Just a quick update on our portfolio fund. The investment toward agriculture through fertiliser producers (write up and discloser of companies yet to come) which were bought on August 19th - the second low relative to the 09th of August - have now been stopped out for a slight profit of a couple of percent.
One of the main rules in the way we run our investment fund, is to make sure that no winning investment ever turns into a losing one. Moving stop losses towards and/or slightly above entry level is very helpful tool for that, once in profit. This trade will be counted as a "break even" despite a slight win.
Trade: Global Fertiliser Producers
Opened: 23rd of August 2011
Related Link: N/A
Risk: POFC 33.3%
Return: ROR +1.5% (Stopped Out)
Since I've started this portfolio theme on the blog, we currently have no longs for the moment. Cash levels now stand at 96%. There are a few shorts making us money on the downside, and even though these trades have minimal risk compared to the overall fund, their return is so far very good. I will be updating the portfolio data properly on the weekend.
[Update]
[Update]
US Dollar has totally exploded to the upside against the Singapore Dollar.
Are you telling me you went short Singapore Dollar at the perfect top and made 9.6 times your money? Jesus Christ! That's impressive. Why did you go short there? Technical reasons only?
ReplyDeleteAlso how come you have 96% cash now?
ReplyDeleteQuestion 1:
ReplyDelete- Currencies: Foreign Currencies & Precious Metals Look Exhausted!
- Currencies: Is The Dollar Rally Real?
- Portfolio Update: Short Singapore Dollar
Question 2:
"For the investor, who has a well-diversified portfolio of assets and has high cash flow (personal income and income from investments), downside volatility offers an opportunity to acquire assets at distressed prices or add to his positions at a more favorable entry point.
However, for the investor without any free cash flow, downside volatility can be extremely problematic because the option to increase positions at distressed prices is not available to him." ~ Marc Faber
Hope that helps.