July 2016 Fiscal Update

Bull Market Continues

July was another fantastic month for stocks! Earnings from technology companies held up to expectations which drove up the Nasdaq composite by 6%. The other major US indexes and even the Canadian stock market increased a bit as well, although it’s hard to understand why since other than the tech sector, most companies had stagnant profits. 😕 Nevertheless, the increase to my investment portfolio is much appreciated as my gross assets are now worth almost $1 million! 😀

Instead of investing in new stocks in July I decided to pay down some of my higher interest debt. This is because I don’t see any good investment opportunities right now. I paid down my TD Line of Credit balance by $5,000. My Line of Credit charges a 4.95% interest rate. This means I receive a guaranteed return on my $5,000, which saves me about $20 a month moving forward. 😀 The dilemma of making new investments vs paying down debt all comes down to interest rates, growth opportunities, and the investor’s confidence. 😉

Making Money on Weed

Also in July, one of the more risky stocks that I reviewed and bought last year, Canopy Growth Corp (CGC), made its transition from the smaller Venture exchange to the larger Toronto Stock Exchange. This is a pretty big deal since it signals that people’s view of cannabis is shifting. CGC shares surged after becoming the first marijuana producer in North America to graduate to a major exchange. Investors who already own CGC don’t need to do anything. Today Canopy Growth Corp is trading at roughly $4 per share. It’s very uplifting to see my speculative buy of 300 CGC shares climb more than 50% already! 😀 As the federal government makes plan to legalize pot for all Canadians in the near future, I have a feeling CGC might reach $5 per share by summer of 2017. But keep in mind that I’m kind of biased because I already have skin in the game. 😉

Liquid’s Financial Update

*Side Incomes:

• Part-Time = $1200
• Freelance = $1100
• Dividends = $700
• Interest = $300

• Fun = $200
• Debt Interest = $1300

*Net Worth: (MoM)

• Assets: = $999,400 total (+5,900)
• Cash = $15,100 (-1600)
• Stocks CDN =$119,500 (+2900)
• Stocks US = $71,300 (+2500)
• RRSP = $74,200 (+1900)
• Mortgage Funds = $23,300 (+200)
• Home = $263,000
• Farms = $433,000

• Debts: = $477,400 total (-6,500)
• Mortgage = $187,800 (-500)
• Farm Loans = $194,400 (-500)
• Margin Loan CDN = $28,300
• Margin Loan US = $25,400 (+300)
• TD Line of Credit = $14,500  (-5000)
• CIBC Line of Credit = $9,500 (-500)
• HELOC = $17,500 (-300)

*Total Net Worth = $522,000 (+$12,400 / +2.43%)
All numbers above are in $CDN. Conversion rate used: 1.00 CAD = 0.77 USD

Hopefully by the end of August I will reach 1 million dollars in assets that have financial value. Also, due to the consequences of Britain leaving the E.U., the British Pound has dropped compared to the Canadian dollar. And it fell again today as the Bank of England slashed interest rates to a record low of 0.25% this morning in an attempt to boost its economy. Since I don’t have a lot of UK or European stocks yet I think later this year will be a good time for me to accumulate some more foreign investments across the pond. 🙂 We’ll see how it goes. I’m currently saving up money for a more immediate investment opportunity related to private businesses, which I’ll write about later this month.

__________________________________
Random Useless Fact:

According to the Pew Research Center, nearly half (49%) of Americans say they have tried marijuana at least once.