Sunday, 14 September 2014

$2,139,484 Net Worth Update September 2014

 


My Net Worth Update September 2014

     September 14 / 2014  : Updated every mid month

    ASSETS

Home 2014 assessed value                                  total                 $1,190,000

-Equity Investments
Tax free saving account TFSA -                 $33,601
Retirement saving plan RSP -                  $108,173
Canadian margin account -                      $302,693
US margin account ( Ex Rate 1.1076)-    $160,309
margin available $167,215
                                             Total equity    $472,839
                                                                               total:                 $642,800

-Rental Property
Warehouse Income Property 2014 assessed value
                                                         
                                                                               total:                 $384,000
-Start Up Company
Brewery start up share value
                                                                               total:                   $85,000

-Cash                  
Checking account                                        $558
Business account                                       $7,087
     
                                                                               total:                    $7,645

                                                                        Assets total :          $2,309,445
                                         
   Liabilities

US margin account     $19,732
(margin rate 3.75%) 
CDN margin account $149,187 
(margin rate 3.00%)
                                                                           Liabilities total :        $169,961
                        
                 August 2014 Grand Total Net Worth:      $2,139,484 

                                     Gain/loss from last month + $13,390


August 2014: $2,126,094 Details Link + $14,613
July    2014  : $2,111,481 Details Link  + $5,584
June    2014 : $2,105,897 Details Link   + $3,165
May    2014 : $2,102,732 Details Link



  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


                                                              Forward Monthly dividends Avg:  $1,264
                                                              Total Forwards dividends yearly $15,599

    Grand Total Passive Forward Yearly Income :    $30,407
  (This passive total is a bit out of date but will get around to updating it soon)
                  Per month average total     :          $2,533



 In Summary-



Another 10k plus month. I am overall pretty happy with it. I will take 10k gains anytime I can. Primarily the gains were all market gains in equities. I had some good run of Apple stock recently and I have hopped in and out of it a couple times this past month. I have been buying the dips and reselling it higher. I plan to continue with this for a little while especially with blockbuster Iphone 6 numbers coming. I have rewarded myself by preordering an Iphone 6 plus 128gb in space grey. Time to sell off my 2 year old perfectly functioning Iphone 5. I dont have much indulgences and a couple gadgets here and there is all I need.

My 150k Reit gamble is not paying off so far. I am down a couple of percent on them so far. I did however sneak in a day before ex-div date so a .625% was expected but not 2%+. I will give more specifics in a later post. All my new trades and movement has made things hard to track and separate. In a coming post I will detail what I have going on. Passive income gets a few more steps to calculate when some trades are short term and adding interest per month from margin debt.

The Canadian dollar continues to fall which boosts my Canadian net worth total for which I can not complain. Sorry I have not been too active of the blog of late because I got quite a few things going on. I am working on some real estate deals, I am helping even more around the house especially with my oldest starting junior kindergarten as I often am looking after my 2 year old boy. Also My dad is having some medical problems and had to make a few hospital visits. Busy busy what better busy than nothing going on at all. In a few days I will have an update to my holdings and strategy.

How is your guys August and Sept shaping up??

Good Day and Grind On!


36 comments:

  1. Glad to see you're holding up well, in spite of all the activity. I just wrote an update also. We're busy, making a few bucks in the stock market.....and working on overall life balance. Being back at a traditional job has been an adjustment, but I'm embracing the challenge and growing accordingly. The public sector is its own beast. The deal to buy a division of my friend's contracting business fell through because of his divorce, so that still stings.

    What are your thoughts on the Dollar rally? I think it's interesting that it has coincided with higher bond yields.
    -Bryan

    ReplyDelete
    Replies
    1. CDN dollar falling quick. Many think it will level out at .85 cents within the year. Big jump. I wouldnt want to be exchanging US funds for awhile till the smoke clears. Would like to hear more on the contracting deal that fell through. Its my cup of tea!

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    2. I love to talk business Grinder. I was hoping to either take over the existing company and spin our the services division, or better yet.....let them spin out the services division and buy it. Send me an email at 1incomesurfer@gmail.com and I'll gladly fill you in.

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  2. Great to see another month of gains. I will be posting my update later tonight so I am hoping for positive results as well.

    I am interested to see what happens with your brewery investment. Micro-brews are very popular nowadays.

    ReplyDelete
    Replies
    1. Will check your update for sure.

      The brewery is in full swing but not much to report. Head guys have ordered equipment, site preparation has started, meetings with marketing team has begun for branding. Slowly coming together.

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  3. WOW, crazy good NW.

    "My 150k Reit gamble is not paying off so far." I assume they are long-term holds, so I wouldn't worry about any REIT prices over a few months, let alone a few years. That amount of REITs should pay between $6-$10k per year in passive income. I'd say that is better than most people :)

    Keep up the great work.

    ReplyDelete
    Replies
    1. Yah too early to be concerned but thought I would mention it. Plan is to hold for a year or two and then revaluate. In the meantime the dividends from it will be used to pay down the margin.

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  4. A-G,

    Impressive update, once again. You've already kind of "won" at life, my friend. Keep enjoying the spoils of victory. :)

    Best regards.

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    Replies
    1. Ice cream for all!!!!!! Oh wait too much ice cream lately as my 22 pound weight loss as become 15 as of today. Gotta stay hungry both with investments and my sweet tooth!

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  5. A NW increase of over 13k is pretty impressive. I've been following your strategy with Apple over the past month and am glad to see it is working out for you. Keep up the great progress!

    ReplyDelete
    Replies
    1. Will have new update soon buddy. Thanks for droppin by. Go apple go!

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  6. Those are some very great gains! Very inspiring, keep it up!

    ReplyDelete
    Replies
    1. Not every month will be green but so far so good!

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  7. Congrats on another great month, A-G. Ive been keeping an eye on the REITs as I want to pick up some REI.UN possibly this month.

    cheers

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    Replies
    1. REI.UN is top quality. Dont forget to diversify your reits as well, retail, office, industrial, housing

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  8. Nice gains. I wanted to start buying more into reits as well but maybe the prices will dip a little more. If that happens I may pull the trigger on O or HCP. Great month AG. Keep it up.

    ReplyDelete
    Replies
    1. Yah who knows where the REIT bottom will be. Could be sideways or down next couple years. I just wanted to get in. If there a big dip I very well just may buy more

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  9. Solid month AG! It's really impressive to see a net worth of $2M+. I wish I was at that point. Any other news on downsizing your home and getting a new one? How's the brewery coming along?

    ReplyDelete
    Replies
    1. Been looking at cheaper homes and possible building lots. No deals of yet. I liked a home but the wifey was not interested. Supply is limted in the area we are looking in. Might take a lil while. The brewery is coming along. Improvements have started on the space with equipment ordered, initial drainage and plumbing, prepping the building,branding and marketing work started. Lot of moving parts.

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  10. Wow 10k+ gain in a month? That's crazy. You're certainly grinding it out.

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    Replies
    1. Starting to add writing puts into the mix as well

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  11. As you said, "a gain is a gain" just like I say a dividend increase is a dividend increase no matter how small, like the last CLX raise. Look forward to your brewery start up details and learn about that venture. Do you plan to write a separate more detailed post about this venture? I'd like to know the highs and lows of starting a business such as that. Thanks for sharing.

    ReplyDelete
    Replies
    1. Yes I will have more in depth report on the brewery. As a pooled investor there I have little say in the direction of it and set up. Its a good thing and a bad thing. I can pretty much sit back and collect my potential dividend checks once they start selling. I have been offered a seat on the board but not sure if I am going to take it up yet. I am very inexperienced in the business and want to get my feet wet a bit before I make decisions on employees livelihood. I will keep progress updated on the different aspects.

      For now its. Building improvements getting ready for the equipment as its been ordered for late 2014 delivery. So drainage, water fittings, Floor coating preparation, roof venting, some hvac modifications. On the creative side, branding work is taking place and initial logos and strategy is being formulated. On the potential sales side there has been tremendous interest in bars,restaurants wanting to carry the product. Team is quite optimistic in hitting first years numbers easily. We will see how things come together. My concern is potential delays. Like building anything unforeseen issues eat away time and more importantly money. No doubt there will be bumps in the road.

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  12. Hey Asset-Grinder.
    Good Job on having a great Month! Much respect and love for being the responsible dad/husband you are and looking out for your family. I respect that. Keep on hustling and grinding.
    Much love from a fellow hustler/Grinder.
    Take care and Keep up the great job.

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    Replies
    1. Thanks for the kind words buddy. Seems like in BC to get ahead u have to grind and make some risky moves to get ahead. I know u know what I mean lol.

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  13. $13K+ is an awesome gain man, great job :) I think it's kind of good in a way if the U.S. dollar climbs against our loonie. My net worth would be worth more because part of my portfolio is in $USD, and it makes our country more competitive which will hopefully boost exports, manufacturing, and tourism. I had a decent $5K net worth increase in August. But so far September isn't shaping up very well due to markets under performing. Oh well, stocks can't go up forever lol.

    ReplyDelete
    Replies
    1. Yah always gonna be choppy. Question for u about your farms values. Do they each have there own bc government assessment. How far off is the value u think if so? How is the property taxes? and the leasing market for them?

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    2. Yes, they're in Saskatchewan so property tax is collected by the rural municipality. The government assessed value is only 25% to 50% of the real market value because of the an archaic method they use to calculate it based on expected crop yields instead of recent comparable sales of other farms. So the way to judge if a farm listing is fair or not is to compare the multiple of assessed value to others. For example, if one farm is selling at 2.5x government assessment and the one beside it is listed at 2.3x its own assessment then the latter one is a relatively better deal even if the assessed value is higher than the first, assuming all other factors are equal. Property tax for each of my farm is about $600 a year or about 0.35% of the purchase price. Luckily property tax is lower for farms than city dwellings because other than roads and highways there's not a lot of services out there lol.

      In the past only residents of Saskatchewan (1 million in population) could buy Saskatchewan farmland, but in early 2000s the SK provincial government opened up the doors to farmland ownership for all Canadians. With 30+ million people now eligible to purchase productive land in Saskatchewan the price has been going up ever since the deregulation at almost alarming rates. 28% increase in average property value in 2013 alone.

      The leasing situation is very hit or miss depending on who you know. There's a website I use that connects landlords and tenants of farms, and it works like an auction where I can list my farm's location, soil class, and other details, and farmers can bid for 1-5 year lease contracts. It's called rentthisland.com. However, I currently have my farms already rented to a farmer whom my realtor introduced me to when I bought the farms :)

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    3. wow great info man.. The wifey has family and farmland out there, maybe I start looking into it

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  14. Nice haul for the month! REITs are slumping once again, hopefully it'll recover from this little downturn. Just collect the monthly income and hopefully it'll make up for the slump. I've wrote some put and spread options for AAPL... looks like they're going to expire worthless :)

    ReplyDelete
    Replies
    1. So far my reit play is down 3% ouchy. Yeah I am going aggressive with apple options. covered calls for shares I have and Puts for potentially adding shares at good entry points while collecting some premiums. I have still lots to learn from options and kinda jumping into it. I like the premiums and hedging with options. What I dont like are the transaction fees. I may have to switch from TD Bank sooner than later if I continue with volume option trades.

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    2. Hey interactive brokers have the lowest option trading commission...You might to check that out if you r going to write more options. I opened an acct there recently. I wrote 5 contracts and it was like $6.30 commission. Depends in the stock too... I wrote $MA and 5 contracts for like $3.67 commission. Really cuts down ur cost. Definitely beats $9.99+1/contract at my other brokerage.

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    3. I think imma take the plunge and switch. when i wrote 10 apple contracts it cost me $22.50. Not a big deal if its one contract a month but if I do multiple a month it makes sense. Plus their margin rates are reason enough.

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  15. Hi Asset-Grinder,

    I hope everything is well with your father. When I saw the REITs drop a few days ago, I thought of you and your margin bet on REITS. Althought, as long as you don't have a forced sell to cover the margin, you should be fine longterm.

    Here in the UK the pound is finally easing as well, so I am also seeing some currency returns (finally after such a huge climb)

    Best Wishes,
    DividendVenture

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    Replies
    1. Thanks for the words. So far reits taking a beating. Yeah its early but nobody likes to see holdings tank shorty after purchase. Will ride it out. Wonder how reit stocks are in the UK

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  16. eToro is the best forex trading platform for beginning and pro traders.

    ReplyDelete