Phantasmix Stock Market Blog

This is the year end result of my hypothetical portfolio I started on May 1: -1.3% (including dividends).

It’s not especially spectacular or particularly bad, but it is much worse than the Canadian, American and EAFE markets did. In addition to the negative performance, had I actually bought these ETF’s, I’d also be hit with a tax bill for the distributions. Here’s more information on this topic.

Overall I’m unhappy with this passive portfolio. If not for these distributions I would give this setup a chance and track it for at least a couple of years longer. However this complete lack of control over the buys and sells of holdings within the ETF – and tax implications of this – makes me want to continue stock picking on my own.

So this is the end of the ETF Portfolio v. 1. I will work out a new passive hypothetical portfolio. This time I’ll make it a benchmark against which I’ll track my own results, as opposed to making random picks across the regions.

Click to enlarge the chart

Components

CDN Composite (XIC) – 45%
CDN S&P 500 (XSP) – 25%
CDN MSCI EAFE (XIN) – 30%

Initial Investment

Approximately $10,000 one-time.

Performance for period ending November 30, 2007: -0.1% (including dividends).

All previous gains have been wiped again, however -0.1% is pretty much even and a heck of a lot better than my Juniors portfolio performance. Performance ending Dec 4 (today) stands at -1.2% however the purpose of this portfolio is not to look at daily performance. I’ll stick with the “lazy” approach with only monthly updates.

Click to enlarge the chart

Components

CDN Composite (XIC) – 45%
CDN S&P 500 (XSP) – 25%
CDN MSCI EAFE (XIN) – 30%

Initial Investment

Approximately $10,000 one-time.

Performance for period ending October 31, 2007: +5.4% (including dividends).

Click to enlarge the chart

Components

CDN Composite (XIC) – 45%
CDN S&P 500 (XSP) – 25%
CDN MSCI EAFE (XIN) – 30%

Initial Investment

Approximately $10,000 one-time.