I opened the March 2022 portfolio update by saying that there had been quite a rebound from January and February. The gain in the month ended up being more than 9,000 Euro.
Well, in April that rebound has simply vanished as the portfolio lost more than 8,000 Euro. It was also a low month in terms of dividends, but this does come as a surprise looking at the past years.
Overall, the only movement I did in April was the purchase of Vanguard FTSE All-World UCITS ETF - USD ACC for around 4,000 Euro. I already have the Distributing version of the same ETF, so why buying the Accumulative one this time?
As a secondary source of income, I am renting out my own apartment and I use the rent to pay the mortgage. Right now, the rent is higher than the mortgage and I have used that excess to pay back the capital faster than what I am due. However, with the current high inflation and low interest rate on the mortgage, I am now thinking about investing that money, wait a few years and then use it to pay back the capital.
It feels good to pay the mortgage back in advance and see the capital dwindling down, but the new strategy makes more sense to me given the current situation (high inflation, low fixed interest rate).
All assets lost value in April 2022 with just one exception: Invesco S&P 500 High Dividend Low Volatility UCITS ETF - USD DIS. This is the only ETF that is having a positive run in 2022! I guess more people in these times value what this asset has to offer (hint: it is clearly spelled in the name :-) )
What is funny is that despite having invested 4,000 Euro (a considerable amount for me), due to the market losses in the month I end up having lost 4,000 Euro of portfolio value vs March. I have reached a point where a 1.1% drop in value completely wipes out what I can invest in a normal month (around 2,700 Euro).
As mentioned at the beginning, dividends where very low - only Nike paid around 6.21 Euro.
That is it for now, let´s see what happens next!
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