March 8, 2012
Daily commentary, current portfolio structure and history follow.
Please direct questions and comments to:
Drach Market Research
2910 Kerry Forest Parkway D4-210
Tallahassee FL 32309
Tel. (850) 576-2680
E Mail DrachMkt@aol.com
Position Changes: None.
Major movements (+ or – one point or more among holdings): 3M +1.24.
Basic Summary (positions itemized after daily commentary)
Relative performance (market to market) vs. S&P 500 since initiation
This Portfolio Model + 211%
S&P 500 + 162%
Portfolio model initiated 5/5/95, archived and marked to market daily.
Initial S&P 500 level 520.12. Initial portfolio value $520,120.00
Current portfolio value $1,621,785.78, gain 211.81%
These results are reflective as to capital capture and market price of current holdings, itemized below. They do not include cash dividends, interest earned on cash balances, transaction costs, or anything else.
Current Stock vs. Cash Allocation
$1,040,358.62 (64%) stock. $581,427.16 (36%) cash equivalents.
Summary of Closed Positions
Total Positions 459 Average Position Profit 413 (89.97%) Percentage + 7.19% Loss 46 (10.03%) Days Held 220 Even 0 ( 0%) Annualized + 11.93%
The worst day of the year has been followed by the strongest two day streak of 2012. After three volatile days, markets remain mixed from Monday’s close. Tuesday’s decline has quickly become eclipsed by the quick rebound and economic data (non-farm payrolls due out tomorrow), but it is more likely to be an indicator of increased volatility.
This week’s moves have also reduced pricing stratification that had emerged in recent weeks. The recent rally remains less than uniform, but some convergence among equities has reduced strains. This model portfolio does not anticipate an imminent buying opportunity, but it remains attuned to add a position in the event of further weakness or price divergence.