Stocks had great gains today as the Federal Reserve decided on their latest monetary policy decision bringing confidence back to the stock market (article). The Fed laid out a plan to bring up interest rates, currently at near zero, if the economy continues it’s growth and recovery post-pandemic. See rate increases 6 or 7 times up by 2024. This would be a slower and gradual increase starting in 2022 (article).
How this affects our $1000 investment in Wealthfront – our Wealthfront stocks are still below our initial investment at $986.33, but had an $4.72 daily increase. Stocks win over REITs today since there was no growth in REITs, but overall, the running total balance of $1007.56, still much higher than stocks.
TLDR; What’s this all about? I invested $1000 in both REITs (Real Estate Investment Trust) and the Stock Market, and now it’s a challenge to seeing which one will perform better in the next 5 years. You can read the start here.
Here’s the numbers today:
Stock Investment – Wealthfront
Today’s balance: $986.33 (Net returns to date: $13.67 losses)
Day change: $4.72 increase since yesterday – $981.61
Historical info: Invested $1000 on August 2, 2021
REITs – Fundrise
Today’s balance: $1007.56 (Net returns to date: $7.56 gain)
Day change: $0.00 (no growth for REITs today) since yesterday – $1007.56
Historical info: $1000 on July 27, 2021 (initial investment)
Wealthfront Funds snapshot:
All lifetime earnings all of these funds are down. US stocks representing a 0% decrease overall from a 0.7% decrease overall and Foreign developed stocks showing a 3.3% decrease overall. These are better since today was positive for the stock market, but our funds still haven’t recovered from the September losses.