Net Worth Update – June 2016

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2 Responses

  1. ADI says:

    Hi Tom – whats the difference between fixed interest (in your “Fixed and Cash” component), and bonds (in your “shares and bonds” bucket)?

    The GFC messed with my risk aversion too, but ultimately I just had to tell myself that I’m in it for the next 30 years. My equity portion is basically 100%!

    • tom says:

      Hi ADI – I am sure many things I do would drive accountants nuts. The main difference is how they are purchased, and when/how they pay me. So fixed interest is term deposits, and Bonds are ASX listed bonds. Currently we don’t own any unlisted bonds, and I don’t believe we own any fixed interested bonds (they are all floating rate). So for the moment that is a nice easy distinction. It may become more complicated once/if unlisted and/or fixed interest bonds enter the picture.

      And its good to know that your “in it for 30 years” thoughts are winning over any GFC wounds. In 30 years time I think there would be nothing worse than looking back to see what was missed (even with future down turns) from being too conservative.

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