Thursday, September 30, 2010

End of September Rebalance? Not Necessary ...

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Here at the end of the month I would like to re-examine whether we should rebalance.

The short answer is no; I intend to stay the course.

Since our move from the G-Fund on 9/14 we have the following performance:

F-Fund:  -0.2%
C-Fund:  +2.17%
S-Fund:  +3.68%
I-Fund: +2.60%

Overall, I do not invest in the F-Fund, as bonds simply are not going anywhere and all it does is dilute my funds available for the C/S/I funds.

I suggested the following weighting on 9/14, and this weighting is unchanged:

C-Fund/SPY:  29%
S-Fund/VXF:  36%
I-Fund/EFA:  35%

When you weight the performance since the close of 9/14 through the close of 9/29 the net return is +3.30%.  Yes, I missed the run-up of 9/1/10 due to being on vacation; despite this, I am quite pleased with a 3.3% return for the month (not including what the G-Fund contrinuted).

Stay the course for now.

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Remember, you are responsible for your own trading decisions, not me.  Please do your own diligence.

Regards,

pgd

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