My 2024 Year-End Portfolio Performance
Introduction
A financial journal is like a diary, but with numbers.
Back in primary school, around the early 2000s, I remember some of my classmates—and even a cousin—keeping diaries. They’d jot down the highlights of their day or week, turning those pages into a treasure trove of emotions. Happiness, embarrassment, nostalgia, victories, and setbacks—all captured in ink. Those diaries were more than just words; they were a mirror reflecting who they were at that moment, and sometimes, who they aspired to be.
At the time, I didn’t get it. To my younger self, it seemed like a waste of time. Why write when you could be playing outside? And yet here I am, decades later, doing something weirdly similar.
The difference is, instead of words, I document numbers. These numbers—seemingly lifeless to some—tell a story just as vivid as any diary. They capture moments in time: goals achieved, lessons learned, and even the struggles that shaped my journey.
This blog isn’t just about spreadsheets or numbers—it’s about the stories they hold. Through financial journaling, we uncover the past, navigate the present, and pave the way for the future.
This is my way of encouraging you to record your financial journey in order to be aware of where you were, where you’re currently at and where you want to be. And through these three, will you then find the problems and solutions to bridge the gap between your present and ideal future.
Without further ado, let me take you through my 2024 investment portfolio.
Personal Financial Tracker by ELMads
The image above is from my self-made personal finance tracker in Excel—a work in progress but already a vital tool in my journey.
At its core, the tracker is simple: track income, expenses, investments, savings, and debts. Using all my Excel knowledge, I’ve created a streamlined financial dashboard that serves as both a planning tool and a reflection of my financial decisions.
This isn’t just about numbers—it’s a financial diary. It helps me see whether my choices were poor, good, or great, and adjust accordingly to align with my short-, medium-, and long-term goals.
At the heart of my tracker is a Key Performance Indicator (KPI) I call the Net Worth-to-Expenses Ratio. It answers a profound question: How many years could my net worth sustain me if I stopped working today?
This question was born during what I call my Renaissance period (2013-2019) —a time when my investments first opened my eyes to the possibility of using money to buy time and freedom. It was more than just numbers on a screen; it was about the life-changing power of financial independence.
“This realization was profound; it wasn’t just about the numbers in his investment account, but the freedom and flexibility that financial growth could offer.”
— Page 65, Zero to Hero—The Rookie Investor’s Manifesto: Building Your Wealth From The Ground Up Through Stock Market Investing
In just 4 pages of my book (63–66), I detail how I started small—very small. Coming from a salary in the Philippines that many Westerners would find unimaginable, I began investing tiny amounts for a future I dreamed of. What started as modest contributions blossomed into something beyond what I thought was possible.
Start now. Don’t dwell on missed opportunities because the only moment we truly have is now. Recording your finances is a simple yet powerful step toward self-awareness and growth.
It’s not how much money you make, but how much money you keep, how hard it works for you.
ELMads Portfolio Performance Since 2013
The journey of my portfolio began in 2013, and the first graph above showcases its annual performance since inception. To gauge how well my investments have done, I’ve compared them against four indices:
- S&P 500 – This index represents the top 500 public companies in the US by market capitalization.
- FTSE All World – A global index covering approximately 4,000 mid- to large-cap stocks from developed and emerging markets.
- FTSE Emerging Markets – This track mid- to large-cap stocks in rapidly growing economies like China, South Korea, Brazil, and India.
- Philippine Stock Exchange Index (PSEi) – This index comprises the 30 largest public companies in the Philippines by market capitalization.
Key Metrics: Annual Returns vs. Cumulative Returns
- Annual Returns: This reflects the average yearly growth rate of an investment. My portfolio generated an annual compounded return of 10.90% since 2013—think of it like earning that rate annually in a savings account.
- Cumulative Returns: This represents the total return over a specific period. For example, a $10,000 investment in 2013 would have grown to $34,589.82 by the end of 2024—a total return of 245.90%.
Index funds have proven to be a safer and often more effective route for investing. Although I’ve outperformed the FTSE All World Index, my portfolio significantly underperformed the S&P 500.
If that’s the case, why do I still invest in individual stocks? Despite my belief in index funds, I enjoy the process of researching businesses, understanding their fundamentals, and investing in those I believe in for the long run. While this approach may not beat the market, as long as my returns is in track to achieving my financial goals, I consider it a success.
A Cautionary Tale
Remember my finance tracker mentioned earlier? As long as I stay on course with my goals, the journey remains worthwhile. It’s not about hitting the jackpot; it’s about avoiding disastrous decisions.
One notable example of a setback is shown in the second graph, where my brokerage performance is broken down:
- Vanguard: My index fund investments.
- Nest: Employment pension investments.
- BTC (Bitcoin): Speculative crypto investments.
- Col Financial: Philippine individual stock investments.
- Freetrade/Trading 212: International individual stock investments.
The losses in my Freetrade/Trading 212 account are due to poor bets like Alibaba (2021-2022) and Focusrite PLC (2023). These were hard lessons—expensive ones—but I view them as tuition fees for my financial education.
In investing, setbacks are inevitable, but they’re also valuable. My blog post, 🔗“Half Year 2023 – I Am Defeated,” delves deeper into what happened and the lessons I’ve learned from these experiences.
Whether you choose index funds, individual stocks, or speculative plays, the key is to align your investments with your goals, risk tolerance and keep learning from every step of the journey.
My Portfolio’s Pillars: The 5 Investments That Contributed to Its Growth
Portfolio Overview
- Index Funds (Vanguard and Nest)
These form the foundation of my portfolio, representing my passive investment strategy. A portion of my salary goes into these funds every payday, regardless of market price or conditions. This approach ensures consistency and long-term growth without the stress without the stress of doing research and analysis. - Value and Growth Investments (Col Financial, Trading 212, Freetrade)
These accounts house my actively managed investments, where I purchase companies I believe are trading at a fair or undervalued price relative to their future cash flows. Here, I aim to identify businesses with solid fundamentals and long-term growth potential. - Bitcoin
My Bitcoin holding falls under speculative play, a bet on the potential future utility of blockchain technology. While speculative, it represents a small but calculated portion of my portfolio.
Notable Holdings and Stories
- Manila Electric Company (MER)
As the largest power distributor in the Philippines, MER is my oldest holding. While I initially purchased shares in 2014, I sold them in 2019 as I discovered and learned, through trial and error, my value-investing strategy. During the pandemic-induced selloff of 2020, I recognized its undervaluation and swung hard, repurchasing shares and solidifying it as a cornerstone of my Philippine investments. - Japanese Sogo Shoshas
Inspired by Warren Buffett, I invested in Japan’s five major trading houses. Despite a less-than-ideal entry point, I remain optimistic due to their strong integration in Japanese business and the ongoing improvements in Japan’s corporate governance. - Chinese Giants (Tencent, JD.com, BYD)
Even after my painful experience with Alibaba, I couldn’t resist undervalued opportunities. I’ve since invested in Tencent, JD.com, and BYD, betting on their long-term potential. Whether this will repeat my Alibaba misstep or mark a turning point for Chinese equities remains to be seen. - Nest Sharia Fund happens to be the only fund offered by NEST with the largest exposure to equity investments. For someone like me with over 20 years of time horizon ahead, this aligns perfectly with my high-risk investment strategy. There will undoubtedly come a time when I’ll need to dial back on risk-taking as I approach retirement, but until then, I’m committed to channeling the majority—if not all—of my hard-earned money into stocks.
Some might ask, “Why not diversify into real estate, Evan?” My answer is simple: circle of competence. My passion and knowledge lie with stocks, not real estate. I firmly believe that I can generate more wealth through equities than by venturing into property investments. It’s like asking a doctor to become a lawyer, or vice versa. Both careers can provide a lucrative future, but the choice ultimately comes down to individual strengths and preferences.
As I’ve shared in my blog, 🔗“The Investment Mental Models I Follow & Practice – Part 2”, success in investing isn’t about chasing every opportunity. It’s about locking in on what you know best and leveraging your strengths within your circle of competence. For me, that means staying focused on stocks while continuing to take calculated risks aligned with my long-term goals.
Performance Highlights
2024 delivered the best annual return for my portfolio in this decade: 22.59%. The primary drivers of this performance were my index fund investments and Bitcoin.
Bitcoin
As for Bitcoin, I’d love to claim it as a stroke of genius, but truthfully, it’s a mix of luck and faith. Bitcoin’s value is underpinned by global trust, just like traditional currencies such as USD or GBP. Without trust, all currencies—whether digital or fiat—are just pieces of worthless paper or lines of code.
Index Funds
Their success wasn’t due to extraordinary foresight—it’s the power of global business wealth creation. By investing consistently in indices that hold some of the best global companies, I’ve been able to share in their success and the strong cash flow generation that they generate for their shareholders.
📝 Note: Wondering about my Zero-to-Hero Public Portfolio? It’s right there in the table under the Vanguard Global All Cap Index Fund with the ticker symbol VAFTAG. Currently, it only accounts for 0.5% of my total investment portfolio.
For a deeper dive into this public portfolio, including its purpose and performance, feel free to check out my dedicated blog post via the link below!
Portfolio Allocation
“History shows you don’t know what the future brings.”
—G. Richard Wagoner, Jr.
No one can predict the future with absolute certainty. All we can do is prepare—building resilience to protect our financial lives from downturns while positioning ourselves to enjoy the good times. This is where portfolio allocation becomes critical.
Financial advisors and literature often stress diversification, recommending a portion of your net worth be allocated to bonds to smooth out volatility. While this approach is sound for many, I’ve chosen a high-risk strategy to accelerate my path toward financial goals.
For me, risk isn’t simply about price fluctuations. Instead, I see it as the likelihood of my investments going to zero due to operational failure or bankruptcy. In other words, I focus on the fundamental survival of the funds and companies I own.
Here’s how I’ve structured my high-risk portfolio based on my research and risk tolerance:
- Third Tier (60%) – Index Funds
I consider my index fund holdings as the least risky in terms of bankruptcy. These funds track broad markets and consist of hundreds, if not thousands, of companies, effectively spreading risk. I’ve chosen Vanguard Group on the fund’s side, as they continue to sit in the top 5 Global Asset Managers with Trillions of USD of Assets Under Management (AUM). I deem that the chances are slim for my Vanguard funds to lose their footing. - Second Tier (33%) – Individual Stocks/Equities
This portion carries a higher risk because individual companies have a tangible chance of operational failure or bankruptcy. However, they also offer higher potential returns if chosen wisely. - First Tier (7%) – Speculative Play (Bitcoin)
Bitcoin sits in my highest-risk tier. While I believe in the potential of blockchain technology, I’m also aware of the possibility of it losing trust and utility, leading to its value dropping to zero.
On a regional level, the United States dominates my portfolio with 55.73% exposure. While I aim to reduce this concentration over time, it’s challenging because most cash-generating, globally influential companies—especially the Magnificent 7—are based in the US. Despite concerns about market overvaluation, these companies’ operational efficiency, profit margins, and cash flow are hard to match elsewhere.
My approach balances calculated risks with my long-term financial ambitions. It’s a reminder that while history can guide us, embracing uncertainty and adapting to it is how we navigate the future.
Snapshot of My 2024 Top 10 Holdings
The upper-left table shows my top 10 holdings by portfolio weight, while the upper-right table displays my top 10 holdings by unrealized capital gains.
On the lower portion, the left table highlights my top 10 holdings with the highest returns since I bought them, while the right table reveals the largest losses to date per holding.
Bitcoin has seen a massive increase in value, propelling it to 7% of my total portfolio (upper-right table). This is a notable jump from its initial allocation of just 3%, demonstrating how capital gains can significantly shift portfolio weights over time.
Interestingly, the Vanguard US Equity Fund (VUSEIDA ISA) ranks only ninth in cumulative gains but has been a key contributor to my portfolio’s performance. Its lower return percentage (32.56%) reflects my pound-cost averaging approach, which raises my average cost basis over time. Despite this, it’s a steady performer and a reliable foundation for my portfolio.
Overall, I’m satisfied with my portfolio’s performance. While some holdings have underperformed, they could very well become tomorrow’s winners, potentially taking on the heavy lifting of my portfolio like Atlas holding the weight of the world (see meme in Section 3 for a laugh!).
Some years you win; some years you build character. Either way, the key is to stay the course and trust the process.
The Golden Nuggets: Dividends
The only tangible income investors receive from public companies comes through dividends—a share of the company’s profits paid out to shareholders as a reward for their investment.
While stock price appreciation often grabs the spotlight for creating capital gains, it doesn’t provide real income unless you sell your shares. Dividends, on the other hand, deliver a consistent stream of cash directly into your pocket.
I’ve written extensively about dividends and share buybacks, breaking down their mechanics and benefits:
🔗 What Are Dividends?
🔗 Share Buyback & Dividends
Dividend Investing: A Strategy for the Patient Investor
One popular stock market strategy is dividend investing, where investors prioritize companies that offer reliable and substantial dividend payouts—often exceeding 4%. However, it’s not just about the yield; these are financially stable companies with consistent year-on-year revenues.
While I don’t identify as a dividend investor, undervalued or fairly valued stocks I choose often have favourable dividend payouts. That’s simply because the lower stock prices naturally increases the dividend yields.
From Tiny Seeds to Towering Trees
When I started investing back in 2013, I was earning a modest salary and could only invest small amounts in Philippine public companies. At the time, the dividends I received felt almost negligible—molecular compared to the capital I had put in.
But as my income grew, so did my investments. Year after year, my dividend income snowballed. Every payout was reinvested, compounding my future returns. What began as a mere seed in 2013 has grown into a healthy plant—and I’m excited to watch it mature into a massive oak tree.
Dream big. Start small. But most importantly—START.
📝 Note: The 0.5 cents in the table above is a hypothetical example to illustrate the impact of my year-on-year dividend growth rate performance in monetary terms.
To Sum It Up
2024 Is A Reminder of Resilience and Growth
This year highlighted the enduring power of global markets to generate wealth. Investing isn’t about predicting the future; it’s about participating in humanity’s progress through businesses that create real value.
As I reflected in my blog, To Amsterdam! Canals, Capitalism, and a Dash of Tulip Madness:
“The Dutch East India Company (VOC) and the creation of the stock market paved the way for the growth of the world’s largest companies. More importantly, they gave ordinary people like us a chance to share in the wealth these companies generate.
Today, we’re living in a world shaped by more than 420 years of equity capitalism. This system has survived wars, pandemics, and economic crises, proving its resilience time and time again. Thanks to globalization, markets are more connected than ever, making it possible for anyone, anywhere, to be part of this system of wealth creation.
Investing is no longer just for the elite—it’s for everyone. By investing and staying invested, you’re not just growing your money; you’re aligning it with a nation’s or even the world’s progress. Let your money grow alongside the wealth being created every day.”
While luck played its part on my returns, my consistent efforts to invest and trust in the process paid off. As always, this journey is about learning, growing, and staying invested in what matters.
And don’t forget to journal your financial journey as Financial Journaling is a story in numbers.
Your financial journey isn’t just about tracking money—it’s a living story of where you’ve been, what you’ve overcome, and where you’re heading. While words express emotion, numbers reveal truth—capturing the wins, losses, and everything in between.
As we step into 2025, take a moment to reflect. Journal your financial story, whether through a diary or a spreadsheet. Use it to connect your past to your future, and let it serve as a guide for your goals. Pursue what matters most with love, purpose, and determination.
Because in the end, your financial journal is more than a record. It’s a blueprint for the life you’re building.
Cheers to another year, five years, a decade and a lifetime of financial prosperity to everyone! 🍻😁
This blog is for informational purposes only and not a Financial Recommendation. Not all information will be accurate. Consult an independent financial professional before making any major financial decisions.
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