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 only $500. All in an effort to help out the small retail investor who doesn’t have a lot of money, 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 …
Total Sharpe Income Balance: $3,255.88
Total Sharpe Income YTD Return: + 7.91 %
Sharpe Income YTD Paid Yield on Cost: + 2.47 %
Total Sharpe Income YTD Maximum Draw-down: – 6.84 %
iShares Barclay’s IEF Return: + 0.20 %
S&P 500 Index YTD Return: + 10.76 %
S&P 500 Index YTD Maximum Draw-down: – 11.24 %
Let’s first cover our basic house-keeping.
We have placed this weeks ‘capital deposit’ in the category reserved as “dry powder”. Cash that we simply have ‘on hand’ and can move about as we wish. Of that cash, 85% of the capital deposit was placed as reserved for a future deposit towards the ‘capital gains’ strategy. 15% of the capital deposit is placed towards reservations for the purchase of more income assets.
We have one more dividend coming in for our ‘Income Assets’ (Union Pacific) and one more dividend coming in on the ‘Trading Segment’ of our project (PCY). Once the Union Pacific (UNP) dividend posts, we will have our final Income Assets yield number for 2016. I am closely monitoring “Income Asset #3” for a purchase. We may do this in the next few days, so keep your ears peeled. We’ll see, as we have only four more trading sessions in 2016.
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.