My two biggest recent drawdowns (and averaging down buying sprees) until recently have been short energy, and long financials. Short natural gas and oil have delivered 3 recent payoffs between them, and ING Canada (TSX:IIC) was the first financial to weigh in two days ago. Now today, the market’s favourite whipping boys and walking wounded, the U.S. financialsm paid off big, with the ProShares Ultra Financials ETF (UYG) delivering its first paycheque (to be framed). Between UYG spiking higher, and Broadcom (BRCM) spiking lower after reporting earnings today, the two made a match. Broadcom, go figure, trounced analysts expectations on both revenues and earnings, but fell $2 anyway because they anticipated higher operating costs going forward. OK. So I guess the glass was half empty. Never mind, I own more.
| REAP TRADES | ||||||||
| # | Trade | Qty | Stock | Symbol | Price | Grp | ||
| 65 | Sold | 30% | PrSh Ultra Financ’l | UYG | @ | $22.70 | 1 | |
| 65 | Bought | 118% | Broadcom | BRCM | @ | $25.61 | 1 | |
| Reap methodology detailed in the blogroll under “My Portfolio” | ||||||||
| Qty % are amount by which shares counts are decreased/increased | ||||||||
REAP has given two re-allocation signals in each of the past two days, and barely missed the Triple Crown today when the short grains ETF (TSX:HAD) almost paired up with Credo Petroleum or the NASDAQ short ETF (the last two were neck in neck for doggie honours).
And the portfolio is up again overall today and holding its gains on the S&P500. The oil and gold short ETFs kicked in 12% and 6% gains respectively, as the commodity markets continued to repel down the cliff without ropes. The natural gas long and short ETFs are currently evenly balanced, and canceled out from a P&L perspective, but created good divergence movement in their respective REAP groups.
| PORTFOLIO SUMMARY | 23-Jul-08 | ||||
| (in $C, adjusted for $US exchange rates) | |||||
| PORTFOLIO | S&P500 | S&P500 | SP500 $C | REAP | vs S&P |
| Reference Date | Start | Last | % | % | Var. |
| Inception MAR 07 | 1395.4 | 1282.1 | -23.9% | -23.8% | 0.2% |
| Re-start OCT 07 | 1565.2 | 1282.1 | -16.4% | -11.5% | 4.9% |
| 2008 Year to Date | 1468.4 | 1282.1 | -10.5% | -2.0% | 8.5% |
| Discretionary Trading P&L (included in above results) | -5.3% | ||||
| Dividend Yield (current) | 0.85% | ||||
| Canadian dollar | Last | Inceptn | Var. | Restart | Var. |
| 0.99 | 0.8547 | -15.8% | 1.0069 | 1.7% | |
| Currency Mix | |||||
| Canadian Investments/Cash | 32.9% | ||||
| US Investments | 61.5% | ||||
| Other (country ETFs) | 5.6% | ||||
| Market Bias | Long | 51.6% | |||
| Cash | 0.6% | ||||
| Net Short | 23.9% | ||||
| Net Long | 75.5% | ||||
| Theme Mix | |||||
| Energy / Commodity | 14.0% | ||||
| Short Commodities | 16.0% | ||||
| Environment / Infrastructure | 8.9% | ||||
| Financial | 9.6% | ||||
| Health Care | 10.0% | ||||
| Technology | 15.6% | ||||
| Short Equities | 7.9% | ||||
| Transportation | 8.6% | ||||
| Hospitality | 3.3% | ||||
| Asia | 5.6% | ||||
| Cash | 0.6% | ||||
| Portfolio Notes | |||||
| Inception date is when I started tracking portfolio performance in | |||||
| this blog. I track it to reflect total performance after initial mistakes | |||||
| and discretionary trading losses. A more accurate representation | |||||
| of REAP’s “pure” performance is as of 10 Oct 07, when I | |||||
| re-established it after selling out the portfolio twice due to | |||||
| sub-prime systemic concerns. | |||||
| CANADIAN MARKET HOLDINGS | |||||
| Stock | Sym | Cost | Last | Gain % | Weight |
| Husky Energy | HSE | $42.12 | $40.59 | -3.64% | 3.1% |
| HBP NGas Sht ETF | HND | $10.77 | $12.12 | 12.59% | 3.6% |
| HBP Gold Sht ETF | HGD | $9.98 | $9.83 | -1.47% | 3.8% |
| ING Canada | IIC | $41.12 | $38.50 | -6.38% | 2.3% |
| HBP Ag Grains Bull+ ETF | HAU | $16.07 | $14.10 | -12.28% | 1.9% |
| HBP Oil Sht ETF | HOD | $11.13 | $8.76 | -21.32% | 4.1% |
| IGM Financ’l | IGM | $42.08 | $41.56 | -1.24% | 2.5% |
| HBP Ag Bear+ ETF | HAD | $22.35 | $23.81 | 6.55% | 4.4% |
| Precsn Drilling | PD.UN | $17.65 | $21.83 | 23.68% | 3.5% |
| HBP NGas ETF | HNU | $27.24 | $23.88 | -12.33% | 3.1% |
| US MARKET HOLDINGS | $C Adj | ||||
| Stock | Sym | Cost | Last | Gain % | Weight |
| Broadcom | BRCM | $26.01 | $26.24 | 1.89% | 3.6% |
| Gen & Wyom | GWR | $25.56 | $41.45 | 63.83% | 4.5% |
| PrSh S&P Sh ETF | SDS | $63.30 | $66.12 | 5.51% | 1.9% |
| PrSh Ultra Financ’l | UYG | $25.16 | $23.65 | -5.04% | 4.8% |
| ISh Australia ETF | EWA | $26.59 | $26.46 | 0.50% | 2.7% |
| Formfactor | FORM | $26.57 | $16.30 | -38.03% | 2.4% |
| Harley Davidson | HOG | $49.90 | $39.31 | -20.43% | 4.1% |
| Roch. Medical | ROCM | $12.37 | $11.22 | -8.39% | 2.6% |
| Forest Labs | FRX | $35.70 | $35.27 | -0.22% | 4.3% |
| Nvidia | NVDA | $23.05 | $11.72 | -48.64% | 3.4% |
| PrSh Rus2000 Sh ETF | SKK | $81.18 | $70.36 | -12.45% | 2.4% |
| Buff Wld Wings | BWLD | $29.29 | $30.01 | 3.49% | 3.3% |
| Cree Inc | CREE | $24.32 | $20.07 | -16.64% | 4.1% |
| PrSh Dow Sh ETF | DXD | $54.46 | $61.19 | 13.48% | 1.0% |
| iSh Asia ex-Japn | EPP | $135.60 | $136.51 | 1.69% | 2.9% |
| Credo Petrlm | CRED | $11.39 | $11.75 | 4.17% | 2.4% |
| Q-Logic | QLGC | $15.95 | $18.36 | 16.26% | 6.2% |
| PrSh NASD Sht ETF | QID | $45.37 | $44.16 | -1.68% | 2.6% |
| PrSh Ultra Health ETF | RXL | $56.38 | $58.04 | 3.98% | 3.1% |
| Sun Hydr’lics | SNHY | $24.85 | $39.84 | 61.96% | 1.7% |
| Trina Solar | TSL | $35.67 | $28.24 | -20.03% | 3.1% |
The fun continues …
Cheers,
Allocator
a.k.a. George Parkanyi
gparkanyi@hotmail.com
Copyright 2008 – all rights reserved
2 Comments
July 24, 2008 at 6:43 pm
George,
That Natural Gas market sure is ugly. You must really be jamming.
Jeff
July 24, 2008 at 7:44 pm
Indeed.