It’s been 7 years and the 15HWW portfolio currently stands at around $430,000. It comprises $350,000 of capital which also means that the remaining $80,000 comes from net profits, dividends and interest from the deployment of the capital.

With sporadic injections of $350,000 of capital over 7 years, a simple proxy would be to assume that we are injecting $50,000 every year which is also equivalent to injecting $12,500 every quarter.

From this set of assumptions, I calculated that our annualised return thus far is 6.0%.

But what would have been the returns and outcome if I did not bother much about the markets and just invested mechanically and systematically into the STI ETF?

Assumptions:

1. Since the 15HWW portfolio is currently about 60% invested in equities, for a better apple-to-apple comparison, only $8,000 would be invested into the STI ETF every quarter.

2. $30 of transaction cost would be added to each purchase.

3. ...