Year in review & outlook 2022: Was it good? Was it bad? Or somehow a little bit of everything?
The year 2022 is my 9th year in the stock market and it was definitely not an easy year. Between inflation, war, tech crash and energy shortages, I had to maneuver my portfolio.
And yes, in the process, I met my goal (200k by the end of the year) this year not reached.
Depending on how the remaining days go, I will be missing something between 10 & 20k.
So we start with the bad news:
- Target 200k not reached
- Annual performance is at approx. -15%
- My performance was always rather above the market in the last years, this year I could not not keep up with the market
- Among other things, this was of course due to a high proportion of tech (both big and small tech).
- In addition, in 2021, I was caught by Crypto spoiled (especially by the Crypto.com Coin), here unfortunately many book profits have dissolved again
- The bottom line is that for 2022 after many years once again a stock market year with losses at the end
-> My worst investments in 2022 were:
- Match
$MTCH Tinder, unfortunately, burned up more like a hot coal this year -> -62% - Meta Platforms $META Probably doesn't need much to say about it -> -59%
- Ethereum $ETH Overall, I'm still at a doubling though -> -54%
- Shopify $SHOP -> -54%
- Atlassian
$TEAM -> -49%
It feels like the bad news outweighs the bad news after a year like 2022.
However, if you take a closer look, you can easily refute that. Therefore, here is my (significantly longer list) of good news:
- First, the most important: Corona is over! Yes, Lauterbach sees it differently for sure, but for me in my life it doesn't matter anymore. Whether vacation, going out to eat or to the movies. I feel free again.
- This year I bought a condominium as an investment. I was still able to secure the financing at a super favorable interest rate of just over 1%. Here I expect another boost for my personal finances
- At work I have an important promotion received
- In total I could invest this year invest over 30,000 euros this year
- My dividends could almost break the 2,000 euros this yearthat is a jump of almost +60% compared to 2021
- In addition, there were also many other, private highlight this year
-> My best invests in 2022 were:
- Lockheed Martin
$LMT For sure due to sad circumstances, nevertheless this year my best invest -> +49% - Amgen $AMGN Health was the driver in my portfolio this year -> +29%
- Encavis $ECV Profits as a renewable energy producer massively from the current upheavals -> +18%
- Pepsi $PEP Safety was trump this year, that's why even a boring like Pepsi can be found here -> +17%
- Johnson & Johnson $JNJ And another boring one from the health care sector -> +13%
Outlook 2023:
So what's next for the new year?
- As soon as the condominium is ready for occupancy, I hope for reliable rental income and thereby a 3rd source of income besides my salary and dividends.
- The 200.000 Euro in the first quarter of 2023.
- By the end of 2023, the quarter of a million is the (ambitious) target. For this purpose, I consider my total (net) assets including the condominium minus debts.
- To reach the goal, a positive stock market development is important in any case. For this I assume an positive stock market year and an average return of 6-7%. on the stock market.
- My pure capital assets I would like to increase in the next year to approx. 220,000 Euro (cash, securities, crypto, BAV,...)
I will not change too much in my portfolio in the coming year. With $META and Atlassian $TEAM 2 tech stocks will leave my savings plans, but will continue to be held in the portfolio.
Probably the positions of Deere $DE and Eli Lilly $LLY will be taken over.
BASF $BAS and Teladoc $TDOC are still on the sell list. However, these are small positions, so I'm waiting for better prices here (especially with BASF, Teladoc is only a few hundred euros, I'll just leave that).
Gladly year-end feedback on my portfolio. What would you change in my portfolio in 2023? And what do you change in your portfolio?
And the most important thing at the end: Sooner or later the portfolio will run again. I'm already looking forward to the next year with a +25%, whenever that will be then ;)
