Road to $10 Million Update (Q4 2023)

Once again, the time has come to engage in self-reflection and review some of the decisions made in the past year. Among these decisions, one lingered in my thoughts due to the nature of how recurring it has been over the lifetime of my investing journey.

The lesson? Refrain from selling a high conviction long stock investment solely for tax related purposes. Towards the end of 2022, I made the unfortunate decision to sell a significant portion of my META holdings at their lowest points for tax purposes. The proceeds were directed towards other tech stocks which luckily yielded good results but simply retaining the META shares or even better buying more would have resulted far superior returns.

Normally, I would have accumulated more shares during such lows with the intention to hold long but I deviated from my usual strategy and made a poor short term decision. Mistakes are inevitable but the hope is I take away a valuable lesson from this recurring mistake in effort to becoming a better investor.

A single decision, due to the weight of the position, has been quite costly but luckily not a crippling one. Despite this, the overall trajectory of the year has exceeded my expectations by a considerable margin. Let’s dig into the details and clear this year in the books!

Add 500 shares of QQQ to LBF Dividend Portfolio

Currently at 73/500 shares of the Q’s! 🤺

Not a bad start to a new goal. I added 70 shares to the dividend portfolio this year.

Invest at Minimum $1,500 per Month Into The Dividend Portfolio

I like to give each and every portfolio a salary. The LBF Dividend Portfolio had a total net inflow of $10,543.04 YTD ($878.58 per month average) by the end of Q4.

In August and September, I sold off some positions and reallocated the capital towards other growth stocks. Unfortunately, I was not able to meet this goal for the year but I decided not to be too hard on myself since the years prior do make up the difference.

Reach a $50,000 Fundrise Portfolio

• iPO share price remained the same for the quarter. Currently, iPO investment gains are up 104.7%.
• Total combined value of Fundrise investments comes to $45,461.58 which is up 1% this year.

I’m suprised we didn’t close in the red. The drop in pricing is certainly noticeable, particularly in the East Coast eREIT holdings, which have declined by 20% this year. I expect the next year to be another sluggish one.

Interested in Fundrise? Sign up using my referral link and get started!

Maintain steady portfolio growth between 6% to 12%

It appears that we’ll be concluding the year with a remarkable 56.3% increase in all investments. All investments includes my entire investment portfolio, which excludes hard real estate assets, but includes all alternative investments such as Fundrise, crypto, etc. The diversified nature of my investments not only shields me from risk but also helps me sleep like a baby. When focusing solely on equity returns, the performance has been astonishing this year.

Invest $200 per Month into M1 Growth Pie

The LBF Growth portfolio had a total net inflow of $2,467.33 YTD ($205.61 per month average) by the end of Q4.

The portfolio started the year at $5,559.45 and ended the year at $14,573.12 a whopping 162% increase in total value. The volatility is real here. Amazing what 3 years of car payments can do when invested.

The changes I make to the pie are not updated on links from prior posts so if you are interested here is an updated link to my M1 LBF Growth Pie! Keep in mind that the turnover in this portfolio is relatively high, so the performance figures won’t accurately represent my personal performance. Instead, they will merely display the current holdings within the portfolio as of writing this post.

Sign up using my link and we both get $100 to invest! Sign up with M1 Finance!

Achieve positive cash flow every month of the year

The last quarter has not been as bad as I had anticipated. I delayed a few home improvement projects for next year and decided to keep spending lower. This year I had 3 months in the red. I believe in about three to five years, I should be able to comfortably accomplish this goal for good. It’s a matter of allocating some investment income towards the red months and fill in the gaps. We shall see.

Increase annual income by 6% every year

I shall accept the 8% pay raise, which effectively translates to approximately 5% accounting for inflation. Mission accomplished. 😌

Maintain long term average savings rate at or above 30%

Clocking this year at 27.7%. Shy of 30 but averaging 30% since achieving FIRE which is what holds greater importance.

Maintain beyond FIRE net worth growth average above 6%

Net worth YTD: +19.8%

Since retiring early, this year has been the third largest increase in net worth. Averaging about 9.6% since FIRE and sleeping like a baby after 8 years.

ETA 10 Million

Taking into account current trends, projections, and expectations for future growth, the estimated time frame to achieve a $10 million net worth is as follows:

Number of years to reach $10 million net worth:

Best case to Worst case: 16 to 30 years

By what age?

Best case to Worst case: Between 59 and 73

It is time to embrace a stronger commitment to health in 2024! Kicking off the new year with a brand-new treadmill and a dedicated focus on cardio. Prioritizing health and diet is my primary goal, aiming to incorporate a significantly higher amount of vegetables and reduce overall calorie intake. It’s time to hit the treadmill again! Hope everyone had an amazing year and see you in the next! Happy New Years!