In the long run I am working towards financial independence. This means that I hope to one day achieve a situation where the income from my investments covers my everyday expenses. The next step would be to increase my investments to the point where I can also reinvest some of the returns since I do not need it to cover my expenses.
Overall I have a plan to be a rather boring investor and balance my investments between three different asset classes.
- Stocks – I invest into single Baltic dividend stocks and balance the risk by also investing into index funds. Currently my portfolio includes a handful of Baltic dividend paying stocks and international well diversified index funds.
- Social lending – I invest into P2P lending and real estate crowdfunding – this is the riskiest part of my portfolio. Currently my portfolio includes both Estonian and Latvian P2P sites.
- Rental real estate. I am hoping to focus small apartments in the northern part of Tallinn. Currently my portfolio includes one rental apartment.