Chapter 17 - "Portfolio Update - Jumping Crocodiles" $163,014 (+3,274) - The Incompetent Investor

Tuesday, August 27, 2019

Chapter 17 - "Portfolio Update - Jumping Crocodiles" $163,014 (+3,274)

G'day, How is everybody doing? I have a ripper entry for you this month with some sweet photos, and some personal wins, which I am glad to share.


Life Updates 

In regards to our housing situation, we are moving from our current suburb ($2500 per month) to a larger home, with more land at $1800 per month. We always intended living in our current rental to ensure our son qualified for the zoning requirements for the school he now attends. It was ranked amongst the top three public schools here in the Northern Territory. Surprisingly, his literacy levels advanced very fast relative to the local Melbourne school he attended. Not sure if that is based solely on, the teacher to student ratio, but it has seemed to have a positive effect.



I am going to make a bigger attempt to share photos of the NT with you, as I believe this will give you a more worthwhile experience as opposed to simply reading net worth updates. In truth, I find it a bit self-centred just posting your ‘stats’ (with the exceptional of the more in-depth bloggers who provide reviews, market commentary and so on). The NT is also a beautiful place. I reckon it is the best-kept secret of Australia. If you come to Darwin, you have to go the boat cruise referred to as ‘jumping crocodiles’ in Adelaide River. It was an amazing experience. Highly recommend you check it out if you ever get up to the top end.
   


Back to the point of the purpose of this blog, I do not write this blog to seek validation or attention, or make an income from it, but rather, this blog really is just a case study at its core. We often read of many 30 year old’s already at $500,000, or 1,000,000, and it can often be a little bit discouraging at times. With that in mind, it can be very destructive to your quality of life if you continually compare yourself to others. 

Sure, in the name of the competitive spirit, it is natural to some degree, but it can become dangerous if you become fanatical about it. You will end miserable. Try not to do it. The only reason I decided to share my numbers is to show that people around Australia, like myself, can get to a better place financially. I would like to think of this blog as a longitudinal study. Best way to demonstrate the purpose of these blog posts.

I do not claim to make good financial decisions – even today. For better or worse, let us see what happens.



On a more positive note, I recently was successful for a 2-year contract, with a pay increase, with management duties. Talk about being grateful. I recall reading recently on Pete Wargent’s blog that the NT was in a recession (do not quote me on this).What I will say is there are definitely many shops closing down in the Darwin region. In addition, there are plenty of vacant properties. For this very reason, I am very happy to have employment for at least the next 2 years.

By then, hopefully, the Australian economy has picked up and we have gotten through any market challenges locally and abroad. Further to this, the good news is I can continue investing once our debt is paid off. On the topic of debt, I am going to hold off paying it out this month (despite having the funds) as we need to get the current properly cleaned, fumigated, and some second hand furniture/appliances once we move into the new home. I will also need to wait for our bond to be returned for our current property ($2500).

Something I have noticed up in Darwin is the private second hand market is pretty hit and miss. A lot of the time, you would be better off buying things new from some of the bigger retailers. What I am trying to say is, some of the sellers are dreaming.

The wife is continuing to work at a medical clinic as a receptionist. Ruthless working culture down there. At the end of the day, she is pushing through it as she gets along really well with the girls she works with. It is also a 5-minute walk from our new home. She works part time (25-30 hours a week). 

The boss, or otherwise known as the practice owner, and a practicing GP at the clinic, manhandled her chair recently, and pushed her back into position (if you can visualise that), as he believed the wife was not doing any work (3-second sample size as he returned to the front desk). This would not phase me coming from an Army background, but the context is everything. In her line of work, it seemed a bit full on to be honest.

 Unsurprisingly, the turnover is extremely high, and these types of events are not uncommon towards other staff. This is the very reason why financial independence is so important. Had we been financial independent, she could simply walk away and leave a cucumber with some turmeric on his desk as a parting gift. Thankfully, my wife has the resilience of a warrior, so she will stick it out a bit longer and play it by ear.

Finally, the wife wants to buy some chickens that lay eggs. Our house often feels like a zoo and I have offered to run tours for family and friends who love animals. Between fostering, our own dogs, looking after client’s dogs, a cat, and potentially chickens, it certainly feels like a zoo at times. I love animals, but there is nothing worse than coming home after a long day of work to a mountain of shit on the floor. 

Our dogs have relatively good bladder/bowel control, but in rare occasions, shit deposits do happen, and they aint pretty. I know what you are thinking, why not leave them outside? Well, I have heard some horror stories of dogs being nabbed for dog fighting and all sorts of crazy stuff like that. We feel more comfortable keeping them indoors while we are out at work.

Alright, the bloody numbers. What we have all been waiting for I guess? Nothing exciting to report as not much has changed other than portfolio going down a fair bit with the recent market volatility. 

The Numbers



Cash: $5000 

Shares: $78,484 

Superannuation: $83,830 (in cash for the moment) 

Debt: $4300 (Vehicle & Father Phil) 


Disclaimer: The information on this website is general information and should not be taken as financial advise. I am simply documenting my journey and experience. I am also not a licensed Financial Adviser. You should always seek independent legal, financial, taxation and other advise that relates to your unique circumstances. The Incompetent Investor is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by use of this website.


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