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Ok, just blew my mind. I have been pretty happy with my progress as an investor, feel like in the 6 years I have been running my SMSF I have learnt an awful lot and my processes &strategies have been refined & improved, I feel like I am making better decisions & less bad ones...
My CAGR is over 10% for the 6 years and given the early mistakes and slow start to growth that seemed satisfactory. Now the mind blowing, I went back to the portfolio I held in 2015 and looked at where I would be if I had just held and never bought or sold another thing....
...for simplicty I calculated the closing value on yesterdays prices, and just added the total of all cash contributions for the years as if they had not been invested, and added 2% dividends annually also as cash, the total is about 5% MORE than my current balance!...
....so all those years of reading, research, analysis, learning, thinking, documenting, actually cost me capital! Looking at the breakdowns 4 companies made the bulk of the gains, $CCP, $DDR, $NWH & $AX1. 4 basically went to nothing, $AVR $RFG, $SGH & $VET The rest muddled along.
I am going to have to think about this for a while and what it means going forward - and double check I havent made an error somewhere in the calculations!
Ok, found an error of omission, I had missed the money I had invested in a small managed fund, once I allow for that the result is about a 3% gain from all the work of the last 6 years compared to doing nothing! Still not a great incentive.
