Tuesday 2 February 2016

Summary of January 2016

Summary, January, 2016

January was, stock market wise, an exciting month with a fairly deep general dip in share prices. Interestingly enough much less interesting things have happened with the companies and can be found in their reports in comparison to the reactions on the market.

Share prices goes up and down every day, week, month and year but very rarely does the value of the companies change at the same speed. Never forget this.

Since I decided to broaden my list of jobs that I would apply for many new opportunities have appeared and several applications were sent out. Now we must see if any fishes gets hooked... still they will not be as big and fat as I would have hoped for but at least they should be a new challenge in my life that I greatly need.

For the final essay for my studies there is still no answer so I will not manage to get that exam that I was hoping for in Business Administration until earliest in August which I find completely messed up but it is mainly my own fault. I should here probably also state that my major focus was on finding a new job and the studies came at a much lower priority during January.

As I mentioned I have been forced to build up a private buffer as protection for a future potential unemployment period. Happily at the very same time my kind mother provided financial support which meant that I could directly build up a 5k € buffer without being forced to decrease my investment plans at all. So thumbs up on that and to my mother! I must admit that I was very tempted to buy companies for that money when the markets fell so much but I did not.

For the previous summary please visit Summary of December 2015 and here you can see my stock portfolio as it is.

Invested, Current, January, 2016

The total invested portfolio is now up at: 76,922 € including the realised losses of -3,757 €. Last month I still made two investments and also this time it was in two companies that I already own namely BP and K+S. Even if also this time more money was pushed into the portfolio it was not possible to prevent the overall portfolio from decreasing in value.

Current, investments, January, 2016

The big eye catchers this month is Commerzbank and Deutsche Bank... especially DB that took a dive so deep that would indicate that DB is today valued worse in comparison to during the financial crisis. That is indeed a spectacular situation. The value of the stock portfolio is today: 65,881 € and I have 3.1k € in cash on the broker account. Due to the drop I now have an unrealised loss of: -11,041 € to bring that into a reality check that correspond almost to one year of my planned investment schedule and almost three gross salaries. Excellent! An extra pad on my shoulders for that accomplishment!

Me, DAX, January, 2016

DAX kept dropping and is now down at 9,758 points which means that it dropped down an additional -5.1% compared to the previous month. I followed DAX and then some which means that my portfolio decreased by -5.5% in comparison to the previous month and yup, DAX beat me again.

Conclusion: Share price wise it has been a dramatic month with many drops in companies that I own. Unfortunately the drops were heavier for me than what it was for DAX in general. Happily for everyone though is that there are still many nice companies to buy and you guys investing in ETFs make sure to push in that little bit extra that you have lying around.

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