Archive for March, 2011

Nigel said:

Fund Update

Since our last fund update of 28 February, the S&P/ASX200 has declined nearly 6%, the US S&P500 5% and the German DAX 10%.

While there has been some changes at the margin, our overall positioning has not changed materially. The main activity was in early March where we bought more out of the money put options on an Australian bank which we considered a broad market hedge – in recent days we have taken some profits on this position.

Over the past couple of weeks, several of our US and European holdings have reported full year 2010 results. These results have largely met our expectations. If weakness continues it may provide the opportunity to build on our core positions.

As at 16 March the fund is 33.7% long and 2.6% short. We also have positions in Australian bank put options (as referenced above), IAG call options and Yen put options. The fund’s large cash position leaves it well placed to take advantage of opportunities as they arise.

Thursday, March 17th, 2011

Yes or no?