Posted by Davy on March 31st, 2008 in Enlightened-American Portfolio
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As always, you can find the portfolio page here.

YTD through 03/31/2008, i.e. the first quarter, our portfolio is +11.2%.  This compares favorably to the major US averages which range from -7.6% (DJIA) to -14.1% (NASDAQ).

The bulk of our gains have been driven by our commodity plays, despite the recent “bubble bursting.”  Even our losing picks (namely the international telcos) have outperformed the worst performing US index with an added kicker of sizable dividends to be paid as the year progresses.  We also continue to realize good returns selling puts on undervalued stocks, which should help smooth returns even if commodities continue their sell-off.

I am comfortable with most of the portfolio though DVN may be a candidate for divestment, despite the tax hit.  AEM has dropped quite a bit from its March highs and I’m willing to hold it through the one-year period.  A severe pullback in gold is a looming possibility but fundamentally, a loose monetary environment is in full effect and as such, the odds are in our favor long-term.

As always, I concede these results could be pure luck and there is every possibility that I will proceed to lose all of our money in the following months.  Please do your own due diligence and take responsibility for your financial planning.