Special Situations Real Money Portfolio January 2009 Update

The Special Situations Real Money Portfolio kicked off 2009 with a slow start. The ending balance on January 30, 2009 was $17,085.50. This is down 7.93% from where it was at the end of December. You would think that I would be concerned with that poor performance, but I am not.

I have several great special situations that are still working themselves out. In fact, just yesterday Meadow Valley Corp. (MVCO) announced the completion of its going private transaction. Shares of MVCO jumped 74.73% after hours on the news. I have 500 shares of the stock in the Special Situations Real Money Portfolio, so I expect this portfolio’s performance for the year to jump into positive territory when I am cashed out of this position.

I also have two other opportunities that will be closing soon. These include Puget Energy Holdings (PSD), NDS Group PLC (NNDS), and a small position in Emageon Inc. (EMAG). The only weak play I currently hold is Rohm & Haas (ROH).

Going back the Special Situations Real Money Portfolio performance numbers, since inception back in 2004 my overall return is 70.85%. Adjusting for new funds and the timing of returns, the IRR for this portfolio is a very respectable 19.65% at the close of business on January 30, 2009.

I am currently fully invested (only $24.08 in cash) and am waiting to be cashed out of a few positions in the next few weeks before adding news stocks. If you are interested in tracking my latest research and stock purchases, consider subscribing to Fat Pitch Financials Contributors Corner, my premium research service and investor community.

Disclosure: I own shares of PSD, MVCO, NNDS, EMAG, and ROH at the time of making this post.

4 thoughts on “Special Situations Real Money Portfolio January 2009 Update

  • February 3, 2009 at 6:09 pm

    Man that is some serious analysis. I’m glad I don’t have many single holdings anymore because I would spend hours researching companies I owned. I’m happy to watch others do it so I look forward to your next update.

  • February 5, 2009 at 1:01 am

    Well done George. I’m also in PSD and was in NNDS. The latter scared me though, given some of the financing rates that the acquirer was paying. High rates suggest higher risk, which made me worry that the banks might bail at the last instant, or some other BCE-type chicanery.

  • March 11, 2009 at 3:48 am

    Hi George, sorry for these rather mundane question. Can you be contacted via email?
    The amount of $17,085.50 seems a bit small. Aren’t you afraid, that trading fees are eating away most of your gains (This my major concern)? What online brokers are you using? And did you consider taxes? Thanks for this great blog – Really inspiring!

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