March Portfolio Update
Updated: Apr 17, 2022
Here's an update on the portfolio's performance. If you have missed my portfolio review for 2021, please check it out here.
2022 Performance YTD
My Portfolio: -3.09%
Vanguard 500 Index: -4.63%
Performance since inception (Jan 2021)
My Portfolio: -2.27%
Vanguard 500 Index: 22.55%
What a rollercoaster ride it has been for March. The US market was on a steep drop in the first half of March but it quickly recovered in the second half of March to end the month on a gain. It's the first month of the year where the US index has a positive monthly return. Both January and February ended in the negative territory. It's interesting that the market actually rebounded one week after I wrote this article. In the article, I highlight a few indicators that I have been following which shows that the market has been oversold and may have been on the road for a technical rebound. The rebound happened shortly after but I will say it is still anyone's guess how the market will continue to perform in the short term with the rate hikes. What's also equally worrying is the inversion of the yield curve that happens in the last week of March. An inversion of the yield curve tends to signal an upcoming recession. The last time the yield curve inverted in 2019, a temporary recession did happen in 2020 though it's probably due to COVID. Let's see what happens this time round. I run an interesting poll on this in my Telegram channel. You might like to check it out and join the channel.
(Source: Portfolio Visualizer)
3 constituents (MCHI, ARKK, ARKG) of my portfolio have three negative months in a roll in 2022. The drop in the China market never seems to stop with the broader index (MCHI) even facing a nearly 10% drop in March. It's interesting that Alibaba has a positive return in this month even though MCHI has a near 10% drop. Oil is obviously doing very well in Q1 of 2022 with three consecutive months of gain. The same goes for BRK.B which focuses on value stocks. Bitcoin has been moving sideways and I personally feel that this period is rather good for accumulation.
I'm expecting a rebound for the China market and technology stocks in the months ahead as they are definitely way oversold.
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