Another pretty good month for the markets in February, compared to last year there is certainly a different pace with 2017, at least in these first two months. I think that the rollercoaster will begin soon though, Europe will go through a patch of general elections, and that it’s going to fuel instability in the Euro area, FED announced more interest rate hikes, so maybe the time has come to start buying dollars and T-Bills? Time will tell.
February 2017 sees the new record in terms of TR, beating December 2016 by 0.20%. I have to say that it all happened in the space of a day, because of the market’s rally on Wednsday 1st March. No complaints and let’s keep going on. Options Yield has finally surpassed dividend yield, that’s how it has to be as the risk profile is much higher, I expect this percentage to grow at a faster pace in the future, my target is to hover around 10% with the option returns. TER has risen because a first block of tax related costs (paying an accountant to do certain calculations) has hit the fund, there will be another important hike in June or September when tax returns are due.
If January was a dreadful month, at least at the start of it, February was a much nicer one, mostly because some gridlocked positions are finally coming to their end, freeing up much needed capital gain. The result is a good 863 Euro worth of options gains, easily becoming the best month in the year so far. Options yield jumps from 2.40% to 4.58%. Dividends also played their part with a great 383.75 Euro tally, 48% increase compared to 2016. Clearly the sum of the two brings YoY comparison a bit out of scope as I wasn’t selling options one year ago, but it also shows the potential that this instrument holds.
None to report
New Positions – Sold Positions
None to report