Full website: www.eternalgrowthpartners.com
Happy
New Year to all readers. This will be
the final post made at the www.eternalgrowthpartners.blogspot.com
address; all future posts can be found exclusively at www.eternalgrowthpartners.com. The 6 months ending 31 December 2011 ended up
being a difficult one for our portfolio, we trailed the market by 1.49%, which
would be more tolerable in a market posting good gains, but unfortunately it
came in a market that was down 9.71% for the 6 month period. Fellow owners will probably be somewhat
pleased to note that under the EGP Fund No. 1 Pty Ltd fee structure; this means
we are entitled to no performance fee, for that would require the achievement
of outperformance over a full 6 month period (alongside a positive return). This, coupled with the fact we charge nothing
in management fees, means you have paid nothing for this (admittedly fairly
ordinary) performance. That is as it
should be. The earning of fees for the management of assets should rightly
require the outperformance of some reasonable benchmark to occur.
We
retain, over the full 9 months of operation, a handsome 9.59% advantage over
our benchmark (the ASX200 Total Return index), which I am hopeful of adding to
this period. If we can maintain anything
approaching this advantage over the benchmark over an extended period, we
should be well served.
I
remain extremely confident in our holdings.
The weighted average stock prices of the portfolios holdings are backed
by about 25% in cash alone, add to this the fact the group also possess sound underlying
businesses and the returns should come, and I’m hopeful we will see them in
fairly short order in some cases – Tony Hansen 01/01/12.
April 1st 2011
|
July 1st 2011
|
Current Price
|
Current Period
|
Since Inception
|
|
EGP Fund No. 1
|
1.00000
|
1.08396
|
0.96254*
|
(11.20%)
|
(3.75%)
|
35632.05
|
34200.68
|
30879.12
|
(9.71%)
|
(13.34%)
|
*Unaudited
price will be confirmed via external audit as soon as possible.