The “Bulletproof” portfolio!

The “resist all storms” portfolio. The SGBC portfolio.

I’d like to show that there are of course a different strategy of investing out there than the one I am using. For the more timid investor out there I would suggest using the bulletproof portfolio. In simple terms, this portfolio should perform well in all type of market conditions, no matter if the markets are going up or down.

How is this possible you ask? Well, the portfolio is divided The SGBC portfolioin four equal parts. The first consist of Shares, the second part is Gold, third part is Bonds and final part is Cash. In short the SGBC portfolio.

By dividing the portfolio into these four parts you should get parts that behave differently and independently from each other. For instance, shares do very well when the economy is going up and the market is bullish. If the market and economy turns downwards, gold and silver usually does a lot better. When one part becomes bigger then the other parts, you will re-balance the portfolio and use the profit from one group (Sell high) to buy into the other groups (buying low). It makes it easier for the beginning investor to create a “safer” portfolio that leads to a more stable value increase curve. Continue reading

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Which basket should you put the eggs in?

How do you diversify your investments?

The first step in investing is understanding what type of investments are available out there. It can be different depending on where you live and what kind of income you have. Although, in today’s market you will have a lot of options, some would even say limitless amount of options.

So what kind of investments are there? If we try to summarize the most popular and common ones you have, Shares, Gold, Real estate, P2P lending, Bonds, and even Art. The goal with investing for me, and for all of us, is to find an asset that will increase in value.

These forms of assets are well-known and most recognized as investments in the financial market, but there are other ways of investing in things out there. For instance Bitcoin and other electronic currencies. For now, we will focus on the main investment tools out there. Continue reading

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My net worth March

So another month is over. March was cold and a bit uneventful on a personal level, other then a nasty cold that’ve kept me from working out the last two weeks. Alot happening at work but that’s for another post. Let us see how I fared money wise and if things are moving along the right way.

Assets. 
1. Apartment – 2.200.000 SEK ( 275.000 USD), No real change this month, trying to stay conservative even though the Real Estate market is blowing up in Sweden.

2. Cash – 48.600 SEK (5.720 USD), saved another 5.600 SEK this month.

3. Stocks – 222.000 SEK (28.125 USD), markets are going up and down this month – 3.000 SEK. April should bring some dividends for last years results, so I’m excited to see how much it will be. I estimated that it’s slightly above $1.000.

Total Assets: 2.470.600 SEK (308.825 USD) Not a huge change here, but atleast it’s going in the right direction.

Liabilities

1. Mortgage – 1.836.388 (229.500 USD) Monthly amortization of 2.200 SEK.

2. P-loan – 26.668 (3.333 USD) Monthly amortization of about 800 SEK

Total Liabilities:  1.863.056  (233.437 USD) Lowered another 3.000 SEK this month.

My net worth: 607.544 (75.943 USD). I increased my Net Worth this month with almost $1.000. It’s been a slow month. I hope to have added to this nr a lot more than I have so far. I think next month will be worse actually. The month includes an easter trip down to my family and friends. Also, I have plans to start renovating my apartment. That will cost me quite a few bucks. Even though I plan to do most of the work myself. I don’t mess with the electricity though. Stay tuned for an exciting renovation project.

Easter starts after today so I want to wish you all a happy Easter. May the easter bunny bring you lots of candy (That’t the Swedish tradition, I think we consume about 4 pounds/2 kg of candy during this holiday).

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The Liebster Award! My oh my.

Wow, The Liebster Award. First of I would like to thankLiebster award Chasing Gains for giving me this nomination and a chance of answering his questions. I love the fact that this PF blog is able to connect me, a Swede, to another finance blogger that lives on the other side of the globe in Australia. He is a young Australian that will share his interest and gains in both finance and fitness. You should definitely check him out.

The Liebster award is given between blogs to help new blogs introduce themselves and find a network of like-minded blogs. After a quick google search I found out that it’s believed to be a German blog that started it. Which makes sense since Liebster mean dearest in German. Also, there are a few rules that apply which I “borrowed” from Chasing Gains).

Liebster Award rules

The rules are simple:

  • You are to share 11 facts about yourself so readers can get to know you better.
  • Mention has to be made to the person that nominated you;
  • Answer the 5-11 questions that were asked by the person that nominated you;
  • Nominate another 3-5 bloggers to receive the Liebster Award and ask them 5-11 questions;
  • Let your nominees know either by leaving a comment on their blog, sending them an email, calling them out on social media, etc.

11 Great things about me:

  1. I love American football. I follow the NFL whenever possible. It is not that easy to follow from Sweden as it’s not a usual sport here at all. Although, it is growing in popularity, slowly. I also found college football to be as much if not even more entertaining as the big league.
  2. I have studied abroad in China for a semester. I had an exchange program in my university college that allowed me to go to Ningbo University in Ningbo, China. It was an amazing experience and a completely different culture. I really want to go back and see more of China. I don’t even think a year would be enough to see all of China.
  3. I’m from the country side I grew up in a rural village in the south of Sweden with just a few neighbors. I spent the first 18 years of my life there. The idea is to one day hopefully go back there and maybe spend some retirement years breathing the fresh air and enjoy the wildlife. But for now the big city is where I want and need to be.
  4. Trying to learn Spanish, I would love to spend more time on the other side of the Atlantic and I’m trying to learn more about the language that most countries in South America use.
  5. I’m a chocoholic, I guess the first step of recovery is to admit that you have a problem. I just love chocolate. I’m grateful that I like running and hitting the gym as well. 
  6. Another guilty pleasure of mine is to listen to Funk and Motown.  I enjoy that old school as much as the latest single by Avicii.
  7. I’ve started an unhealthy taste for great wine. It would be so much cheaper for me and my gf to not enjoy wine as much as we do. Although, I do believe in indulging oneself every now and then. Australia has a lot of great wines as well. 
  8. In one of my previous jobs I worked at a brewery. I loved it. I worked in the finance department and had a great group of colleges. The best part was that in the office lobby there was a bar for the employees, which I might have spent a couple of hours at every other Friday. One day I would like to have my own beer. Maybe create a small micro brewery or start-up. 
  9. I’ve taken up sailing. Last summer I tried sailing for the first time ever. It was amazing, even though the first day of sailing the winds were too strong and the boat felt like it would capsize. Imagine sitting on the side of a boat that is tilting at least 60 degree angle. I guess that’s like starting by jumping in at the deep end.
  10. I have a goal of travelling to all Continents. I’ve currently been to four. Europe, Asia, Africa and South America. I thought I would have ticked of North America by now??
  11. Want more time and space for carpentry. I really want more time for my hobby that I started last fall. Trying to build things by yourself gives a feeling of accomplishment. There’s just not enough time for it at the moment. Nor enough space in my apartment.

Questions from ChasingGains:

1. If you could move to any part of the world right now, where would you go and why? That’s easy. Australia of course!! i would love to visit down under and experience everything the country has to offer. If it wasn’t for all the deadliest animals and critters in the world I’m sure I would have gone already. Quick question, is surfing anything like snowboarding? 😉

2. Favourite activity to do on weekends? Whenever I can find time to I would work out or go for a run. There are so many “have to” and “should do” that gets in the way. So whenever I can put my headphones on and go for a run I’m excited.

3. You win $10 million in the lotto, how do you spend, save or invest it? I would invest $6 millions, (3 million in dividend stocks, 2 million in Emerging markets like Turkey, India, Brasil if they get their act together, and finally 1 million in short-term bonds). $2 millions would be funny money that I would spend on travel, houses, cars, sailing, diving, and other more expensive habits. The last $2 millions I would share with family and give to a good cause.

4. Favourite memory as a kid? That’s going to be the Christmas I spend at my grandparents house. They live a bit north in Sweden and it was always the classic snowy white christmas with great food and of course the gifts. I would love to create the same type of tradition for my own future family.

5. Why did you start blogging? It’s something that’s been on my mind for a while now. i already read a lot of personal finance blogs and got very inspired by their writing. So finally after some contemplating I wanted to share my journey as well and hold myself accountable for the goals I have.

6. What is your favorite place that you have visited? Marocco in Africa. It’s an amazing country with a whole lot to offer. A lot of sand too…..

7. If money wasn’t a factor, what would be your dream job? Retirement of course!! But if I have to pick something to work with in the future it would be property developer. Not just developing one building but to transfer a city block into something beautiful and being responsible for changing something that would last a lot longer then myself.

8. What is your overall goal in life? Other than financial freedom, which is my main goal. It would be to find my place in the world, raise a happy family and give back as much as possible. I would love to leave a legacy of some sort. The question is just what kind of legacy. (Insert evil laughter here).

My nominations:

I nominate FervantFinance, A man of my own age and working in the same field as me. I enjoy his post a lot and so should you.

There is also Lifestyle Accountant that I would like to nominate. Mr Lifestyle has an interesting blog where he shares his love for credit cards and escape from his cubicle. I hope he will share even more interesting facts about himself.

My questions:

  1. What’s the long term goal with your blog?
  2. What is one thing you’re really good at?
  3. What is one thing that you really dislike?
  4. If there is a heaven and god himself greeted you at the pearly gates, what would you ask him?
  5. What is the best prank you’ve done or experienced?
  6. If money and time wasn’t an issue, where would you spend New Years Eve 2020?
  7. If money wasn’t a problem, what would you spend your time doing?
  8. What’s the best advice you’ve ever received?

This was a fun post to write. I hope you got to know me a little better and that you enjoyed it as much as me. Happy April’s fools everyone!

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Power vs Money!

Now I want to finish this week by bringing in Frank Underwood from House of Cards. I am completely addicted to the show and the character that Kevin Spacey portraits in this awesome TV show.

I definitely believe that money is a means to an end. It’s like a tool, one of my favorite tools for sure, that you use to hammer thru to financial freedom. For some that goal is different, I want to buy time, Frank Underwood wants power. Question is, what do you want? Will you leave a legacy? Have an awesome weekend!

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Income vs Expenses

CaptureA lot of focus is put on expenses and how to save your money by creating a budget and cutting costs. “Follow these 10 steps to cut your expenses”. “Having a cheaper life”. “How to travel cheap”. Don’t get me wrong a lot of what is preached is great. I try to have a budget and follow-up on my expenses to find out what holes I need to plug and stop spending too much. It’s actually a healthy if not a cleansing act to create your first budget and then follow-up what you’re actually spending your hard-earned money on. Food and entertainment is usually the crook that goes away with a larger part of your income (after rent, mortgage). Finding out that you spend $300-500 on take out food every month is a harsh wake up call.

That is one part in starting your new journey to financial freedom. Finding these money holes and plug them with a new life style. I bring food from home to work now and cook a lot more at home. I also don’t eat out in restaurants that often. The gf have her complains about this and we will of course not be able to go cold turkey and stop completely. Although, friday night is not always a night out with dinner at a fancy restaurant, more now it has become friday night pizza where we make our own pizza and share a bottle of wine. It’s actually my new favourite thing. I love that friday night pizza. It’s a nice reward to end the workout week with (I try to exercise between 4-5 times a week) and it taste amazing.

Back to keeping track on your expenses. We have a bunch of software out there to help us, like Personal Capital. Something as simple as an app in the phone will track your expenses. Even my banks app has its own expense follow-up that can categorize 90 % of my expenses all by itself. I really enjoy these small built-in IT solutions and I am glad that even my bank know how important it is. The other app I use is Tink. It’s an app that is connected Tink showing a graph.to your bank and helps with not only tracking your expenses, but also creating a budget in the app and warn you when you are going over budget or getting close to it. it has even more features that I won’t go into (And no, I am not sponsored in any way for this). Software like this, easily available in your smart phone, makes it impossible for you to come up with an excuse for not having a budget.  Continue reading

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Goals for 2015


This blog just came about to fulfill a life goal of financial freedom. The freedom from working 9-5 work weeks, that often include overtime. The freedom to leave the corporate world and work for myself. The freedom to help me and my family to do whatever we want to do. In other words, own the time I have in this life and not waste it.

For this post, I want to specifically look at the year 2015. I definitely think that all of us should set goals for the year and if you haven’t, start today. It’s never to late to start.

The best time to plant a tree is 10 years ago. The second best time is today. 

Setting a goal is a way to keep myself accountable to myself, but posting it online will make me accountable to you too and if nothing else its human nature to not want to disappoint. It will help motivate me and work harder to achieve these goal. 

My goals are meant to develop and challenge me. Setting simple goals will be easy to complete but feel less fulfilling. But if you set a tough goal, you will grow as a person, learn more about yourself, test yourself, and even if you fail and come up short you will have come much farther than you were before.

Now I have a huge interest of finances, which you will discover thru this blog. So of course there will be financial goals for 2015. However, the finance part of life is not everything  here in life (hah, see what I did there?). I want to have a healthy lifestyle and try new and different things. Therefore, you will see a lot more goals below that I will attempt to accomplish. I challenge you to not only come up with tough goals but in areas you might not have thought about before but always wanted to try.

Onwards to the goals for 2015:

  • I want to increase my stock portfolio’s value with 150.000 SEK to 320.000 SEK. That’s roughly 38.000-40.000 $ in total (Wow, the value of the dollar is crazy right now).
  • I want a net worth of 850.000 SEK at the end of the year. (Roughly 95.000-100.000 $)
  • Find a new job. (I don’t feel motivated or challenged at work anymore)
  • Bench press 100 kg (about 220 lbs)
  • Run a 5 km in 22 min or less and 10 km in 50 min or less.
  • Learn salsa (what?)
  • Learn Spanish
  • Travel to London
  • Travel somewhere outside of Europe
  • Consistently blog for a full year.

That’s about 10 goals that I would like to accomplish this year. Tell me your goals for the year. Let me know if you have similair goals and lets challange eachother.

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