2024 Investment Performance Thread

Retirement portfolio 2024 return 13.29% vs benchmark VTHRX (Vanguard Target 2030) 10.64%. Stock/bond allocation follows VTHRX (61/39).

Withdrawal rate 3.29%.
 
60/40 was cumulative 10.6% in that link, Figure 2.
 
Per Fidelity: 18.8% on 85/15. The Fidelity 85/15 market index is 15.7%, but that includes 25% international. We only have about 5% international, which helped.
 
60/40 was cumulative 10.6% in that link, Figure 2.
Yes, it was. Yet they say it was 14%. Guess I don’t understand the difference between a one year cumulative return and a one year return.
 
I still don’t understand how a one year cumulative return is different from a one year return (assuming no additions or withdrawals).

I think they just made a mistake in Figure 2, using the 10.6% for 3 year 60/40, and putting it erroneously in the one year.
 
Portfolio Increase by Month - 2024
Jan-24 -0.40%
Feb-24 +2.58%
Mar-24 +2.43%
Apr-24 -1.95%
May-24 +2.09%
Jun-24 +1.49%
Jul-24 +2.49%
Aug-24 +1.81%
Sep-24 +2.01%
Oct-24 -0.52%
Nov-24 +3.82%
Dec-24 -2.68%
2024 YTD +13.16%
  • Target A/A is 65%/35%, but running +3% equities over.
  • We simplified one more account in 2024.
  • Weighted avg e/r has dropped to 0.071 now.
  • 1st RMD in 2026, doesn't require much planning.
  • Sent a QCD in December. Thinking of another this year, for the same charity.
Measured total performance for the 2024 portfolio was +12.95%

AA at EOY was 67.6/32.4
 
I still don’t understand how a one year cumulative return is different from a one year return (assuming no additions or withdrawals).

I think they just made a mistake in Figure 2, using the 10.6% for 3 year 60/40, and putting it erroneously in the one year.
The problem for us readers is that we're still guessing. Then we look elsewhere for understanding and verification, and find variation in other sources.

Come to think of it, who gets to decide the exact basis of the 60/40 portfolio?
 
International equities was a boat anchor again. For over 20 years. Look it up, the returns are awful. Don't invest in International because you're supposed to for diversification.

I would invest in VG Total Stock Fund for all the diversity you need and performance as well. Over 23% this year, and last year too.

Not trying to say "I told you so" to anyone. just trying to help out.

Here’s a different perspective from a Seeking Alpha article, likely behind a paywall.


The core insight:
“… This [Magnificent 7] boom has allowed American stocks to vastly outpace their European counterparts, fuelling the narrative that Europe has now become a corporate has-been.

But according to the Financial Times, if we pull Nvidia (NVDA) out of the S&P 500, the index's total returns since 2022 underperform the eurozone's stock benchmark, the MSCI EMU Index, since the bull market began in late 2022.

This datapoint indicates that the S&P 500's tremendous run is mainly a bet on AI, particularly Nvidia (NVDA), and despite the eurozone's lower exposure to tech and a slow-growing economy, eurozone stocks have actually performed well, the report noted.

According to Charles Schwab, eurozone stocks trade at steep discounts to the S&P 500 (SP500). The brokerage noted that eurozone stocks are trading at a price-to-earnings ratio of 13 times next 12 months consensus expected earnings and at a 40% discount to the S&P 500, a much bigger discount than the historical average.”

Painful as it has been for years, I think I’ll keep my international investments, just in case things change!
 
I managed 14.4% growth across 3 accounts for 2024, DW numbers not in yet.
 
Up 17.4% overall for 2024. Approximately half in a managed Fidelity account that earned 15.5% after fees. The rest was in self-managed funds, CD's, high yield accounts, etc.
 
As of 12/31/24 our total net worth is up 3.83% vs 12/31/23 and that takes into account our charitable and other giving and our IRA RMDs/QCDs. t would've been better had the market stayed strong-er through December but we're happy.
 
As of 12/31/24 our total net worth is up 3.83% vs 12/31/23 and that takes into account our charitable and other giving and our IRA RMDs/QCDs. t would've been better had the market stayed strong-er through December but we're happy.
Hey, you beat the CPI for 2024 and that’s always good!
 
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