2020 was a pretty wild ride for investors. And 2021 is also looking like a bit of a roller coaster ride. I've been investing at regular weekly intervals using the micro-investing app Spaceship Voyager. Here is how the app has performed for me over the last 12 months.
My Spaceship Voyager Performance for 2021
Remember that my investment results will differ to others. This is because your returns get impacted by the frequency and timing of your deposits. Over the longer term these differences become less of a factor. Also if you're thinking of investing in Spaceship remember that past performance is a reliable indicator of future returns.
How I invest in Spaceship
I invest in the Spaceship Voyager portfolio. This portfolio is made up companies that Spaceship believes will be important in the future. It's a pretty aggressive investing portfolio, and it suits my goals.
I have a setup a weekly investment on Spaceship that happens automatically. I also top up my account whenever I feel like I've got a bit of extra cash. During 2020 I bought a house 🙂 For the deposit I withdrew my entire Spaceship balance. It had made a really good return – far more than I would have made saving using a bank account. Obviously this approach was more risky. I started investing in Spaceship Voyager from scratch in 2021.
Spaceship doesn't show you your individual performance in terms of percentage. Instead it shows the unit price of the universe fund and how it has performed.
As of writing the Universe portfolio gained ~35% over the past 12 months. That does sound amazing, but remember there was a major recovery from the initial market crash caused by coronavirus (and some other factors). However the return was still much better than the ASX200. If you had invested in an ETF that tracks the performance of the ASX200 you would have seen a return of around ~28% over the same period.
The Big Tech Sell Off
Over the past few months there has been a huge sell off of tech companies. Companies like Apple and Tesla have seen some pretty epic drops. Many of the companies in the Universe portfolio have been effected by this sell off. So the return over 12 months is even more impressive! By having a weekly investment setup I've been able to take advantage of this market dip. So when things start growing again my portfolio is ready!
Longer Term Spaceship Voyager Performance
Since the Spaceship Voyager portfolio began, the fund has an average yearly return of ~29%. The ASX200 iShares ETF has an average yearly return of 8%. Spaceship has only been around for 3 years, so it's still too early to say what its long term performance will be.
Why invest in Spaceship?
- Dollar Cost Averaging – If you invest through a platform like Selfwealth you need to invest at least $500 at a time. For many people, making regular investments of this size just isn't realistic. On Spaceship you can invest just $5 at a time. And that $5 is spread across an entire portfolio! This is great for dollar cost averaging (making investments at regular intervals.)
- It's Cheap – Spaceship is the cheapest way to invest in stocks in Australia. For balances under $5k you pay zero fees! This is a ridiculously good deal. If you're looking to build a nest egg, then Spaceship is a good place to start.
- No need to pick stocks – retail investors who try and pick individual stocks more often than not lose money or underperform the market index. On Spaceship a team of people who know what they're doing have put together 3 different portfolios.
Spaceship Voyager is still my best performing investment. Even though the past few months have been pretty hard for tech stocks, my account over the long term has 4 figure gains. Spaceship works well when you invest small amounts at regular intervals. I'm going to continue investing in Spaceship and will update this post in 2022.