Sunday 9 January 2022

The stock portfolio development during 2021


It has been a spectacular development during 2021. My stock portfolio increased in value by almost 139k € of which 74k € was saved and 65k € came from the value increase. Another year like this one, minus Covid, would be great for me.

In the previous report the stock portfolio development 2020 I spoke about that I had readjusted my target from the original 750k € to 350k € but lately I've increased it to 425k € for having the possibility to buy and restore a renovation object, ideally in the South of France.

This now appears to be a viable option for me to do in one year and four months especially since I'm already up at 383k €, market crashes must however be considered and will then also create delays.

As can be seen in the graph above my plan is working well. In my first year (2012) of investment I ended up with a stock portfolio in the value of 17,659 € which was 4,744 € more then my plan required. In the second year (2013) my stock portfolio grew with 73 % and ended up with a value of 30,623 € which was 4,723 € above my target meaning that I managed to stay ahead of my plan but I did not manage to increase this advantage. In the third year (2014) my stock portfolio grew with 57% and I ended up with a value of 48,208 € which is then 8,333 € ahead of my investment plan which means that I managed to double my advantage during 2014. In the fourth year (2015) my portfolio grew by 53% and I am up at a value of 73,579 €. My plan was to have a stock portfolio of 54,915 € in the end of 2015 which means that I am now 18,664 € ahead of my plan. During my fifth year (2016) which was horrible in terms of new investments my portfolio still grew by 20% and the value was up at 88,414 € which mean that I was still 17,312 € ahead of my plan. In the sixth year (2017) the portfolio grew by 24% with a value of 109,606 € which was 21,802 € ahead of my plan. Followed by my seventh year of investing (2018) and an estimated growth of 19% and a value of ~130,000 which kept me 22,726 € ahead of my plan (hit by divorce). To then in my eighth year of investing (2019) with a growth of 24% with a stock portfolio value of 160,669 € and me being 33,216 € ahead of the plan (still hit by divorce). In the ninth year of investing (2020) and a growth of 52% and a stock portfolio at 243,801 € and me being 94,629 € ahead of the plan (final year of being hit by divorce). In my tenth year (2021) I had a growth of 57% and a stock portfolio at 383,941 € and by that I was 211,395 € ahead of the original plan.

Interesting to observe how well I've managed to progress once the divorce was completely out of the way and even when I had the final hits in 2020 I was so well prepared for it in the end of 2019 that most of it had already been absorbed.

Conclusion: The portfolio has been boosted by a full year of savings without any disruptions and additional costs, Covid downs but mainly market races, the beneficial company pension scheme and salary & bonus increases due to increased responsibilities at work. I look forward to 2022 being the best year ever! Ever!

Oh, and I would also like to apologise because I don't have the energy/interest this year to create the End of year overview of each individual holding. It has somehow become irrelevant to me since I pretty much just buy and hold and I hold them until an external factor forces me to make a sale.

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