Case Study #3 – July update

With 12% cash remaining after my purchases at the end of June, I was watching the markets all month to add to their position, but it kept going up!! I also knew that they were planning on making some more contributions before the year is out, so I just finally purchased what they were short with today – which is what I originally agreed to do with them. I should keep my “timing the market” to my accounts only, hey? :) The purchases will be reflected in the August update, so I will continue with their (quiet) July update.

2013 Investment Goals

  1. Max out TFSA contribution – $5,500. Completed!
  2. Any remaining money will go into RRSP – $19,750 to date

Target Asset Allocation

Canadian equities: 30% (XIC)

US equities: 25% (VTI)

International equities: 25% (VEU)

Canadian bonds: 15% (XBB)

Canadian REITS: 5% (XRE)

Current Portfolio (as of July 31, 2013)

Accont Holding Shares Market Value
TFSA XIC 1,099

$21,680

XRE 305

$4,670

Cash

$30

RRSP VEU 255

$11,810

VTI 255

$22,290

VXUS 180

$8.610

XBB 277

$8,380

Cash

$9,230

IA T 36

$1,140

Total

$87,840

 

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

Canadian equities: 26%

US equities: 25%

International equities: 23%

Canadian bonds: 10%

Canadian REITS: 5%

Cash: 11%

Dividends

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

January: $125.52

February: $22.89

March: $54.94

April: $313.70

May: $0

June: $486.71

July: $42.49

Notes:

Since the last update, they were able to DRIP 1 additional shares of XRE.

I added to their Canadian equities as well as their Canadian bonds, even knowing that interest rates are going up. I basically had to remind myself that even though it is increasing, the government will keep a close eye on it as not to stagnant the economy too much, so the next couple years will be interesting for the bond environment.

What do you think readers?

Thanks for dropping by!