Tuesday, May 02, 2006

Starting Line

I may eventually post my financial holdings in a spreadsheet format but this looks like it will be a time-consuming task, plus I haven't figured out yet how to include a spreadsheet :P. But to give an idea of my current starting point, here is a rough breakdown of my current holdings:

$250,000 6-month laddered CDs yielding ~5%
$170,000 401K (never had employer match at any of my employers)
$900,000 small, simple house in Bay Area
$300,000 33% of my childhood home
$470,000 California Muni bonds, short-term laddered
$4,000,000 Stocks and mutual funds
$800,000 Cash/Money Market
$50,000 investment in out-of-state commercial real estate development

I have no substantial liabilities, but a fairly high level of monthly expenses.

Over the next 24 months, I hope to find a good home for the cash/money market, and sell off some of the stock holdings to redeploy into other areas. I'm not that comfortable with my stock market exposure given the state of our national deficit, and overall debt levels.


City Girl said...


You've done a terrific job building up your net worth. Maybe you'll share your secrets with us someday. ;-)

Rags 2 Riches said...

No big secret there. I made my money from controlling debt since childhood, and from the stock market. I joined my company as a start-up and worked 12+ hour days for many years before we took the company public.
I took the advice of multiple financial advisors to "diversify, diversify, diversify". With the benefit of hindsight, this was one of the worst moves I could have ever made. Few people can build true wealth from diversification. This is the main reason why I have chosen over the years to take my finances into my own hands, and to educate myself financially.