2024 was an exceptional year for me on the stock market. With an initial portfolio value of € 25,854.15 on January 1, 2024 and an impressive final value of € 49,403.99 on December 31, 2024, I almost doubled my capital. This success is also reflected in the performance figures:
- Initial portfolio value: € 25,854.15
- Final portfolio value: € 49,403.99
- TTWROR (time-weighted return): 24,91 %
- Internal rate of return (IRR): 25.67
- Price gains: € 6,979.27
Change of strategy: focus on ETFs
Over the course of the year, I made an important change in strategy. My previous investments in dividend-paying individual shares were gradually reduced and the focus was placed on ETFs, in particular the S&P 500 and the FTSE All-World. This decision was based on the realization that no private investor can consistently beat the market with individual shares in the long term. It therefore makes more sense to match the market performance - with the help of broadly diversified ETFs - rather than lagging behind expectations.
In addition, I have diversified my portfolio with gold and Bitcoin to minimize volatility while benefiting from alternative asset classes. This mix of traditional and modern investments has proven to be a stabilizing factor.
Largest positions
- S&P 500 $VUSA (+0,08 %) : 18.294 €
- FTSE All-World $VWRL (-0,01 %) : 5.897 €
- NVIDIA $NVDA (+4,16 %) : 3.104 €
Top Mover
- Walmart: +79 %
- NVIDIA: +78 %
- BlackRock: +28 %
Dividends
Although dividends are no longer the focus of my strategy, I was still able to record €794.18 in dividend income. Although the original goal of generating € 1,400 in dividends was not achieved, it is no longer very relevant due to the new priorities.
Goals
Much more important was the overarching portfolio target of € 40,000, which was clearly exceeded with the final balance of € 49,403.99. For 2025, I plan to invest at least € 11,160 in new money. My aim is to actively manage the invested capital, as the portfolio value itself is determined by the market. From 2025, I will only invest in the S&P 500, gold and Bitcoin on a monthly basis via a savings plan.
Conclusion
My stock market year 2024 was characterized by a conscious and successful change of strategy. The focus on ETFs as underlying investments, coupled with the addition of gold and Bitcoin, proved to be the right decision. The impressive performance of the portfolio shows that a long-term, diversified strategy can not only bring stability, but also substantial returns. Special thanks go to @Epi who advised me to add $WGLD (+0,46 %) gold $BTC (-0,96 %) Bitcoin to my attention.
Your hard-earned money deserves nothing less than perfection. At best, always buy a broadly diversified ETF. I look forward to 2025 and am excited to see how the journey on the financial markets continues.
