July 2022 Financial Update

“Don’t tell me what you think, tell me what you have in your portfolio.”

― Nassim Nicholas Taleb, Skin in the Game: Hidden Asymmetries in Daily Life

My Investment Philosophy

  • Diversify – investments and taxes.
  • Do nothing – automate.
  • Develop margin of safety – allow assets to compound.

Portfolio

I treat all accounts as one portfolio.

  • VGRO – 86%
  • Cash – 294K
  • VAB – 6%
  • GIC – 3%
  • Asset Allocation – 69%
  • Portfolio Gain (Loss)
    • YTD – (692,465)
    • 2021 – 728,410
    • 2020 – 495,984
    • 2019 – 190,513

Mailbox Money

“Life is really simple, but men insist on making it complicated.” Confucius (BC 551-BC 479) Chinese philosopher.

I have zero alpha.

I want “know nothing, do nothing” mailbox money.

Mailbox Money

  • YTD – 57,012
  • 2021 – 136,578
  • 2020 – 130,610
  • 2019 – 110,068

July 2022

I am making more plans to simplify. I have a credit union account and Tangerine bank for my personal banking. I am planning on keeping just the credit union bank account. We recently had an issue logging into our online bank. We figure that as we get older, it might be better to be able to go to a physical bank branch if any issues arise.

Some folks spring clean their homes. I keep trying to clean up our finances.

My accountants no longer send back 20 questions when I do my taxes. I have not even heard from them for the past two years. I send them my info and nowadays they just file the taxes.

It used to be so much more difficult. But I simplified my tax preparation as well. I also don’t think there is much to do when one holds only one ETF.

I also changed my process for buying my VGRO shares. I had tried to keep 5% cash. Now I keep around 200K cash and invest the rest. My husband could even do this. It is this easy. No spreadsheet required.

I have stopped doing anything fancy with my finances. The current routine is that the day our pay gets deposited, I sign into the brokerage and buy the set amount of VGRO. It takes less than five minutes each month.

One of my brokerages has become more of a boutique firm. They are transitioning their clients into AUM type accounts. I have my accounts grandfathered at the current time. I wonder if we will be getting a letter that they want us to move our accounts.

I am noticing how none of this stuff matters. We missed the entire equity bull market and we still have enough. We are those people who save a lot. I guess I just have less wants since I have always felt as if we were living abundantly.

I am beginning to think that our decumulation will be no biggie either. There is no perfect plan. Think of all the moving parts. Good luck believing one can time all these things perfectly.

I prefer to DIY since I can keep things simpler. I do not want an advisor to increase complexity in my finances that would be difficult for me to unwind.

So there it is. Another month. I literally spend less than 5 minutes a month buying more VGRO.

Finances can be very easy if you allow it to be.

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