Balanced Portfolio 2021

I took a few minutes this week to go over some investments I made over the past 12 months. Unsurprising to anyone reading, 2020 was a good year for investments. The stock market did very well, alternative assets like cryptocurrency did very well because of some more wide-spread adoption and many people feel it could be a solution to some concerns about inflation. I don’t get it.

I have about 12 different stocks, all companies that have solid products and great management. I also purchased some cryptocurrency as a more speculative part of the portfolio. If there is a significant run-up in value, I will be pleasantly surprised. If I have $3K in bitcoin in the beginning of 2020, I would have between $35K-$40K right now. Pretty surprising.

Portfolio Diversification

I kick myself whenever I look at stocks like Amazon that were solid companies ten years ago and have been great investments over the past ten to fifteen years. If I had just taken $50K and put it in Apple or Amazon in 2004, I could’ve just sat by the pool for the past decade and would be a multi-millionaire. It makes me think that I should leave the serious thinking to people who are better at it than me and just create a much more simplistic approach towards my finances over the next decade.

I am also spending some time on growing the value of my own company, and my home, two assets that have the most value right now. I’m working on home improvement projects. I’m also spending a lot of time refining what it will take to reach goals with my company that will increase the overall value and hopefully be my ticket to retirement, soon.