{"id":1140,"date":"2007-09-04T12:35:27","date_gmt":"2007-09-04T16:35:27","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=1140"},"modified":"2007-09-04T12:35:27","modified_gmt":"2007-09-04T16:35:27","slug":"mapf-performance-august-2007","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=1140","title":{"rendered":"MAPF Performance : August, 2007"},"content":{"rendered":"<p>Malachite Aggressive Preferred Fund has been valued for August, 2007, month-end. The unit value is $9.3309. Returns over various periods are:<\/p>\n<div align=\"center\">\n<table border=\"1\">\n<tr>\n<td colspan=\"2\">MAPF Returns to\u00a0August 31, 2007<\/td>\n<\/tr>\n<tr>\n<td>One Month<\/td>\n<td>-0.34%<\/td>\n<\/tr>\n<tr>\n<td>Three Months<\/td>\n<td>+0.77%<\/td>\n<\/tr>\n<tr>\n<td>One Year<\/td>\n<td>+3.37%<\/td>\n<\/tr>\n<tr>\n<td>Two Years (annualized)<\/td>\n<td>+4.63%<\/td>\n<\/tr>\n<tr>\n<td>Three Years (annualized)<\/td>\n<td>+5.26%<\/td>\n<\/tr>\n<tr>\n<td>Four Years (annualized)<\/td>\n<td>+8.32%<\/td>\n<\/tr>\n<tr>\n<td>Five Years (annualized)<\/td>\n<td>+10.26%<\/td>\n<\/tr>\n<tr>\n<td>Six Years (annualized)<\/td>\n<td>+9.74%<\/td>\n<\/tr>\n<\/table>\n<\/div>\n<p>Returns assume reinvestment of dividends, and are shown after expenses but before fees. Past performance is not\u00a0 a guarantee of future performance. You can lose money investing in Malachite Aggressive Preferred Fund or any other fund. For more information, see <a href=\"http:\/\/www.himivest.com\/malachite\/MAPFMain.php\">the fund&#8217;s main page<\/a>.<\/p>\n<p>The fund underperformed this month; there were two major reasons for this:<\/p>\n<ul>\n<li>A position in BAM.PR.M \/ BAM.PR.N underperformed. What can I say?\u00a0The fund bought them when they were cheap (according to me!) and they promptly declined to a level where they&#8217;re stupid-cheap (according to me!). It happens. Volume in these issues has picked up substantially since the <a href=\"http:\/\/www.prefblog.com\/?p=1073\">mid-month price collapse<\/a> and the price has recovered somewhat.<\/li>\n<li>The fund has a large weighting in split-shares, which underperformed this month. The market is\u00a0currently deeply discounting split shares as a\u00a0class, as I <a href=\"http:\/\/www.prefblog.com\/?p=1111\">noted in a post on August 28<\/a>\u00a0<\/li>\n<\/ul>\n<p>A disappointing month, but\u00a0beating the index\u00a0every single month\u00a0is a difficult thing to do!\u00a0\u00a0I&#8217;ll just keep grinding away and swapping issues when the odds (according to me!) are in my favour.<\/p>\n<p>Claymore <a href=\"http:\/\/www.claymoreinvestments.ca\/ETFs\/Public\/fund\/History.aspx?ID=4dbd3e8b-3e6f-4377-810d-6c884faef157\">has published their final monthly numbers<\/a> and I have derived the following table:<\/p>\n<div align=\"center\">\n<table border=\"1\">\n<tr>\n<td colspan=\"5\">CPD Return, 1- &#038; 3-month, to\u00a0August 31<\/td>\n<\/tr>\n<tr>\n<td>Date<\/td>\n<td>NAV<\/td>\n<td>Distribution<\/td>\n<td>Return for Sub-Period<\/td>\n<td>Monthly Return<\/td>\n<\/tr>\n<tr>\n<td>May 31, 2007<\/td>\n<td>19.44<\/td>\n<td>\u00a0<\/td>\n<td>\u00a0<\/td>\n<td>\u00a0<\/td>\n<\/tr>\n<tr>\n<td>June 26<\/td>\n<td>18.97<\/td>\n<td>0.198800<\/td>\n<td>-1.40%<\/td>\n<td rowspan=\"2\">-1.40<\/td>\n<\/tr>\n<tr>\n<td>June 29<\/td>\n<td>18.97<\/td>\n<td>\u00a0<\/td>\n<td>0.00%<\/td>\n<\/tr>\n<tr>\n<td>July 31, 2007<\/td>\n<td>18.95<\/td>\n<td>\u00a0<\/td>\n<td>0.00%<\/td>\n<td>-0.11%\u00a0<\/td>\n<\/tr>\n<tr>\n<td>August\u00a031, 2007<\/td>\n<td>19.04<\/td>\n<td>\u00a0<\/td>\n<td>+0.47%<\/td>\n<td>+0.47%<\/td>\n<\/tr>\n<tr>\n<td colspan=\"4\"><strong>Quarterly Return<\/strong><\/td>\n<td><strong>-1.05%<\/strong><\/td>\n<\/tr>\n<\/table>\n<\/div>\n<p>It should be explicitly noted that the CPD returns are shown AFTER ALL FEES AND EXPENSES, while the MAPF numbers are shown after expenses, but before fees &#8230; so to make the numbers more comparable, take the annual fee <a href=\"http:\/\/www.himivest.com\/malachite\/MAPFMain.php\">from the fund&#8217;s web page<\/a> and divide by the appropriate number to obtain the period&#8217;s fee.<\/p>\n<p>So, while August&#8217;s\u00a0returns were sub-par, the quarterly number still looks very good.\u00a0<\/p>\n<p>Trading in August was actually very quiet (with the exception of a BAM.PR.M \/ BAM.PR.N swap). Volumes were\u00a0low, spreads were high;\u00a0I put in quite a few limit orders to try to take advantage of the high spreads, but\u00a0there were\u00a0only a few traders out there sufficiently desperate to trade that\u00a0they\u00a0were willing to accept my lousy prices. A return of volume in September\u00a0will, I hope, lead to increased trading possibilities.\u00a0<\/p>\n<p>The <a href=\"http:\/\/www.sentryselect.com\/English\/Products\/DiversifiedPreferredShareTrust\/default.aspx\">DPS.UN NAV for August\u00a029<\/a> has been published, so we can calculate the August-ish returns for it:<\/p>\n<div align=\"center\">\n<table border=\"1\">\n<tr>\n<td colspan=\"4\">DPS.UN NAV Return, August-ish 2007<\/td>\n<\/tr>\n<tr>\n<td>Date<\/td>\n<td>NAV<\/td>\n<td>Distribution<\/td>\n<td>Return for period<\/td>\n<\/tr>\n<tr>\n<td>August 1, 2007<\/td>\n<td>$22.23<\/td>\n<td>\u00a0<\/td>\n<td>\u00a0<\/td>\n<\/tr>\n<tr>\n<td>August 29, 2007<\/td>\n<td>$22.14<\/td>\n<td>$0.00<\/td>\n<td>-0.41%<\/td>\n<\/tr>\n<tr>\n<td colspan=\"3\"><strong>Time-Weighted, August-ish<\/strong><\/td>\n<td><strong>+0.22%<\/strong><\/td>\n<\/tr>\n<tr>\n<td colspan=\"4\"><em>CPD had an NAV of $18.95 on July 31\u00a0and $18.97 on\u00a0August. The\u00a0beginning-of-month\u00a0stub period return for CPD was therefore +0.11%.<\/em><em>CPD had a NAV of $18.94 on\u00a0August 29\u00a0and $19.04 on August 31. The\u00a0end-of-month stub period return for CPD was therefore +0.52%.<\/em><em>Inclusion of these two stub periods will therefore have the net effect of increasing DPS.UN&#8217;s returns by about 0.63%; adding this\u00a0to the measured returns for the\u00a0 measured period results in a August-ish return for DPS.UN of +0.22%.<\/em><\/td>\n<\/tr>\n<\/table>\n<\/div>\n<p>Now, to see the DPS.UN quarterly NAV approximate return, we refer to the calculations for <a href=\"http:\/\/www.prefblog.com\/?p=942\">June-ish<\/a> and <a href=\"http:\/\/www.prefblog.com\/?p=1028\">July-ish<\/a> to derive:<\/p>\n<div align=\"center\">\n<table border=\"1\">\n<tr>\n<td colspan=\"2\">DPS.UN NAV Returns, three-month-ish to end-August-ish, 2007<\/td>\n<\/tr>\n<tr>\n<td>June-ish<\/td>\n<td>-1.33%<\/td>\n<\/tr>\n<tr>\n<td>July-ish<\/td>\n<td>+1.38%<\/td>\n<\/tr>\n<tr>\n<td>August-ish<\/td>\n<td>+0.22%<\/td>\n<\/tr>\n<tr>\n<td><strong>Three-months-ish<\/strong><\/td>\n<td><strong>+0.25%<\/strong><\/td>\n<\/tr>\n<\/table>\n<\/div>\n<p>So we have the same pattern: underperformance over a one-month period, but out-performance over three months. \u00a0<\/p>\n<p>Note that the DPS.UN returns are net of all fees and expense, while the MAPF returns shown\u00a0above are after expenses, but BEFORE FEES.<\/p>\n<p>To see MAPF performance for a wide variety of periods, with comparisons to the BMO Capital Markets 50 Index (formerly the BMO-NB 50 Index), please see the <a href=\"http:\/\/www.himivest.com\/malachite\/MAPFMain.php\">fund&#8217;s main page<\/a>, where there are numerous links under the heading &#8220;Performance&#8221;.<\/p>\n<p><b>Update<\/b>: Portfolio composition as of August 31\u00a0is discussed <a href=\"http:\/\/www.prefblog.com\/?p=1141\">here<\/a>.\n<\/p>\n<p><!--1f8e06441f9991db9a4e9b5624732426--><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Malachite Aggressive Preferred Fund has been valued for August, 2007, month-end. The unit value is $9.3309. Returns over various periods are: MAPF Returns to\u00a0August 31, 2007 One Month -0.34% Three Months +0.77% One Year +3.37% &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[],"class_list":["post-1140","post","type-post","status-publish","format-standard","hentry","category-mapf"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/1140","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1140"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/1140\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1140"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1140"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1140"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}