Monthly Portfolio Update 📈 Feb 2021
Mar 1, 2021 23:59 · 397 words · 2 minute read
Second series of my monthly portfolio update. To objective is to show what happened and to help me track the history of my portfolio.
Monthly Portfolio Update
The first half of February started quite well - everything went up. The second half (or the last week to be more precise) fucked up the whole performance, mainly based on Tesla (the only stock I’m owning) going down from their all-time high. Seems like an opportunity to re-buy - I’m just waiting for my bonus to cash-in so I can enhance my position there.
I didn’t realize any profits for my minimal crypto-position (as Im buy-and-hold). The only movement I had was executing my monthly investment plan for the Vanguard All World ETF.
| Measure | Entire Portfolio | ETFs | Stocks | Cryptos | Cash |
|---|---|---|---|---|---|
| IRR | -17.49% | -0.09% | -89.97% | 71.50% | 0.17% |
| TTWROR | -1.35% | 0.07% | -15.64% | 4.07% | 0.01% |
What is the monthly portfolio update showing?
(repeated again, already described in the first update) I created a view in my tracking tool which is split up into 5 columns and will be filtered on the last month:
- Entire Portfolio is the 1st column, showing the summary of all other 4 columns.
- ETFs is the 2nd column, basically my World Portfolio (70% World, 30% Emerging Markets).
- Stocks as the 3rd column, my only stock I’m owning.
- Cryptocurrencies as the 4th column, a rather small and old position if you look at the Invested Capital.
- Cash as the 5th column, only there to give the complete picture.
Performance Measures
(repeated again, already described in the first update) Portfolio Performance is usually tracking two measures, the internal rate of return (IRR) and the true time-weighted rate of return (TTWROR). The difference of them is well elaborated in a how-to within the portfolio performance community (in German). An English description can be found here:
The IRR, also commonly referred to as the dollar weighted return, is the measurement of a portfolio’s actual performance between two dates, including the effects from all cash inflows and outflows. […] The IRR does provide a meaningful measurement of the absolute growth of a portfolio.
The TWR captures the true investment performance by eliminating all the effects of capital additions and withdrawals from the portfolio. This makes the TWR a more meaningful measurement of performance when used to analyze the underlying performance of the portfolio’s assets or comparing your investment manager performance to alternative investments.