|Dec. 31. What a Year! First, though, December: I gritted my way through the month and battled to a 0.2% S&I rate. This actually does count as a victory in light of my earnings pattern post-July and the always challenging earning environment in December coupled with elevated expenses. The immediate effect of this month's performance is that I avoided further drawdown on my investments.
The Jamaican Stock Market (cited by Bloomberg as the top-performing market in the world this year) continued to perform spectacularly well, accounting for yet another month of robust NW growth.
The Earnings malaise of the last five months notwithstanding, 2015 was a truly excellent Personal Finance year for me: In Jamaican Dollar terms my NW increased by 74.33% over last year and by 287% of 2015 Job Income. After allowing for currency depreciation against the USD, NW was still up by about 65% - over US$ 240,000.00 for the year. My Job Income, though falling short of my very ambitious target, actually recorded an all-time high by some distance and outstripped 2014 by 17.93%. My S&I rate returned to an acceptable level after 3 years in the wilderness, just creeping past my benchmark of 40%, at 40.63%. That was a source of huge relief particularly in light of my Post-July struggles. Passive Income handsomely exceeded my target of US$15k for the year, coming in at $18,782.86.
In the latter part of the year, I took huge profits from the sale of stocks held in my "Opportunistic Account", fully funded the deepest layer of my Personal Finance cushion in the form of a Fixed Income Fund and started my Social Entrepreneurship Fund. I overshot my target for the purchase of 2 stocks in my "Buy-and-Hold" Account. I held back on the purchase of the other 2 stocks in that Account targeted for increase in 2015 as their prices became unattractive. I, however, have sufficient funds in my brokerage Account to take advantage of any price retreat, and will continue to transfer the usual monthly sum to that brokerage Account and await the right buying opportunities.
My USD holdings increased significantly over the year, more than doubling target. This was due partially to the sale of a stock to an International Company and partially to significant USD earnings in one matter in July. This latter fact, along with a 17.86% over-budget spending and significant Earnings decline over the last five moths of the year are the reasons behind a complete absence of JMD liquidity - the only blemish in a truly outstanding year.
I turn 45 in 2016. I have long regarded this as a watershed age on my journey towards Financial Independence. While not all numeric targets will be met, I believe things are generally moving in the right direction and I'm frankly quite excited about the next six months. I am in the process of putting in place Revenue- protection and enhancement measures and will continue to strive for a near 100% core value-consistent spending in 2016.
THE VERY BEST TO ALL. PEACE.|