for 12 months – will be expired in January 2021)
- Line of Credit 2 : $9700 (no changed) – (low interest credit card – 2.99% special rate for 12 months – will be expired in January 2021)
- Line of Credit 2 (HELOC) : $0 ( no change ) – (Interest rate – 2.95% )
Net worth : $367 200 ( ) as of December 31, 2020
My net worth was up by since my last update.
Note
- all amounts are rounded to the nearest $100;
- all numbers are in CAD; and
- Conversion rate 1.00 USD = 1.2733 CAD
I have a huge credit card debts because I take advantage of low balance transfer promotion rate and invest in high quality dividend stocks.
Thank you so much for following my finance journey and for your great support.
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