I am pleased to announce that my performance has been updated and that my wallet can celebrate its fifth quarter in positive performance. During Q1-2010, my portfolio produced a return of 4.37% compared In my March to 2.26%.
I'll enjoy this first post on my performance a bit to explain my calculations. Among other things, for those who do not know what March 1, I suggest you read my column for almost a year ago on the comparison benchmark vs MAR ( http://financeanalyse.blogspot.com/2009/ 04/le-benchmark-une-bonne-chose.html ).
I would add one important point to this quote I had written this note: "The important thing is to try to beat [our MAR] ... and to truly! So you want to do At a minimum, as well as passive management [which is our March]. " This sentence is obvious in a sense. If I offers a choice between 2% yield on one month and 74% ... my decision will not be very long if we have the same level of risk! The subtlety that was missing in my text on the benchmark was the whole notion of risk. It's fine to want to beat her in March, but it should be maintaining a similar degree of risk.
For my part, unfortunately, I calculate my performance only at the end of the month. This meant that I only have 12 observations to assess the change in my portfolio over the year. A risk assessment of the portfolio is complex and not statistically significant due to the insufficient number of observations. And take the values before December 2008 to calculate my risk would be absurd: I learned my lessons and it has drastically decreased.
The only measure of risk that I calculate is the standard deviation of my portfolio. Culated, my deviation from March 2009 is 22% (12% in March) compared to 55% in the period before March 2009 (20% in March). This is a significant decrease is largely attributable to redesign my portfolio in March 2009. My standard deviation higher than 10% in March was mainly due to the fact that I was on line a good portion of that period. The content of the next paragraph is also partially responsible. My calculation
monthly performance also cause an impact in relation to deposits and withdrawals that I do. However, I adjusted my performance calculation to make sure I underestimate automatically imposing deposits on the first day of the month and withdrawals at the end (only in my calculations). For example, this method gives me a yield of 4.42% in March 2010 instead of 4.70% if I had seen the magazine as being made at the end of the month.
positions in sales mode
Currently, some titles are still in the portfolio because the right time to sell is not yet come. In fact, all my titles, Except for Westjet and ECB are in sales mode. I have also completed the sale of Canadian REIT Monday.
Manulife was an error. A few weeks after holding the title, management took decisions without logical to me. I still kept telling myself that I will well understand. I'm still waiting for a revelation!
I like GE but I feel that looking at the figures of the company that no major additional gains to be made. I will most likely retain the title, but selling shortly (1-3 months) my option.
ETFC was also a mistake, but partial Pay! I intend to sell the security before the shareholders meeting to be held in May. The company should then have the okay to proceed with a reverse-split ...
option on Citigroup expects the next results in less than a month. It should normally be sold in the week after publication unless new changing all that.
ECB is preserved because it provides great stability in my portfolio and a steady income and interest (dividend over 5%). Westjet offers instead the element growth and potential.
0 comments:
Post a Comment