Friday, April 19, 2024

Portfolio returns for Apr 2024 - The Big Reset

I felt it would be good to track the returns regularly since the returns will fluctuate from time to time depending on the stock market.

Here are the movements for this month:

Persistently high inflation put a damper on the cutting of interest rates by the Fed. While there has been talk of 3 rate cuts this year starting in Jun, now this seems not likely. More likely rate cuts will only start in Sep, and there is also the possibility there will be zero rate cuts this year. This caused my stocks, REITs, and bond portfolios to dive. 

For the Robo-Advisors, the situation is the same. Syfe Reit especially took a dive.

Additionally, I think it will be interesting to see the breakdown of my portfolios in percentages. There is a component 'X' which I do not want to disclose for now. The concentration of 'X' over the last month has dropped but is still too high. 

Market events over the last month:

  • Due to persistent high inflation, there is a risk rate cuts will not happen until 2025

  • The situation in the Middle East has escalated with Iran launching drone attacks on Israel. While no casualties were reported, Israel is expected to launch a retaliation. 

  • Bitcoin halving is done as of 20 Apr 2024. Time will tell where Bitcoin price goes from here
The retracement in the US stock market is happening now. From a high of 5263, it is now 5005. A drop of 4.9%. Only time will tell how far this drop will go. Technically a correction will only occur when there is a drop of 10% or more from the high. 

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