Net Worth Update: $256,568 – December 2019

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Net worth: $256,568!

This is my 13th net worth update. In september I had a 62,9 % savings rate!


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By Route 2 FI

Index Funds

In the figure below you can see my index fund value as of 1. december 2019. 

I sold my apartment in july 2018 (and then bought a new one 50/50 with my fiancee). That was when I got serious with my investing.

  • The blue line is the market value of my index funds: $282,108
  • The orange line is the investment value of my index funds: $249,015

Because my brokerage account is in NOK and not in US Dollars, the numbers fluctuate a lot every month because of currency changes.

As you can see on the screenshot below, my portfolio was up + 3,03 % (aprox. $6,754).

Below you can also see the funds that I’m invested in. 

In total my portfolio is exposed aprox. 70 % to MSCI World and 30 % to MSCI Emerging Markets.

 

Since the beginning of my index investing journey (january 2018), my portfolio is up 19,74 %.

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My volatility for the portfolio is 9,35 % for the last 12 months.

If I were to quit investing today (which I obviously wont), I would have earned $33,093 (302,075 NOK).

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Income, Expenses And How Much I Can Withdraw According To The 4%-rule

  • The figure above shows the connection between my income (orange), expenses (blue) and monthly FI money according to the 4% rule
  • As a result I will become financial independent when the blue and red line crosses each other.
  • If I quit my job today and never took a paid job again - my monthly FI money would pay out $940 every month for the rest of my life

It’s motivating to see that I can safely withdraw $940 every month for the rest of my life.

I will do everything I can to raise this dollar amount in the future. 

As you all know my goal is to save $500.000 USD.

This means my monthly FI money goal is $1,667 USD each month. I’m over 1/2 to my goal and it feels great!

Recently I wrote a detailed post on how I will reach a $500.000 net worth in only 2 years and 7 months.

Portfolio results for november 2019

My portfolio was up +3,03 % in november 2019.

  • Averarage expenses in 2019 so far: $1646
  • In 2018 my average expenses was: $1701
  • Average income in 2019 so far: $5286
  • In 2018 my average income was: $4313
  • Monthly FI money as of november 2019: $940

Mortgage

We own an apartment 50/50 that has a total value of $515,000. That means my share is $257,500.

While this sounds good, my share of the mortgage is $228,679.

The interest rate on the mortgage is 2,55 %.

Pension

My current pension is 47.727 $.

I recently found out that I had a pension plan in a job I had as a teenager as well. Pension is a really iliquid asset class, because I can't withdraw the amount before I'm 62 years old.

Student loan

After nine years with different studies I got $52,158 in student loans.

In Norway the university has no fees, so this is a loan covering basic living expenses while you're at the studies.

The interest rate is 2.47 %.
I'm not paying anything on this loan at the moment.

Stock Investing Loan

I was recently approved as a Private Banking customer at my broker Nordnet.

As a Private Banking customer you're allowed to loan $55,000 (500,000 NOK) to 2,95 interest rate.

The interest rate is 2.95 %.
I'm not paying anything on this loan at the moment.

Total Net Worth

  • Index Funds: $282,108
  • Mortgage: $28,821
  • Pension: $47,727
  • Student Loan: $-52,152
  • Stock Investing Loan: $-49,936
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Net Worth (USD $)

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2 Replies to “Net Worth Update: $256,568 – December 2019”

  1. A 4.3% increase, well done! I love to see your progress and you can notice that your net worth snowball is starting to roll real fast – congrats on that! You can see that with $940 monthly for the rest of your life you’re getting closer and closer to your FI goals, cheers!

    1. route2fi says: Reply

      Thank you!! How was your month btw?🙏

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