In case you haven’t been following along, every two weeks I am contributing $1,000 into the 70/30 portfolio. About 12 weeks ago, I contributed the first $1000 into the 70/30 Portfolio with Questrade. Here is a recap from August 26th 2019:
Now it’s time to contribute another $1,000 into the portfolio. I’m going to be buying just the right amount of individual index funds to keep my target allocations (+/- 1%) within my chosen range. To start, in my Allocation Tool, I adjusted the unit price so that it is current. I then bought approximately $1,000 worth of index funds in a way that kept my allocations relatively close to my original target goals. Feel Free to use my Allocation Tool: allocationtool20112019-
The 70/30 portfolio is up $237.21 including the $9.66 in dividends so far. Next $1,000 contribution will be around December 4th 2019. This is a great portfolio for retirement, because most of the gains come from capital appreciation which is tax favourably both in the accumulation phase and in the draw down phase. So far this portfolio has achieved an annualized 27.2% return. Not bad, this portfolio should perform well both in good times and in bad times. 27.2% return is abnormal, realistically I expect 10% average return over the long term.