Flat November
November 30th, 2006 by 
reality
Good gains in energy offset continuing losses in market timing, where my system is still short. New records for worst drawdown and longest trade. But as other comments have mentioned, the economy is in poor shape and the markets are diverging dramatically. Can you say 3Q29?
| Measure | November | YTD |
|---|---|---|
| Absolute Performance | (0.1)% | (3.12)% |
| Relative Performance | (2.42)% | (11.31)% |
Relative performance is based on Fidelity Magellan, FMAGX.
10/31 portfolio.
| Asset class | % Allocated | Comment |
|---|---|---|
| Energy | 33.63 | Canadian income trusts: Pengrowth, Peyto, Provident, True |
| Absolute Return Funds | 3.86 | HSGFX, Hedge Fund (reduced HSGFX) |
| Market Timing | 26.18 | Put options and bear funds equiv. to 200% short (basis total equity). Added some foreign currency longs. |
| Metals & Mining | 5.29 | Newmont |
| Real Estate | 2.28 | Put options on homebuilders and finance companies XHB, CFC, COF, FNM, MTG and the banking index, BKX. Also RTH for the expected slowdown in spending. |
| Technology | 0.34 | Put options FSL, RIMM, INTC, HPQ. Added SMH. |
| Fixed Income | 20.37 | Mostly T-bills and a small long bond position. |
| Cash | 7.40 |
Posted in Asset Classes, Strategy & Scenarios | 
December 1st, 2006 at 9:16 am
Curious as to your rational for reducing HSGFX? I am very familiar with the fund and it is by far my clients single largest holding (and not by a small margin). Based on my knowledge of the fund, we are at the very point in the cycle when its performance should begin to be compelling. Thanks…