I wanted to provide a couple of updates on my investments. First of all, my online savings account where I house my emergency fund as well as all distributions from my Real Estate Crowdfunding investments has increased their rate once again, to 1.75%! This is the second increase in the past month and of the online savings accounts available, Pure Point Financial seems most generous as they’re usually the first one to increase the savings rate. I couldn’t be more pleased!
Also, even more exciting; one of my real estate crowdfunding projects exited early and very profitably I may add: 11 months ago I invested in a project offered by Realtyshares . It was an e-commerce distribution center located outside of Boston, MA. The projected I.R.R. objective was originally 14.7%. The property was sold early and we investors were cashed out with a total return of 30.8% net of fees. The cash proceeds including capital gains have already been wire transferred to my checking account. This was my first experience with an exit and I am so happy. This deal provides me confidence in my remaining R.E. investments and these number quite a bit. I have over 30% of my net worth invested in real estate crowdfunding. This is much higher an allocation than I would ever recommend to anyone else. Do as I say, not as I do!
Here’s one more update; on Friday (4/6) a few minutes before the markets closed I purchased a small position (2% of my taxable brokerage account) in S&P 500 ($SPX) April 2600 call options for 40. I felt compelled to place the trade for a number of reasons (sentiment was very bearish, the market seemed to have “triple-bottomed” at the 2580-level. I felt this was a relatively low risk entry. I paid $400. per contract x 5 contracts ($20k). This morning (Monday, 4/9) the markets gapped up and I exited the call options @ 51 for a total gain of $5500. (or 27.5%). I do not trade like this often, only on rare occasions, though with volatility on the rise, I’ll be doing these type of speculative options trade more often.
DISCLAIMER: THIS IS NOT ADVICE: I am not an investment advisor, nor a professional in the financial services industry. Options trading and stock market investment do have risks. This blog is for informational purposes only and the reader is 100% risk responsible for any and all trades and investments made.