The Sharpe Income category be found by clicking on that red ‘Sharpe Income’ tag next to this post title, or by clicking here.
We continue the discussion from the last entry.
We began this project with $500. All in an effort to help out the small retail investor understand the importance of growing an income account, as opposed to a trading account. The following numbers are taken from our PDF that is attached below. Remember that the numbers are computed off of Friday’s close …
Sharpe Income Balance: $1,744.71
Sharpe Income YTD Return: – 4.21 %
Sharpe Income YTD Yield: +0.00 %
Sharpe Income YTD Maximum Draw-down: – 4.21 %
iShares Barclay’s IEF Return: +2.30 %
S&P 500 Index YTD Return: – 8.01 %
Once again, this week we are are placing the entire deposit towards the cash we have reserved to buy a bit of Wells Fargo (WFC). As we said some time ago, we wanted to work a bit more our income assets in 2016. As yet, the project has not purchased this stock.
I don’t think Wells Fargo (WFC) is presenting itself as a ‘buy’ quite yet. But I want to be ready when that time comes.
Wells Fargo (WFC) – Daily
As we said a few weeks ago, the positive effects of our strategy are beginning to manifest themselves. All in all, this project is performing quite well half-way through the first month of 2016; given the mandate of the project. That is, using equities for income, while simultaneously using a split strategy to assist performance.
Now … am I concerned for the future of this project given the recent stock market correction?
Not at all.
In fact, please … I beg you … panic sell, so that I can buy these stocks when the time is right. In fact, please … keep selling. We’ll keep saving cash, even for this tiny little project, to buy into one of the most established financial institutions in the world.
The link to the Google Drive Spreadsheet that you can view, that we will edit, build upon and refer to over time can be found at this link.
We continue the Sharpe Income project with this next entry.