September update
Finally received our second vaccine shot, which means FREEDOM here in Malaysia. We can now enjoy dining out and some sports activities. Finally get to take out the golf clubs. Can’t imagine we’ve been locked down since June 2021! Definitely time to start planning some short trips…
While the social life improved, I can’t say the same on the Financial end. The stock market were brutal in Sept and the portfolio experienced the first major blip, falling by 8.31%. That pretty much wiped out the gains made in July and Aug. Painful reminder on how fickle the stock market is. However, took the opportunity to load up on some good beaten down stocks, especially the big Chinese Big Techs.
Very soon…….
Sept Equity result
Aug Update
Biggest event this month was the wife’s big 50th celebration. It was a challenge figuring out how to make this a truly memorable day for her amidst the pandemic lock down in Malaysia. No dine-in, no travel, no nada. However, me being the creative, romantic genius that I am, it turned out great. I even managed to make her cry. I’ll try and post a few pictures shortly.
Financially, the equity portfolio grew by 2.33%, maintaining a positive growth trend the past 3 months with the continuing bullish stock market, especially in the US. However, China equities continue to be weak, and will likely get worse in the coming months. I also continue to sense a declining housing value in the US, with a lot of major cities (including San Jose, CA) showing a decrease in home prices. May not bode well for our US properties the rest of the year.
I did it!!
Aug Equity result
July update
Still getting used not having to worry about all those Zoom calls, and the various KPIs that keeps occupying my head. It is a pity Malaysia continues to be under strict lockdown, so still unable to fully take advantage of the outdoors. In fact we have been averaging around 20,000 cases daily in the country which is just crazy. Me and Gillian managed to get our first vaccine shot this month, with the 2nd shot in Sept, so praying for a smooth next few weeks.
Financially, it was a decent month with a gain of 5.96% primarily from our equity account. Real Estate in US has slowed down somewhat, with prices in most major cities stabilizing compared to June. In San Jose, prices is still going up but at much slower pace.
July equity performance
Continuing the positive trend from June with a good 5.96% return on our equity. That is still a significant return and above what we will need monthly for our typical expenses, so we are definitely thrilled with the performance so far.
For those interested, you can check out the details and the equity breakdown on this LINK
Real Estate update
View of the clubhouse at our San Jose property. A popular golf resort in San Jose, and one key reason for the strong appreciation of properties within this development (The Ranch). Properties sold here are now averaging around USD850 per sqf. vs USD280 back in 2004.
June update
Financial planning – The top priority is obviously to continue firming up my financial plan/strategy to potentially sustain our retirement the next 35-40years. I need to ensure all the assets will be able to generate the necessary return and income. So, plenty of analysis on the best asset class and the combination of risk and rewards. More than 50% of our assets are in real estate, and our intention is to sell our main property in California in 2022, and roll most of the proceeds into equity investment, while keeping the other properties for time being. Check out our Real Estate link for more about our realty investment and strategy.
Through a combination of strategic planning and savings, our total net assets has now exceeded our goal of >USD2M. That also goes much further for us, since we plan to continue living in Malaysia for the foreseeable future and enjoy the much lower cost of livings here. With the current exchange rate, the strong dollar will allow us to enjoy a higher level quality of living even compared to the States. Conservatively, my expectation is at least a 10% return from the equity market (ie the S&P 500 index which over time has returned about 10% annually). In fact YTD for 2021, this index has already returned 15%. My objective though is to manage my investments and outperform the S&P.
Starting June, I have been actively re-investing all my available funds (while maintaining my emergency funds) into the equity market. I’ve always enjoyed playing the stock market and the skill set will come in handy. Timing wise, it has been perfect. My new equity account (set up end May) grew by 12.66% in June alone, due to hot US market, especially the technology sector. I continue to have full confidence in the Big Tech stocks along with the key US index such as Dow Jones and Nasdaq. Both hitting their highs recently as with S&P500.
June equity performance
Increased by 12.66% in June. A fantastic month indeed.
My main equity account performed extremely well in June, with most of the major US indexes hitting all time highs. That includes the FAANG stocks (Facebook, Apple, Amazon, Netflix, Google) that are some of my primary holdings.
I also continue to add a few other notable big tech names such as Microsoft, NVidia, Broadcom and AMD. I have full confidence in this growth stocks for the 2H of 2021.
The one other stock that did extremely well for me in June were Splunk which gained 62% from leverage trading. Similarly with the Dow Jones Index which gained 88% via leverage trading.
For diversification, I also added some non tech positions during the month primarily in Costco, Jefferies Financial and Vista Outdoor.
San Jose “Ranch” property
The housing market in CA continues to sizzle, and the SJ property gained 5% (USD115k) value wise, in June.
Housing markets across the United States have been on a wild swing ever since the Covid-19 pandemic hit in early 2020. Most including myself were concerned at first, with the shutdowns and stay-at-home orders affecting housing activity. However, the housing markets have began to come back with a vengeance, with pent-up demand across the country. In California, San Jose has been one of the hottest city for home buying since 2020.
Being the largest city in Silicon Valley, San Jose housing has been in high demand for a while, even before the dotcom bubble when I first arrived in CA.
To my surprise, since last year, the San Jose housing market has gotten even hotter. Available inventory has declined steeply, by nearly 36%, from May 2020 to May 2021. Over that same one-year period, the median sale price increased by about 24% — from $1.03 million to $1.275 million, one of the highest median in the country