Hey guys!
It’s been a few weeks since my last Roth IRA portfolio update, so I want to share my progress as we hit the home stretch for the year.
My balance stands at around $57,000 – just short of its all-time highs.
I got really close to beating the market for my last update, but given Tesla’s share price slip in the last few weeks, I’m lagging behind by a bit again. Although – as I keep mentioning I’m probably still ahead in total returns due to the dividend yield of my portfolio being about 1.5% more than the S&P 500 annualized.
It’s still tracking close to the market though with time in the year left – anything can happen. Here are the stats for my portfolio vs. the market this year.
- S&P 500 from January 4th – November 15th: +26.76% ((429.77-339.03) / 339.03) x 100
- My portfolio from January 4th – November 15th: +25.59% (((56,911.88 – 6,000 – 1,127.55) – 39,641.18) / 39,641.18) x 100
I want to share some brief thoughts in addition to today’s portfolio update.
If you’re into financial news like me, you’ve probably been hearing a lot about the metaverse lately. The metaverse is supposed to be a futuristic virtual reality with supreme graphics, the ability to be “in the same space” virtually as others. This opens up the potential for all kinds of use cases, with many uses going above and beyond traditional video games.
There is a lot of potential for this type of environment – one thing that comes to mind specifically is gaming. How cool would it have been when I was younger to be immersed in a 3D-like battlefield instead of the two dimensional restrictions of my XBOX360. However, this is where I think the commercial viability of this kind of technology ends.
Facebook recently changed its parent company name to “Meta”, we have all of these analysts on CNBC and other finance shows talking about the metaverse and how to cash in on it – but one thing I don’t agree with is the premise that the metaverse is going to be as popular as it people are predicting it to be.
Stop and think for a second – how many of the very best or most triumphant memories of your life come from a video game/virtual reality?
I think even if the metaverse picks up in popularity, it will be for a gaming audience and won’t reach widespread adoption by folks in every-day life. As long as there is a real world, the metaverse will have tough competition to be the kind of all-inclusive, pick your own story type adventure and that competition is life.
Call me old-fashioned, but I think while cool, this technology is not going to be what people think it will any time soon, if ever.
Roth and Roll Finance 