July 12 / 2014 : Updated every mid month
ASSETS
Home 2014 assessed value total $1,190,000
-Equity Investments
Tax free saving account TFSA - $33,372
Retirement saving plan RSP - $101,101
Canadian margin account - $141,768
US margin account ( Ex Rate 1.072)- $168,456
margin available $217,060
margin available $217,060
total: $444,699
-Rental Property
Warehouse Income property 2014 assessed value
total: $384,000
-Start Up Company
Brewery start up share value
total: $85,000
-Cash
Chequing account $2,021
Business account $5,761
total: $7,782
Liabilities
None
total: 0
June 2014 Grand Total Net Worth: 2,111,481
June 2014 : $2,105,897 Details link +$3,165
May 2014 : $2,102,732 Details link
Total investments and cash available $921,481
Total non-income fixed assets (home ) $1,190,000
Net Worth Ratio
43.6% Investments and cash
56.4% Fixed Assets
Investment Yields
- Start Up Brewery : No expected return for a year
-Warehouse commercial property Income
$1,912
a month minus $678 expenses ( maintenance,tax) = Per month: $1,234
Yield on assessed value:
3.85% Total year profits :$14,808
-Equities market value :444,699 Forward Monthly dividends Avg: $1,254
Average Forward Yield On Market Value : 3.38%
Total Forwards dividends yearly $15,058
Grand Total Passive Forward Yearly Income : $29,866
Per month average total : $2,488
In Summary-
Up from last months gains and I am happy for it. Mr market was good and bad to my equities which I will explain later. I have officially put in $85,000 into the brewery and things are in motion there. Will be quite a while to see a return as first year is projected to break pretty much even. My rental property is going through a change of tenant and its a bit of a mess financially. Payments from it still has to be sorted out as I have not received any rental income this month from it.
Several factors have contributed to my July net worth.
Positives-
-Market was pretty decent for me. Good gains in my apple stock holding. I just got called for 100 AAPL shares and will do some rebalancing soon with the proceeds. I ultimately want to sell 100 more of my 600 remaining shares in AAPL and I plan on writing covered calls out of the money until it hits. The part leaks for the Iphone 6 are very promising and AAPL has a monster seller on its hands and Samsung is shaking!
-EBAY. So I puit some stuff on Ebay and got some money for the stuff to the tune of $4,000. Proceeds mainly came from a fancy watch I had that I never wore. My phone can tell the time just as well! Without these ebay sales my bottom line would have been very thin this month. I am know conteplating selling a few other things to round up some cash.
-Expenses. My expenses were very minimal, We didn't go out much and main outside activities were free ( hiking, hanging at beach, playgrounds, water parks)
- Dividends. Were not bad as June brought me $608 and so far halfway in July $552. I hope to see thousand dollar months soon enough in dividends.
Negatives-
-Canadian dollar. The Canadian dollar weakened against the US dollar by 1.31% since last months net worth total. That alone has devalued my portfolio by $3,165. This currency thing cuts both ways and this month it hurt!
- New Tenants. In the process of kicking out current tenant in my rental unit as they were running illegal high stakes poker games and welcoming a new business (healthy cereal maker) with a 3 year lease. Old tenant has missed a payment and will owe for a lease cancellation fee. The new tenant will get two free months for leasehold improvements. Overall once the old tenant pays up it will cover the lost income of the new tenants 2 free months making it a wash. Sometimes I wonder why I am keeping the property as I could just shove that whole total into REITs and have a higher return and less headaches. Then I remember my place wouldn't sell when I had it listed for under market value. I will re-evaluate next year if I am going to keep it I think.
Special Thanks
Special Thanks to http://debtdebs.com/ for the mention in here article. Thanks for the pointers on your debt strategies as it has helped my friend Ali and I to formulate a game plan to get out of debt.
Good stuff, A-G. Congrats on the new investments and another positive month for your net worth. Do you have a post on the brewery investment? Have you shared what kind of a deal it is and what/when you expect to get out of that investment?
ReplyDeleteKeep up the great work
regards
R2R
I will be making a more in depth brewery post soon enough. Its a tad bit complicated right now as I am a general partner and limited partner. Potential yields are still somewhat fuzzy but within next month or two I should have a better idea how things are shaping out.
DeleteCongrats! A gain is a gain in my book. That's pretty impressive that the brewery should breakeven in its' first year. I can't imagine a lot of small businesses can hit the breakeven point that quickly. Looking forward to some more posts about that. I'm also thinking of selling some things on Ebay. I have some old baseball/basketball trading cards and some coins that I use to collect. They wouldn't bring in much, probably on the order of $500, but I'm just not that interested in it anymore and they're only collecting dust right now. Keep up the good work!
ReplyDeleteThanks for the words. I too am holding onto some collectables, Primarily hockey cards and a few comic books. Maybe a few k worth but overall not too much. Hard to part with them because I took so long to collect them. I should sell my silly cd and bluray collection already but the amount of work for each micro transaction would be annoying. Maybe I will put them up as a lot on craigslist or hawk them to a pawnbroker.
DeleteThanks for the mention, AG. You're still on top of the Net Worth charts. I'll be doing mine soon on Rockstar Finance.
ReplyDeleteVery nice gain this month A-G. I am interested in getting into investment property next year and have heard of a few stories of tenets not paying or them trashing the apartment. However I am going to take the chance, but first I need to save up a little more cash for a 20% down payment. Good luck on the brewery investment and I look forward to reading more about it.
ReplyDeleteBe patient with real estate. Wait for the right opportunity to pop up. For tenants check their credit and get a big deposit if things go wrong. I like commercial real estate because tenants are longer term. I dont have to repair anything and less fees and headache month to month.
DeleteThanks for droppin by DM and DD.
Good Day and Grind On!
AG,
ReplyDeleteKiller results! I like the diversity of your investments. I really need to get started with some rental properties or possibly a small business. I have some friends who opened up ecig shops and are doing well. Anyway, keep up the great job and Grind on!
MDP
I dont like to put all my eggs in one basket and try to get multiple streams of income rolling in. If I were allowed in the US I would be eyeing up some of their real estate. Play of deals left there. Some of my buddies bought homes in las Vegas and multiple condos in Florida and they are all sitting on some great gains. If you can find a good potential yield then go for it!
DeleteA-G,
ReplyDeleteAwesome stuff, man. Keep up the great work.
I think by the time I'm 120 years old I'll be able to post similar net worth numbers. Of course, with inflation it won't be nearly as impressive then. :)
Best wishes!
I think within the next 5 years you are going to hit it big and blow me away soon enough. You cant put a price on talent and drive and you have both my friend!
DeleteHey Asset-Grinder,
ReplyDeleteI hope one day I can reach half of your net worth :).
Very impressive work on the brewery, a lot of businesses are not profitable for a while, it's great that you are already expecting break-even on this first year.
I feel you on currency issues. I invest in GBP and GBP keeps strengthening against the dollar, reducing the actual GBP value of my equities and reducing my dividends, I'm really hoping on a regression to the mean long-term.
Keep it up!
Dividend Venture
Thanks for droppin by DV
DeleteI am optimistic with the brewery but I dont count it. Like all things with business its a risk. That said it is very possible this will fail as their are many things that could go wrong. The industry could go flat, bad sales, poor management, you name it. That said I like the goals of the company and they seem pretty conservative so im unusually optimistic!
As far as currency fluctuations. Why is that every time your stock goes up your currency rate goes down.!!!!!! Sooo aggravating!
This is insanely impressive AG! Keep up the good work.
ReplyDeleteAs for the whole selling the property and shoving money into a REIT, well I've been wondering if home ownership is really what I want for myself too. I don't particularly like dealing with tenants, but when I can raise the rent on the I sort of start to remember the good aspects of home ownership. Though my experience is probably different than most landlords. I rent out rooms in my house so I live with my tenants. But the positive is that probably by the end of this year when I raise rent again I will be paying about a third of what market rental prices are right now.
Love the idea of renting out rooms for tenants as My friend does that as well and it more than pays for his mortgage. I think its a great idea for youth to purchase a home early and rent out teh majority of it to start having some passive income and build equity. If I was a young single guy I would rent out rooms by a college to only females lol!
DeleteCrazy good work.
ReplyDeleteNW over $2 M? Wow. I have some MAJOR catching up to do!!!
Mark
www.myownadvisor.ca
This is a very organized way to display assets, expenses and other components that are associated with finances. I like seeing how the liabilities are divided and the differences that are shown with each month. It's an easy way to understand how to take charge of a budget and the factors of the net worth.
ReplyDeleteKendrick @ RPM Long Beach