I plan to post my investment portfolio returns on this blog, for others to monitor progress and see how my investment approach pans out in the real world.
I’ve just published my Returns page. It has monthly returns since January 2013 (when I started tracking my investment portfolio in a consistent way). I also show how an initial investment of £1m would have grown with these returns. Over the two and a half year period tracked, my returns are a pleasing double digit number; this is surprisingly high for me, as over a longer time period I expect them to average high single digits.
The eagle eyed will notice I also track my Sharpe ratio and my worst drawdown. Both of these are measures popularised (?) by hedge funds. The Sharpe Ratio is essentially a way of normalising for risk; it expresses the return in relation to the volatility. A higher Sharpe ratio represents more return for a given level of volatility; thus higher is better. The worst drawdown tracks the biggest ever sustained loss; bigger is worse.
FIRE v London 