2024 has started off well in terms of investment returns.
Continuing on the momentum of a 40+ % return in 2023, the first quarter of 2024 has provided a return of 18.5% for my investment portfolio.
2024 Performance YTD
My Portfolio: 18.5%
Vanguard 500 Index: 10.52%
Performance since inception (Jan 2021)
My Portfolio: 41.9%
Vanguard 500 Index: 45.6%
(Based on an arbitrary starting amount of $10,000)
After the lacklustre performances in 2021 and 2022, my portfolio has been steadily increasing at a faster momentum than the market index since hitting the bottom on Sep 22. Based on performances over the past 39 months, my portfolio is finally catching up with the market index. If the momentum continues, I am positive that my portfolio will beat the S&P 500 index by the end of the year. This could be phenomenal for me as I could have documented a journey which shows how my portfolio beats the market index over a 4-year period.
For an overview of the YTD performance of the constituents in my portfolio, refer to the below table.
Bitcoin is the biggest contributor to the Q1 returns again. There is no surprise here as the Bitcoin price breaches its ATH again and again in March. While a slight pullback has been made, it's also expected that a new ATH isn't too far away as the halving date draws nearer. I think we might see another ATH in Q2 again. BRK.B has a great Q1 performance in the stock market too. Berkshire Hathaway posts it s largest annual profit of $130 billion in 2023. BRK.B has been a major constituent in my portfolio and I have intentions to continue growing its weightage in the coming years. URTH has a comparable performance with the market index- a similar performance we have seen over the years as the U.S. stock market becomes more and more dominant. China stocks continue to disappoint. I am not sure when I can stop lambasting the China stocks but I don't think it will be any time soon. They have been dropping since 2021 with double digit negative returns annually since then. Even 2024 doesn't seem to be the turning point for the China stocks so we might really be witnessing the lost decade in China as it unfolds.
I made some tweaks to my portfolio early this year with heavier weightage towards URTH, BRK.B and SHEL and lower weighting towards MCHI and BABA. This proves to be a good move so far as I gain an additional 1.5% return from these changes.
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