How time flies! It is exactly six years, since the Sleepy Mini Portfolio was launched to demonstrate how a super simple, regular investment program can slowly but surely build wealth over a period of time. All you need to implement such an investment program are (1) some initial effort in mapping out an asset allocation strategy (2) a calculator to divvy up your regular contributions and (3) discipline to stick to the strategy through all kinds of market conditions.
The portfolio kicked off with an initial infusion of $1,000 with a target allocation of 20% bonds, 20% Canadian stocks, 30% US stocks and 30% International stocks. Another $1,000 was added to the portfolio every quarter since then for a total investment of $24,000 so far. Here’s how the portfolio looks as of September 11, 2013:
TDB909 – Canadian Bonds – $5,909 (19.4%)
TDB900 – Canadian Equities – $6,196 (20.3%)
TDB902 – US Equities – $9,021 (29.6%)
TDB911 – International Equities – $9,349 (30.7%)
Market value – $30,474
Total Invested – $24,000
I’m going to add another $1,000 to the portfolio and rebalance it to the original target allocation using this rebalancing spreadsheet. Here are the results:
TDB909 – TD Canadian Bond Index (e-Series) – Buy units for $385.
TDB900 – TD Canadian Index (e-Series) – Buy units for $100.
TDB902 – TD US Index (e-Series) – Buy units for $415.
TDB911 – TD International Index (e-Series) – Buy units for $100
Note that TD e-Series funds have a minimum purchase amount of $100. Therefore, the amounts used to purchase Canadian stocks and International stocks have been rounded up and the balance divided up to bring the allocations as close to target as possible.
Here are two charts: the first shows the YTD performance of the Sleepy Mini Portfolio and the second shows the performance of the Sleepy Mini Portfolio since inception.