1Mon·

How I beat the MSCI World by over 25,000% over 13 years

Part 5: Today (end of 2024) and conclusion


You can find the first part of my investment story (incl. background and TL;DR) here: https://getqu.in/JldknL/

The second part here: https://getqu.in/Ptei6g/

The third part here: https://getqu.in/sfTZ3P/

The fourth part here: https://getqu.in/d4GUta/


Welcome to the last part of my far too long investment story. But before that: Perhaps you've noticed that I've secretly switched the numbers? Originally, I was only able to beat the MSCI World by a paltry 21,000% and I was still imagining things. Due to the bull run since the publication of the first article in this series, I have now achieved an impressive and absolutely sustainable 25,000% 🚀


Restructuring the portfolio thanks to Kellogg's

The Kellogg's experience from part 4 got me thinking. I came to the conclusion that I would never trust individual companies enough to invest a significant amount of money. I also shied away from the effort involved in analyzing companies. But I trusted the global economy. I therefore decided to sell all my individual shares and move the proceeds into my ETF.


At the end of 2021, my ETF portfolio still contained a few niche ETFs, for example on AI or environmental protection. I also sold these at the beginning of 2022 and reallocated them to my global portfolio. Fun fact: You might think that I sold the AI ETF much too early as a result. However, the performance from the beginning of 2022 to the end of 2024 was so awful that it was pulverized by a simple world ETF - despite the AI hype. Another indicator that such ETFs are generally not recommendable.


In addition to my world portfolio, I made a conscious decision to keep two sector ETFs on IT and healthcare in my portfolio. I know that sector ETFs are evil. I really expect IT and health care to outperform in the long term. So far, 50% of them have worked out 😁. Only time will tell whether I will be right. At least the two ETFs are not so heavily weighted.


I continued with crypto. Here, too, I mucked out and sold just a few weeks ago with $HBAR (-5.38%) and $IOTA (-3.21%) my last two Shitcoins. My crypto portfolio now only consists of $BTC (-1.15%) and a small share $ETH (-1.42%). The rule still applies here: I keep hodling until it becomes life-changing or goes to 0.


I also dissolved nonsensical "forms of saving" such as pension insurance, endowment insurance, bonus savings from the branch bank, ... ... I originally wanted to use the money freed up as equity for my own property. But before that, I had to take another critical look at this potential investment.


A property for own use? No thanks!

If you remember the first part, you may remember that I actually wanted to buy a property for my own use and saved up a lot of equity for it. When interest rates rose in 2022, I started doing the math. You can find the results in my series of articles entitled "Own home or rent": https://app.getquin.com/activity/FoLdCxttXY .


For my region and the properties we are considering, buying is currently not worthwhile at all. We also don't necessarily want to live the homeowner lifestyle. We don't want to tie ourselves down to such a big lump, have to bear a greater risk and then have even more work. A home must therefore be financially worthwhile for us, otherwise it doesn't make sense for us.


As the home was written off for the time being, I started to shift the equity I had saved into my ETF. The theory is that it's better to invest everything at once. Looking back, it would definitely have been a much better option to put everything into Welt AG at once in 2022 - the $VWRL (+0.29%) was between 90 and 100 euros at the time. But you're always smarter afterwards, so instead of a one-off reallocation, I decided to increase my monthly savings plan first to EUR 5,000 and later to EUR 7,500 and gradually reduce my home equity. I started in 2022 and will probably need another 1-2 years until the equity is completely in my ETF.


As soon as the equity in my own home is at 0, the money I currently have in managed funds and P2P will also be reallocated. However, I will keep my Riester pension. It's also going well.


Today and in the future, I will only save in my ETFs. Crypto + ETF is currently enough diversification for me. But I'm not ruling out the possibility of adding a property or gold to my portfolio at some point. But then in an appropriate ratio to the rest of my portfolio.


And how does this gigantic return come about?

Through an unexpected Bitcoin rain. 10 years after the Mt Gox hack and the first total loss of my crypto assets, I was able to close the chapter in a reasonably conciliatory way. Shortly after the hack in 2014, some of the stolen Bitcoin was recovered. After a 10-year process, airmail from Japan, many ups and downs, ... the time had finally come in 2024: I got a fraction of my deposits back. Despite the gigantic price performance since 2014, it wasn't a life-changing sum. So I kept on hodling.


And that, together with my crypto investments in 2017, is what made this gigantic return, which is nothing but luck. I was early, in the right place at the right time and idealistic/stupid enough. This also becomes clear if you just run my crypto portfolio in the getquin benchmark against common indices. And that despite all the shitcoins and the associated losses:

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I was able to significantly increase my salary again by changing jobs. Over the years, I learned to sell myself well, to assess my value correctly and to negotiate hard. I also applied for jobs without need and was able to be selective. That was helpful. I was also always hard-working and had good references. And of course, I now live in a much more expensive city than I did a few years ago and have switched to an industry that pays much better (no, I'm not at $VOW (-0.49%) 😂). My gross annual salary is now around 150k, with all the trimmings. When I signed the contract, this gigantic sum humbled me. Especially since I started a good 15 years earlier with just 26k after my apprenticeship (see first part). But I tell it like it is: you get used to such sums very quickly.


But I still can't afford a higher savings rate. Now that I'm a dad, there are expenses for the child, financial compensation for mom, who is cutting back on her career, and soon costs for a larger apartment.


Conclusion

What advice can I give you? Get to grips with finances early on. Try something out. Treat yourself to something without throwing money out the window with both hands. Be crazy sometimes. Not everything always has to be rational. And most importantly: work on yourself, on your salary. Make yourself valuable. Perfect your craft and pay attention to what the job market is looking for. This is a much bigger lever than cashback, cheap food or a part-time job. And it increases your quality of life. I was able to increase my salary by around 12% per year on average. The $IWDA (+0.34%) can pack their bags.


Oh yes, of course you shouldn't blindly trust donkeys on the Internet or other dubious figures.


Kiss on the depot

Your donkey 💋

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61 Comments

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For taking the time to write 5 posts and yet no one knows exactly how filthy rich you are.

I wish you continued success and all the best for you and especially, of course, for my godchild.

P.S.: funny. The message "You have sent 21 coins to Satoshi Nakamoto" came up. That's right. After all, Satoshi could do with a few coins.
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@DividendenWaschbaer Godson is doing well again so far. Was in hospital for a few days. Was attacked by a raccoon
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If it was around 200k at some point in 2019, then apparently around 1.3-1.7 million today. Not bad at all.
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@wealth_strategist_196 the good @Europoor has already speculated, but thinks I'm much poorer. Come to an agreement
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Thanks for sharing dear Donkey 🙂 .
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@christian Thank you for sharing your coins, dear Christian 🚀
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Great job. I'm 15 and have a portfolio worth €4,000 and a profit of over €1,500 in a year.
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What I take away from this post is to buy a lot of $DOGE and $SHIB. Thank you for this enlightenment! Then increase my salary and invest more in $SHIB and $DOGE #Hustleculture
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@SchlaubiSchlumpf As always, you have demonstrated your razor-sharp mind
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@SchlaubiSchlumpf But at least with a 50 mm lever!
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Merci! Your posts have really entertained me over the last few weeks. I always find it exciting to read such stories. @Barsten has also published such a series and I hope that there will be a sequel or an update at some point. In any case, I wish you and the donkey family all the best for the future. 🍀🥕
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@Ash Thank you very much for reading and for the coins. Yes, unfortunately I couldn't keep up with @Barsten (except maybe a bit with my first two parts) but that's just too wild 😜
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@DonkeyInvestor It doesn't always have to be a blockbuster. 🍿🎥🎬
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@Ash but can
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One of the few cool users here 👀🤍 good luck to you and your family 🤝🏽
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@SharkAce Thank you, you too.
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@Lorena ey you can't spawn every time I comment somewhere.

You need a getquin limit 😂
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@SharkAce I got a notification that you commented Hahahah
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@Lorena but why?💀 is the contribution from the donkey?
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@SharkAce because I also commented beforehand. Then you get a notification
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@SharkAce He is still alive :)
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@Lorena schmautz. Stalking is nothing good
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@Europoor I haven't seen the red head in ages 😂 have you? Here?
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Unfortunately I don't have any coins for you.
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@Lumimyrsky Just like Heidi Klum😂
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@Lumimyrsky then please buy some. Or write posts with over 500 characters. Don't make such a fuss.
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If I had GQ Money, I'd give you some. Clever ass!
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@Lorena Should I send you some and you send them back to me? Otherwise you can also ask your rich friend
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@DonkeyInvestor that's a very good idea, you'll definitely get the coins back! Oh, he's got nothing left for me
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@Lorena he should be ashamed
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@DonkeyInvestor she has already taken everything away from me! Help
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@leveragegrinding she should be ashamed
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@Lorena Should he be ashamed?
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Nice contribution!
At what Bitcoin price does a life change begin for you?
You must be close to it by now.
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@-Richard- as soon as I can afford a property in a major German city for a maximum of 75% of my Bitcoin. There's still a bit missing 😭
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Just read all 5 parts - thank you for the detailed account of your very exciting personal story!
I too have lost coins on BTC-e since 2013 (and missed WEX).
Good luck for the future! 🚀
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@PrioFreedom Thank you. How did you get on with crypto then?
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@DonkeyInvestor Back in 2013, I put together a $BTC mining rig and ultimately scrapped the plan (electricity costs versus my expectations of price performance at the time), unfortunately sold most of the BTC after around 2 years... Then started accumulating altcoins, first LTC and ETH, later others such as Solana and Avax, occasionally participated in NFT projects such as STEPN, but ultimately burned more money than I gained in this area due to bad timing. I then sold everything except BTC, ETH and Solana.

BTC has now been running regularly in the savings plan again for around 3 years (with hindsight, of course, too low a weighting 😄), which I will continue to run and expand where possible depending on my income situation.

If there's one thing I won't do again, it's to sell BTC - unless a partial sale would make me financially independent or I would "de-save" if necessary. However, this exit strategy is probably still some way off and has not been finalized 🚀
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@PrioFreedom sounds like a good plan and a tough learning journey
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Such a cutie. Really thanks for the post 🚀
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Thanks!
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Such feel good stories among investors fulfill me 🤩
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You're a real donkey.

I didn't think you were such a hard-working boy, probably because it didn't fit in with your getquin behavior. But now that I know, it's actually quite good.

As far as I can tell, you're a fine fellow, congratulations on making a lot of the right (life) decisions.

It's only the eternal BTC hodling that I find questionable; after a certain market cap, partial participation makes sense for everyone. And if it only buys the dream car, that's just the way it is.

And now good night
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Interesting story and beautifully written. Your story should actually be published in a widely read stock market magazine. So that young people can invest more courageously and confidently without the fear of a price drop. Good luck to the "donkey".
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Very nice post, thanks for sharing
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do you work full-time? reading this makes me think that you are not a donkey but a hoss
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