Special Situations Real Money Portfolio 2010 Performance
The Special Situations Real Money Portfolio ended the month of December 2010 with a balance of $40,964.34. However, I made a new deposit of $2,000 on December 29th. To keep the analysis a bit simpler, I’m going to assume that the closing balance at the end of the year was $38,964.34. That’s up 4.3% from the November 2010 Special Situations Real Money Portfolio closing balance.
More importantly, the Special Situations Real Money Portfolio returned 25.94% in 2010. I was very please with that performance. However, my 2010 performance was significantly lower than the 50 percent return in 2009.
Since the inception of this portfolio back in October of 2004, I’ve generated a 224.7% total return on my investment. The compound annual growth rate since inception was 29.73% as of December 31, 2010. I’m still very close to the 30.75% annualized rate of return that I reported on at the end of 2009. It’s amazing to think what size this account could grow to in ten years at this pace. That’s when I’ll start to draw down this Coverdell Education Savings Account to pay for my son’s college education.
This portfolio ended with $9,961.49 in cash on December 31, 2010. I picked up three new positions in December and I was cashed out of one holding. That holding was 99 shares of Validus Holdings LTD (VR). I bought those 99 shares of Validus back on November 12, 2010 for $29.49. Those shares were tendered for $30 a share on December 15, 2010 and I had to pay a $25 fee associated with voluntarily tendering those shares. After commissions and fees I only eked out a 0.63% return.
I also collected a dividend associated with Fremont Michigan Insuracorp (FMMH) and and interest payment for my Biglari Holdings (BH) redeemable subordinated debenture.
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Disclosure: At the time this article was posted, I did not hold shares of Validus Holdings LTD (VR). However, I own shares of Fremont Michigan Insuracorp (FMMH) and Biglari Holdings redeemable subordinated debentures.