Reporting in on my progress report to 10M. I have decided to do these posts quarterly. I didn’t want to make writing these posts feel like a chore. 🙂

I watched a HBO documentary about Warren Buffett called Becoming Warren Buffett this month. Very entertaining documentary that really made me step back and reflect. I highly recommend it if you are a student of Buffett yourself.

Warrens ex-wife Susie quoted something interesting about her husband.

“To me the crux of it is, that it wasn’t the money itself. You can see that in the way he lives. He doesn’t buy huge paintings or build big houses or anything like that. It’s all mental with him… and the money is his scorecard.” – Susie Buffett

I always knew investing was a sport for him but for some reason the message hit me deeper. I recently discovered that my MBTI personality score was an INTJ. I took the test twice with same results. If you haven’t taken this test, I highly recommend you take it and learn more about yourself.

My family and people around me were shocked how accurate it described me. It helped others understand me better as it helped myself understand myself better also. If that makes sense…👀 It really made me step back and reflect on myself.

I realized why I am trying to reach 10M. I don’t care about the fancy luxury goods. I am highly aware of how lucky I am and feel very blessed with what I have today. My purpose to achieve 10M is not so I can buy myself a fancy car or house. I’m not saying I wouldn’t want to at all but that is not what really drives me.

It may have begun with the desire to achieve financial freedom but today what drives me is this deep desire to see if my personal thesis I have developed over the years will continue to result to the outcomes I believe will come to fruition over a long period of time. And watching year after year the progress I am making brings this deep sense of personal satisfaction.

“The biggest thing in making money is time. You don’t have to be particularly smart; you just have to be patient.” -Warren Buffett

The tracking of all the progress is a game on many levels. It is a sport and an infinitely challenging one that will guarantee failures, lessons, and some successes. A sport that demands  restraint, discipline, patience, contrarian thinking, persistence, and so much more.

A sport guaranteed to humble you throughout your entire life. A sport that will help you understand the world just a little bit better day after day.

That personal satisfaction that I get from this journey is what this is all about. And this post is simply my score card on how I get to 10M.

So, let’s get to it shall we? 🧐

 

Investment Progress

• 2020-3: Generate $10,000 in dividend income
• 2020-3: Invest at minimum $1500 per month into any areas of investments.
• 2020-3: Invest $50,000 into Fundrise.
• 2020-5: Maintain total investment returns between 6% to 12%
• 2020-6: Invest $100 per month into M1 Growth Pie.

LBF Dividend Portfolio. The dividend cuts cometh and will likely continue throughout the whole year. Luckily, it hasn’t been as bad as I had anticipated. The progress is slow and steady.

Regardless of the dividend cuts, I am still making fairly decent progress.

Fundrise. Due to the COVID-19 turmoil, my focus has remained with stocks. No additional investments have been made this month.

There are no updates to the price of the Fundrise iPO.

M1 Finance. I am playing fund manager with this account. 🙂

No changes to the holdings.

Link to my M1 Finance Pie.

 Sign up here and get $10 to help you get started.

Total Investment Portfolio. Things have recovered fairly quickly. Much quicker than I had anticipated. I wouldn’t have minded a slower recovery to have more time to buy more stocks at lower valuations!

The cash (Opportunity Fund) that sits in my investment accounts are considered part of my investments. I deployed quite a bit of that cash that once dragged on my overall returns.

I’m thinking about raising some cash going forward.

 

Alt Income, Expense & Cash Flow

• 2020-3: Achieve positive cash flow every month of the year.
• 2020-5: Increase annual income by 6% every year.

 

Alternative Income

LBF Dividend Portfolio. This month the portfolio has brought in a new monthly record of $762.28 which is 26.7% higher than the previous year.

Misc Income. I sold away boxes of stuff I don’t need. I also received a stimulus check.

Swagbucks. I exchange 2175 Swagbucks ($21.75 worth) for $25 visa gift card once every month. Leaving behind the remainder until I need it for something else. 😊

Blog Income. I really don’t expect anything from here but appreciate the support!👏 My only hope is to help inspire others, share knowledge and grow together. 🥂

 

Cashflow

The quarantine is contributing to improved cash flow. 🤧

Income continues to show improvements over the last 3 years.

Last year, my year over year income was all over the place. No reds this year thus far.

 

Savings Rate

• 2020-5: Maintain long term average savings rate at or above 30%.

I won’t be expanding my lifestyle until I reach an average savings rate of 30%. Anything above 30% will be spent or gifted. Balance is key right??😬

 

Net Worth Update

• 2020-6: Increase net worth by at minimum 6% annually.
• 2020-6: Maintain at minimum 6% lifetime CAGR.

Snapshot of net worth from Personal Capital.

Net worth YTD: 2.9%

My net worth figures are calculated from my personal spreadsheet and may not reflect accurately with the Personal Capital snapshot above. I like to lower my expectations when it comes to appraising the property value.

The largest and steepest market drop is also starting to fade into history and looking like a blip in the rear view.

Warren Buffett’s Berkshire Hathaway has achieved about 20% CAGR since 1965. I am not expecting my net worth to grow like that but the plan is to maintain at minimum a long term CAGR at about 6%. 😅

 

ETA 10M

Estimated Time Arrival (Best to Worst Case)

Destination to 5M: Between 10 – 18 Years (No changes)

Destination to 10M: Between 16 – 30 Years (No changes)

The scorecards are in! We are half way into this year and things look much better than I had anticipated than in the 1st quarter of this year. I think maintaining focus on the long term helps to ignore the crazy weather today.

Remember, what gets measured is more likely to get improved.

Onward friends! 🚀🚀🚀