StashAway Investments Robo-advisor — July 2020 Update
Reviewing my investment returns after 6 months with StashAway wealth management platform
Four months since I have updated on my StashAway portfolio, I thought that you might be curious about how my portfolio is doing.
I started investing with StashAway in January 2020. Perhaps it was a bad time to start as the global markets crashed shortly after, due to the coronavirus pandemic. Within three months, I lost 12.09% or $2,484.95 of my StashAway Investment. Ouch! I detailed my initial thoughts about StashAway and investment ideas here: StashAway 2020 Review — Investing For Beginners.
TL;DR, my portfolio have gained back some of the losses since March lows with a total return of -$448.27 instead of -$2,484.95. I will continue to reinvest my payout, dividends and continue the strategy of dollar-cost averaging in the long term. I have also compared the differences between StashAway Income and General Investing portfolio. And the reasons why you should look into investing in both.
Since March 2020, I have made the following changes with my StashAway portfolio:
- General Investing risk portfolio reduced from 30% to 12%.
- Deposited an additional $15,000 into my Stashaway account — splitting $3,750 into General Investing and $11,250 into Cash account.
If you would like to try out StashAway, both of us can get up to SGD10,000 managed for free for 6 months by using my referral link.
Portfolio Performance (Apr — Jul 2020)
Overall, my losses have reduced from -$2,484.95 to -$448.27.
Comparing Income Portfolio vs General Investing Portfolio
Income Portfolio
Income portfolio is designed to provide reliable and consistent income.
StashAway income portfolio consists of bonds, equities and REITs. The portfolio split focused mostly on Singapore assets (74%) vs rest of Asia (26%).
Since February, I have gotten $162.24 in dividend income from the portfolio with an investment of $13,000.
However, due to the overall drop in asset value, I have netted a loss of $426.45.
General Investing Portfolio
The purpose of the portfolio is to allow my investment to be more diversified across sectors and regions. Additionally, I have the flexibility to choose the risk level that I am more comfortable with.
I have changed the risk index from 30% to 12% to shift it towards a safer asset after the March crash. This tilts the portfolio allocation towards more bonds assets.
For this portfolio, I have consistently deposited $750 every month to dollar cost average. Overall, my returns for this portfolio is -$56.48 compared to -$815.55 in March.
My approach to investing is to have a balance and variety of assets across the globe. I prefer to have a diversified portfolio that would not be easily impacted by volatility.
I would like to compare both portfolios to see how each portfolio performs over time. If it makes sense to invest in an income portfolio or a general portfolio. Once I have managed to reach $13,000 in my general investing funds, I would be able to compare it more equally with the same amount invested in each account every month.
Lastly, if you are curious and would like to try out StashAway, you can use my referral link.
Both of us would get up to SGD 10,000 managed for FREE for 6 months. YAY!
https://www.stashaway.sg/referrals/tanyz8
