With a war that erupted not too far from Turkey, I am expecting more economic turbulence. I made my calculations and updated my Net Worth (only liquid assets) today and closed the books on February.
I decided to purchase some more Euros since, I am already heavily invested in USD.
All my income and expenses are in Turkish Liras.
Now my Liquid Net Worth consists of:
TL 15%
USD 63%
Euros 8%
Gold 14% (physical cold coins)
I doubled the amount of Euros I have but, that is still the smallest portion of my basket.
I have been pressuring my SIS and BIL to have a more balanced basket of savings because theirs was too heavy on Turkish Liras. Finally, today, they pulled the trigger and what they have now looks like this:
TL 18%
USD 38%
Euros 17%
Gold 27% (physical cold coins)
You may find this a lot different than what you invest in. I know there are lots of other instruments out there but, unfortunately, I do not trust those in this country. Stock Market is easily manipulated over here due to it's shallow nature. There are funds offered by several institutions but, again I've got trust issues. I invest in some funds and they are included in my TL portfolio but, the fund ratio in that portfolio is very small.
In a turbulent area where there can be civil unrest, war, refugees and etc. gold is always the king and that is why we always include it in our baskets. Local currency is very weak and hard currencies provide stability and help preservation of purchasing power.
As for other end of month subjects: I ate a lot during the last few weeks out of my freezer and claimed tons of space. I am almost out of all meat with the exception of a steak and a serving of fish. I am planning a grocery run tomorrow. Need to make a list and stick to it.
I am planning to do the following tomorrow:
- Pack and ship two sets of documents
- Grocery shopping
- Returning an item to Decathlon
Gas prices have never been this outrageous so, I plan my outings very carefully these days.
I hope this Russian occupation of Ukraine ends soon. People over there are getting killed for no reason, their lives are interrupted and they live in fear over there. It is also affecting gas prices, wheat prices and everything else as if, we did not have enough economic issues.
I was thinking of you being so close geographically. Scary times.
ReplyDeleteThank you! It is scary but, in this geography we are kind of used to it. We have borders with Syria , Iran and Iraq too. Always turbulent.
DeleteThese are worrying times for sure. I don't know what petrol prices are like where you are but I drove my son to Valence on Saturday and diesel was at €1.95/litre!!! I'm just so grateful my pension is in Swiss francs. That being said, there are bigger things to worry about when you have Russia breathing down your neck - those poor people!
ReplyDeleteGas costs less but, the standart of living is so different here therefore, making direct conversions is not meaningful. Imagine getting paid seven thousand Euros for your pension and the gas costs 16 Euros per liter, a loaf of bread, 5 Euros.
DeleteGore mountain in Upstate NY. I only invest in index funds. I do have some gold coin and jewelry that I got from my mother but I am planning to give it to my nieces. We really started maximizing our retirement to get a get a tax deduction. Little did we know those accounts will quadruple in the last 10 years( they are down now with the Russia war and I am sure they will go down again. For now, they are staying put until I turn 72. Plus, because we work for the state of NJ we get pensions and healthcare. I help those less fortunate in my country. My SIL in France, worked as an educator for 20 years but get only a pension of a 1000 euros. It’s barely enough to cover her rent.
ReplyDeleteI understand how your SIL must be feeling. I had to save like crazy and make up a savings portfolio I stated above. My pension does nt cover all my expenses either but the consultancy job I have provides a similar amount and I am grateful for that. I can live on the interest of the TL portion of my portfolio plus my pension. Now that I have the extra little income, I do not need to do it anymore.
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