Hello! This brings the results of the final quarter and first full year of the fund.
Results
2021 Q1 results
Jan 1st
March 31st
$ change
% change
Jones Fund
$343,517.41
$380,653.33*
+$37,135.92
+10.8%
S&P500
$3,756.07
$3,972.89
+$216.82
+5.77%
Difference
+5.03%
Total results
April 1st
March 31st
$ change
% change
Jones Fund(Normalized)
$100
$150.97
+$50.97
+50.97%
S&P500
$2,470.50
$3,972.89
+$1,502.39
+60.81%
Difference
-9.84%
* We are currently at around $223,000 in cash.
This closes out the first year of the fund, and I am quite pleased with a 50%+ return, although we’re still lagging the market’s incredible recovery.
Lethargy bordering on sloth
"Lethargy bordering on sloth remains the cornerstone of our investment style."
- Warren Buffett
I have sold a single holding of ours in this last quarter, and there has been no other change in our holdings.
I continue to see combinations of headlines explaining the multitude of bubbles we’re in. We also continue to hit market-highs, pushing my favorite companies further and further out of reach. I must remember that this is the best time to research companies.
Most of our gains have been achieved through a combination of short-term options trades and our remaining holdings going up with the market. In some cases we have unrealized gains of over 100%(I feel unreasonably proud of these holdings).
In short, my strategy remains the same. There are more companies that need to be researched and there are more trades that will continue to fuel our profits. I have also developed some tools that will allow me to better monitor trades and maximize profit.
Fund formation updates
I had certainly hoped that the new fund would be complete by this point. The bad news is that it is not; the good news is that we now have multiple options in front of us.
One thing that has become exceedingly clear to me is that taxes, without a fund structure, are a huge pain. My recent conversations with attorneys and frustration around the structure has strengthened my efforts to quickly come to a resolution.
I will let you know as soon as there are solid updates.
Types of investments
In finance-speak you could describe the fund as being run by“story-driven fundamental investors with price-driven investments that use options for short-term cashflow.” This is in essence saying that we invest in two types of investments:
the standard stock market
options trades
I am currently researching a third avenue in the real estate market. All the investment requirements would be the same:
Results
Lethargy bordering on sloth
Fund formation updates
Types of investments