15 Jan 2013 5 Comments

Case Study #2 – January update

Not too much happened so far this month; still setting up their investment goals for the year and their target asset allocation.

2013 Investment Goals

  1. Max out TFSA contribution – $5,500
  2. Any remaining money will go into RRSP

Target Asset Allocation

Canadian equities: 30% (XIC)

US equities: 25% (VTI)

International equities: 25% (VEU)

Canadian bonds: 20% (XBB)

Current Portfolio (as of December 31, 2012)

Accont Holding Shares Market Value
TFSA XIC 852

$16,690
Cash

$4,120
RRSP VEU 252

$11,530
VTI 193

$14,140
XBB 277

$8,690
Cash

$2,580
IA T 18

$1,170
Total

$58,920

 

As it currently stands, their asset allocation is as follows:

Canadian equities: 30%

US equities: 24%

International equities: 20%

Canadian bonds: 15%

Cash: 11%

Dividends

I will continue tracking their dividends throughout the year as well.

2012: $928.33

Notes:

As a result of their December dividend payouts, they acquired an additional share of VTI and 2 additional shares of VEU!

They will make their full TFSA contribution of $5,500 this month, and then wait to do their RRSP lump sum amount once they complete their taxes and determine what amount would be the biggest bang for their buck.

They have also decided to include some XRE in their asset allocation this year, so going forward, this will be reflected in their new target asset allocation.

Readers, what do you think? What are your 2013 investment goals?

Thanks for reading!

by Vicky in Case Study 2, Level 4: Investing