Saturday, March 31, 2012

Monthly Review - March 2012

March saw the value of the portfolio decline, largely in line with the movements in equity markets and adverse exchange rate movements. Positive cash from on the properties (fully leased) only partly offset the losses elsewhere. Savings for the month were negative - and I cannot recall the last time that happened.

Here are the details:

1. my Hong Kong equity portfolio fell. I purchased shares in CKI Holding, BCIA, Tibet 5100, Cosco Pacific and CNOOC;

2. my AU/NZ equities were flat; ETFs fell in line with the local markets, with all being negative;

4. my commodities fell, led by silver;

5. all of my properties were occupied with all tenants paying on time. One property had a two week vacancy between tenancies and substantial costs were incurred in redecorating etc;

6. currency movements were negative, as the NZD and AUD fell against the HKD/USD;

7. my position in bonds remains small. No bonds were purchased this month. I would like to add some more bonds to the portfolio but am finding direct purchases of bonds through the banks I have accounts with to be something of an exercise in frustration in Hong Kong;

8. I had no open derivative positions;

9. savings were negative due to a combination of low income (March is usually the lowest month of the year) and high expenses (paying for our annual holiday in April, the personal expenses for a recent business trip to London, my life insurance premium for the year being paid and the annual premium for the family's medical insurance - of these only the holiday costs had been substantially provided for through my accruals).

My cash position declined due to new investments. I currently hold 49.3 months of expenses in HKD cash or equivalents. This is more than enough - in fact it is too high given current inflation levels and the near zero nominal yields on bank deposits.

For the month, my net worth fell by 1.47%. The year to date increase is 13.95%. The year is off to a good start and I remain on track to retire at the end of 2012.


JD said...

What do you make of the synthetic Vs Physical ETF issue? Is this of any concern to you? eg your vietname ETF.

Also ETF do you currently hold at the moment apart from the DB vietname ETF?

traineeinvestor said...


Apologies for the delay - I just got back from holiday.

I'll do a separate post on the ETF's inclduing the synthetic issue.