Net worth update – February 2016

A journey to become a self-made millionaire.

This is my first net worth updates report for the year 2016. For those new to my finance journey, a net worth update is a simple report I post 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 in 10 years by saving and investing in stable dividend paying blue-chip companies.

My dividend portfolio dropped all the way to down at the beginning of January and moved higher by the end of the month.

Canadian stock market went through a bear market in January and recovered later. My portfolio did not escape the market volatility.

It was great opportunity to experience a bear market with over $150 K portfolio. I also had a chance test my risk tolerance during a bear market.

My portfolio value dropped more than $6000 in first few weeks then gained over $15000 in late January.

What a roller coaster ride:D

Also, I received $528.84 dividend income during the period.

Now, let’s look at my net worth changes in numbers.

Last month, my net worth increased by $11 200 or 10.34% from my last update.

Net worth update as of January 31, 2016 (+10.34%)

Assets:$437 500 (+$11 100)

• Cash: $500 (-$500)


• Home: $270 000 (+$5000) – Yearly adjustment with inflation


• Canadian Stocks: :$ 127800 ( +$4700) – Recent purchases


• U.S. Stocks:$35 900 (+$1400)


• Employer’s Pension Plan: $3300(+$500)

Liabilities:$318 000 (-$100)

• Mortgage :$188 500 (-$400)


• Student loan: $26 500 (-$100)


• Margin loan:$33 400 (-$21 500)


• Credit card 1:$7300 (-$100) (low interest credit card – 0.99% special rate for 10 months – will be expired in September 2016)


• Credit card 2: $9400 (-$100) (low interest credit card – 0.99% special rate for 15 months – will be expired in March 2016)


• Credit card 3: $23 500 (+$23 500) (low interest credit card – 0.99% special rate for 10 months – will be expired in November 2016)


• Credit card 4:$0 (no change)


• Credit card 5: $0 (no change)


• Credit card 6: $4600 (-$100) (low interest credit card – 1.99% special rate for 6 months – will be expired in April 2016)


• Credit card 7:$14 000 (-$100) (low interest rate of 1.99% on balance transfer for 6 months – will be expired in March 2016).


• Credit card 8:$500 (-$1200) – (regular expenses) – high interest rate of 19.99%.


• HELOC : $10 300(no change) -(low interest – 3.35% – primte + 0.5%)

Net worth :$119 500 (+$11 200) as of January 31, 2016

My net worth up by +10.34% since my last update.

Note

• all amounts are rounded to the nearest $100;
• all numbers are in CAD; and
• Conversion rate 1.00 USD = 1.38 CAD

I have a huge credit card debts because I took advantage of low balance transfer promotion rate and invested in high quality dividend stocks. Taking modest risk and leveraging are the keys to become wealth.

Thank you so much for being in my finance journey and for your support.

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