Thursday, October 01, 2015

September 2015 Performance

September is basically another repeat of August. There were no merger arb positions closing in September to give my portfolio a boost. I’ve positioned to take advantage of some anticipated merger arb closings in Q4 such as WuXi Pharma Tech (Ticker: WX), Integrated Silicon Solution (Ticker: ISSI) and Dealertrack Technologies. I also have some pre-deal special situation plays such as Molson Coors (Ticker: TAP) and BioMed Realty Trust (Ticker: BMR). I believe the merger positions will help buffer my portfolio during this volatility (unless there’s a blow up).

Just trying to be patient in this market environment and not to over react...

2015 Performance Year to Date = +14.86% with the running monthly returns as follows:

January +3.4%
February +7.03%
March -0.33%
April +0.39%
May +5.59%
June -1.2%
July +5.48%
August -0.89%
September -4.89%

Edit: I sold my position in Molson Coors today to reduce my equity exposure.

Monday, September 28, 2015


The market can behave irrational at times and many of the risk arb plays are behaving as if there is a deal break baked in. I just want to re-evalute all the reasons for being in a particular arb play. For example, with Integrated Silicon Graphic Solution (Ticker: ISSI) based on the communication by the company and looking at the products that they manufacture, I still see a good probability of CFIUS approval for ISSI. I reviewed the companies rationale for the CFIUS approval process and it does make sense to me. See below for excerpts of an investor presentation…