Today is March 28, 2021. Although passive income through dividends and option premiums is my focus when it comes to investing, I decide to do a post about my current net worth.
What is net worth? Simply put, net worth is calculated by adding up all assets and subtracting the total of all liabilities. Net worth is sometimes referred to as shareholder's equity. Assets and liabilities are part of the balance sheet.
Assets
Savings
The savings section is currently into 3 segments. The 3 parts are a "high" interest savings account, savings account, and an "investment" savings account.
The TFSA savings account was with Tangerine. I was frustrated with getting such a low interest rate with Tangerine. I took the money out and placed it in non-registered high interest rate savings account with EQ Bank. Unfortunately, the account did not disappear as interest was earned in the TFSA with Tangerine for the month I transferred the balance. The balance is $0.18. With a value this low, I do not even earn interest as the balance so low.
On March 28, 2021, the value of the savings account with EQ Bank is $2295.56. As of the time of this writing, the interest rate for EQ Bank is currently sitting at 1.50%. I had two $300.00 GICs which have matured and have been paid out to this particular savings account.
The stock and ETF investment involves a stock and an ETF that I hold within my margin account. I keep the dividends and distributions received separate from the dividends I post in my dividend income updates.
The stock is Inter Pipeline. The ticker symbol is IPL and trades on the Toronto Stock Exchange. I own 42 shares with an adjusted cost base of $901.80. I received a total of $84.37 in dividends since initiating this position.
Currently, Inter Pipeline is in the midst of a hostile takeover by Brookfield. Brookfield is offering $16.50 CAD per share for all remaining shares that it does not already own. Inter Pipeline highly recommends its shareholders reject this offer stating that it undervalues the business of Inter Pipeline.
I purchased an additional 8 units of BMO High Yield Covered Call ETF at a total cost of $131.95 on January 27. I purchased an additional 8 units of BMO High Yield Covered Call ETF at a total cost of $129.15 on January 29. The ticker symbol is ZWC and trades on the Toronto Stock Exchange. My brokerage has zero commissions on purchase of ETFs. There is a small ECN fee which is a few pennies. The purchase of these units resulted in $0.06 in ECN fees. This ETF pays monthly. I received a total of $42.02 in total distributions as of March 28, 2020.
On March 28, the current value of this "stock / ETF account" is $1703.72.
Overall, the savings total is $3999.28
The non-registered accounts consist of a margin account and 2 stocks held directly with the transfer agents. The margin account is with Questrade. The total value is $95689.05 as of March 28, 2021. This is an increase of 15.62% since the last published net worth post.
TFSA Investing Account
The TFSA investing account balance is $48606.73 as of March 28, 2021. This account is with Questrade. This is an increase of 14.93% since the last published net worth post.
Trading Account
The trading account is with Questrade. There are currently no active trades. As of March 28, 2021, the value of this account is $4345.75.
RRSP
As of March 28, 2021, I own 200 shares of Fortis and 47 shares of XAW. I currently have a covered call on this Fortis position. This strike price is $54.00. The option is currently in the money and might get assigned. I have been buying the entire position of XAW using covered call premiums and dividends from the same position in which I sold covered calls.
The value of this account as of March 28 is $14342.16. This is an increase of 4.88% from December 25, 2020.
The value of this account as of March 28 is $14342.16. This is an increase of 4.88% from December 25, 2020.
Summary of Assets
Total Savings : $3999.28
Non-Registered accounts : $95689.05
TFSA Investing : $48606.73
Trading Account: $4345.75
RRSP Savings Account: $14342.16
Total Assets = $166982.97 (increase of 14.17% from 3 months ago)
Liabilities
The balance on my line of credit is $2103.59. This is a decrease of $833.02 from 3 months ago. Since I rent and do not have collateral, the interest rate on this account is 5.66%. I get charge an insurance fee when carrying a balance. This insurance fee depends on the balance, therefore it changes every month.
Conclusion
On March 28, 2021, my net worth is $164879.38. This is a increase of $21555.50, or 15.04%, from 3 months ago.
Vaccines are being delivered across the world and more and more people are getting their vaccinations. Places across the world are starting to open up and loosing restrictions. Medical professionals are calling for extreme lockdowns across many jurisdictions as they believe the variants of COVID19 are more fatal and can spread rapidly than the regular COVID19 virus.
A few states in the United States have open up 100% by removing restrictions and only recommending people for health guidelines including wearing a mask.
On the trade front, the Suez Canal is currently blocked by a large containership. The ship called Ever Given. There is a lot of stories going around on how and why this happened. One of these stories, is that the Ever Given lost power during a severe sand storm and the officers could not steer the ship. Currently, there are over 300 ships off all types waiting to pass through the Suez Canal.
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To read the third net worth update, click here.
To read the fourth net worth update, click here.
To read the fifth net worth update, click here.
Disclosure: - Long IPL, ZWC, XAW, FTS
- Long FTS is TFSA
DISCLAIMER
I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should NOT be taken as investment or business advice.
Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk.
Great to see nice increase. Hopefully you will soon pay off all your debt. Good luck :)
ReplyDeleteMr. Dreamer,
DeleteI was happy to see the increase. In these trying times I am grateful to be able to invest.
I hoping the debt will be paid off within the next 6 months.