Asset Treemap Builder tool v0.1

treemap builderOne of my readers asked that what software I use to create my asset allocation treemaps. Unfortunately, I am using my own custom software to track my assets and investments, however the script that builds this particular graph is made by HighCharts. So I decided to make a small script to allow others also to create these graphs easily. It only needs some manual input. I know many use excel so creating input for this script should not be very hard.

Anyway the link to the script is here: https://rawgit.com/ilves/visualisation/master/index.htm

I did not spend much time on it, so there could be some bugs or limitations. If anyone finds one or have some ideas how to improve it or have any questions/problems please let me know!

Happy drawing!

February 2015 Portfolio and Projects Update

1380287_10203514331171097_1538116849646059216_nIntro

February has ended and first March is here. It was an entertaining month as about half of the month I was working and another half I spent at Fuerteventura (one of the Canary Islands) mostly kite surfing and a little bit of sightseeing. This trip made little mark to the monthly budget due to traveling and rental expenses. Food and gas is much cheaper there than in Estonia.

10974663_10203475766046993_6536037813092649638_o

I will not write about the trip much more as I am not sure if it would be interesting to my readers. But if anyone is interested you can let me know in the comments and I will decide if to write a separate post or not.

Another great moment was at my employer’s birthday party where I was awarded with one out of the five “Employee of the Year” award. Wonderful month!

By the way spring is almost here and I can not wait when I can ride with my bike again!

Projects

I only did 2 smaller side projects due to only working half of the month. Also, I decided not to post updates about the side projects as they are not so interesting just boring numbers that fluctuate between 1 and 10 max.

Passive Income

Like me and other investors predicted February interest income was slightly worse than in January however, thanks to advertisements income, OmaRaha and EstateGuru I was able to pass the 200€ mark.

When talking about the numbers then the passive income increased by +19.12€ to total of 214.31€. The P2P loan interest income was 145.06€ (+4.75€), advertisement income correspondingly 53.09€ (+11.8€), income from real estate lending sites 11.41€ (+4.68€).

passive2015-2

Investments

Like in January I added little more money to OmaRaha and Bondora (an equal amount to both). I also participated in one EstateGuru project and bought Tallinna Kaubamaja stock (that have grown over 7% by few weeks after I bought them, great timing).

Meanwhile, I was on my vacation Crowdestate came out with 2 new projects. I would have invested in the fixed rate project, but I was not near the computer. And about the other project I have not yet investigated it if I would invest in it or not.

I am not sure if I will increase my investments in March as I am already ahead of my investments target per month in this year but let the time be the judge. If I complete few decent side projects, then why not.

porfiolioalloc2015-2

See more

Updated Financial Independence report and Savings Rate report

Who wants to team up with passive income project?

funding_meme_1In my 2015 Goals post I mentioned that one of my objectives this year is to start a new project to generate more passive income. I asked if any of my readers has any ideas and want to team up with me. However, I have not received any ideas yet, so I thought that I will make dedicate post as many might not have seen that post.

I can help, especially with IT and development part has I have years of experience with it and made hundreds of smaller projects and tens of larger projects. I also have participated and I am participating in several startups so I have that experience as well.

Although I must warn that I do not like all the ideas out there (due to limited time) and I am quite selective when deciding if I want to proceed with the idea or not. Still don’t hesitate to contact with me using Contact Form or Facebook. Discretion is guaranteed!

TKM1T stock purchase

As my vision is to have diversified portfolio and as I focus on investing into P2P loans through company (due to Estonian tax policy regarding to income tax when dealing with written off loans) I have been looking for opportunities to increase my stock portfolio.

When talking about stock market, then my goal is to invest into dividend stock and after considering my current positions and today’s Estonian stock market Tallinna Kaubamaja (TKM1T) was the best candidate as Tallinna Vesi is too expensive in my opinion and I already have quite large proportion of Olympic Entertainment shares. I also considered Merko Ehitus but as I have invested into real estate sector through CrowdEstate and EtateGuru and thanks to little information about the company I did not choose it, yet!

Anyway bellow you can see my portfolio allocation:

porfiolioalloc

Current allocation percentages are following:

Cash: 48%, Estate: 20%, P2P Loan: 19%, Stock + Index Fund: 13%

January 2015 Portfolio and Projects Update

Projects

January was very quiet month in terms of side projects. It was somewhat expected as same pattern repeats itself every year. In total I completed only 1 project (-6 compared to previous month) and did some minor maintenance work that does not as project but still generated little revenue.

MonthProjectsChange
August4+0
Septmeber5+1
October2-3
November4+2
December7+3
January1-6

Passive Income

In summary January was satisfying as the income increased reasonably (+34.21€) to total of 195.19€. The interest income part was 145.06€ (+65.73€), advertisement income correspondingly 41.29€ (-25.51€), income from real estate lending sites 6.73€ (-8.12€) and income from dividends 2.11€ (+2.11€).

Advertisements income decreased as December is the prime month thanks to Christmas poems searches. Expect 20€ to 30€ from advertisements throughout the year. I also got my first dividends from SPY. This time I was taxed by 30%. Next week I will ask from LHV if I can fill a form to pay 15% of the tax in the future.

passive2015-1

Investments

In January I invested first time into Omaraha (mostly due do Bondora incapability dealing with new portfolio manager). Regardless of that I transfered little more money to Bondora but I used most of the money to buy loans from secondary market. My portfolio manager currently only invests into AA, A and B rating loans.

I also participated in 2 real estate investments (1 CorwdEstate and 1 EstateGuru). Bellow you can see my investments allocation. I would like to increase my stock investments this year but the prices seem to little high at the moment but I have not analyzed the situation thoroughly yet. SPY seems interesting option however I do not like USD/EUR exchange rate as I have not studied it’s dynamics yet.

portfolio

See more

Updated Financial Independence report and Savings Rate report

Personal goals for 2015

In the last post I described by finance goals for 2015. I realized that I it would be beneficial also to create and write down my personal goals to see if this approach increases the success rate of my objectives.

It is said that all goals should be measurable and traceable. It was easy to set numeric values for my finance goals but it is not so easy and intuitive for my personal goals. However I will give a try at least. I try to categorize the goals into different groups.

These are my initial goals. I will update this post if I find some more interesting goals that are missing.

Health and Fitness

1) Workout or do sports at least 4.5 hours a week. That is 52*4 = 234 hours total. (Last year I tracked 169 hours, however I did not log all my workouts).

2) Lift weights at least on average 2 times a week.

3) Log all my workouts using Endomondo to track effort and goals.

Productivity

1) Track time on freelance projects and analyze time consumption of different project reoccurring tasks to improve them and therefore increase the productivity and money earned per hour.

Learning new things

1) Learn and use at least in one project PHP framework named Phalcon.

2) Learn and use at least in one project Javacript frameowrk named React.

Reading

1) Read at least 2 books about investing into stocks.

If you have any interesting challenges or goals that I should add then please let me know!

2015 Goals

Almost everyone in the pursuit of financial freedom is saying that you have to have short and long term goals, you have to follow them and track your progress, that is the key to success in achieving all of your financial goals.

Here you can find my financial goals for the year 2015. I consider them short term goals. I try to formulate my goals such that they can be measured and tracked if possible.

1. Passive income % of expenses

You can read about it on the Financial Independence section. I consider this the most important measure on the financial freedom journey. In 2014 the rolling average of the passive income % of expenses was 4.74% and the goal for 2015 is to achieve at least: 20% (read more from comments) 15.0%.

2. Expenses

Last year my expenses increased by 44.18%. This year goal is to keep my expenses at least 10% lower than last year. This should be doable as last year I had many new home purchase related expenses that are not relevant anymore this year.

3. Savings rate

You can read more about the savings rate on the Savings Rate page. Last year my rolling average 2014 savings rate was 44.2% but this year goal is to have at least 55%. This should be doable if I can manage my previous 2 goals.

4. Investments

This year goal is to invest at least the same amount of the money as last year. With the emphasize of investing more into dividend stocks if possible and find alternative opportunities to current loan based portfolio to diversify the portfolio. For example Tartu Hoiu-laenu Ühistu seems interesting.

5. Passive income from online

Today I have small niche website (luuletused.ee) that is generating small amount of passive income. The goal for 2015 is to find idea and create some IT and online related project to earn more passive income. If any of you readers have some ideas we can team up and do the project 50:50. I have the technical and development skills and bit marketing skills and connections also.

Year 2014 summary

Here I give brief overview of my 2014 progression in my personal finance.

Net Worth

What is net worth? From Wikipedia: Net worth is the total assets minus total outside liabilities of an individual or a company. Put another way, net worth is what is owned minus what is owed. In business it is often used in the context of fraudulent law and on the dissolution of the company.

  • In 2014 assets value increased +178.34% (mainly influenced by new home purchase)
  • Net Worth increased +72.13%
networth2014

Net Worth

Income

  • In 2014 total income (salary, passive income, other income) increased by +33.65% (Mostly thank to the fact that In spring I completed by master studies and in few months after that I started working full time, previously I was working 0.5 load)
  • My passive income increased by +306.77% (In 2013 I had very little investments)
Passive Income

Passive Income

Expenses

  • My total expenses increased by +44.18% (This does not include down payment for our new home). The expenses are higher because in 2013 we had very cheap rental flat that we shared with our friends and due to that our living costs vere low. Also in 2014 we had our vacation in Tenerife.

expenses2014

Investments

  • Investments increased by +1161.52%
  • The ROI of all investments was +3.61% at the end of the year. The calculation is made by dividing all asset class net profit by total invested money. This is not by far the best or correct method, however it is fast and gives at least for me a suitable reference point. Mainly because any real estate investments have not gained any income and OEG1T has lost about 8% of it’s value since I bought it.

investments2014

December 2014 Projects & Investments Update

Projects

In December I completed 7 projects that is two (+3) more than previous month. In terms of money it was 246% increase comparing to previous month.

MonthProjectsChange
August4+0
Septmeber5+1
October2-3
November4+2
December7+3

It was very busy month in terms on side projects as many companies targeted their consumer campaigns to Christmas period to increase their sales. Probably January will not be so busy but whole 2015 should be at least as busy as 2014.

Passive Income

In this month there was great revenue from the advertisements thanks to chistmas, because people were searching for christmas poems and due to that increased traffic more clicks were made and ads were shown.

Overall it was very good month as the income increased quite a lot (+57.60€) to total of 160.98€. The interest income part was 79.33€ (+8.37€) and advertisement income correspondingly 66.80€ (+34.38€).

Investments

In December I also transfered some more money to Bondora and participated in 3 projects of real estate (2 CrowdEstate projects and 1 EstateGuru).

November 2014 Projects & Investments Update

Projects

In November I completed 4 projects that is two (+2) more than previous month. In terms of money it was 246% increase comparing to previous month.

MonthProjectsChange
August4+0
Septmeber5+1
October2-3
November4+2

In general it was good month but December is expected to be even better as there are many ongoing Christmas related campaigns that will be launched in December.

Passive Income

In this report I am using bit different graph than I used in previous. I decided to include my Google Adsense earnings from Luuletused.ee project also, as I was able to increase my ads revenue significantly thanks to better ad placements.

Overall it was good month as the income increased quite a lot (+25,82€) to total of 103.37€. The interest income part was 70.95€ (+5.22€) and advertisement income correspondingly 32.42€ (+20.60€).

november

Investments

In November I transfered some more money to Bondora and I also bought few Tallinna Kaubamaja Shares to diversify my investments and own more dividend paying shares.

I also decided to add new graph (tree map) about all my investments. I like this representation very much as it visualizes my investments allocation in different investments types very well.

investmentsNov