njrookie's random thoughts

A collection of my posts on investment, trading, and life...
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2014 is a tough year

(2014-12-31 21:00:24) 下一個


After trading almost fulltime for 5 years, started the year with a 7-figure active trading account for the first time. A combination of over-confidence and change in exchange rule costed a huge drawdown (>1/2M) in a matter of three days around end of Jan. Have to take out another 200K to close on a couple of SFHs. Humiliated, humbled, and determined to recover the losses after that. Stayed ver focused for many months. Traded Oct wave almost perfectly and went back to positive in trading account at end of Nov. Relaxed a bit and give back a little bit in Dec and ened the year flat in trading account.

Lack of funds from trading slowed down RE expansion in FL. Added three SFHs and three THs. Finally reached double-figure in property counts. Received tremendous help from the forum, NJ-FL in particular. Not enough passive rental income to replace one W2 income yet, but the tax benefits are significant. If you trust zillow, then the amount of capitial gains over the last 1.5 years (when we started the purchase of rental properties) have been 20%+. 

Networth increased by 20% or so in 2014, mostly comes from investment property appreciation (50%), 401K capital gains (25%), and additional savings / retirement account contribution (25%). Despite the slowdown, still on track to reach the modest goal for financial independence.

Overall, 2014 is a rather dissappointing year. Slowest speed of wealth growth in the last five years. Hopefully new year will bring a new spirit. in 2015, need to tighten risk management, including possible downsizing trading account. Also need to spend more time with the kids and chicken. Do not stretch the frontline too long and too thin. Need to wait things to come to me, instead of aggressively pursuing things. 

Wish all TT brothers and sisters a prosperous 2015.
Just my 2c.

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AMYMINT 回複 悄悄話 the most interesting sentence is "need to spend more time with the kids and chicken"

wish you better 2015 fortune journey!
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