February 2012

ScIoN Fund (mid-long term)


YTD: 12.64%
Benchmark (PSEi): 11.4%

The following is the composition of my trading portfolio: (as of Feb 29, 2012)

February saw the rise of FDC and I hope that it will still continue.  With its book value still far below market, plus the planned IPO of EWB, I am still holding this stock perhaps before or after a planned secondary IPO or private placement will be announced.

I have repositioned my portfolio a little bit away from mining stocks (PX, LC/B) and slowly diversified to other sectors.  My exposure to mining is now limited to MARC which seems to be a good prospect as based on its report on earnings and operations.

Oil has now been an issue due to the news on Iran. I choose PXP to be a good mid-long term stock.  I just hope that they would no longer require equity financing as it would shake down the stock's market prices.  A lot of companies had been undergoing private placements lately, and the market has not responded too well on such kind of news, at least for the short-term.

Unexpectedly, TA announced another SRO this year which dragged down the prices; thus, hitting my sell indicators.  Seems like TA is maintaining a debt-capital ratio of around 40:60 (max).  I still like this stock since it is both Power and Oil play.  Although I expect market prices to go down as effect to the news on SRO.

February was a good month as it extended gains.  My portfolio reached a max YTD of 15% until profit-taking happened during the latter days of the month.  I think we'll be under a consolidaton phase for 1-2 more weeks before we get to see any action.  Good thing I'm 20% cash right now, I'll practice range trading and will also start accumulating for the strong index stocks.

AJC Fund (short term)

YTD: -2.97%
Benchmark: -1.4%

Much of the loss was attributed to the sudden SRO news on TA which caused it to drop to as low as 1.12 from 1.31.  Fundamentals of TA is still good and intact, however, my strategy for the AJC Fund would be more on short-mid term unlike the ScIoN fund which is mid-long term.

The run-up of stocks was for those who already had positions at the end of January.  Positioning in February was a bit tricky, a lot of setups became bull/bear traps.  For now, I have positioned the fund into 30% MARC, short term on SLI (15%) and the rest on cash.  There are still oddlots on EDC and BEL which I can't dispose, so I'll just leave them there for now.

The Benchmark portfolio is based on the original portfolio when it was handed over to me.  Assuming if I did not change anything, YTD is at -1.4%.