Sunday, June 04, 2023

May 2023 Performance

Midway through the year and the market is holding up well considering the rise in interest rates and the geo-political issues. There were no changes made to the portfolio with the top three holdings making up ~ 80% of the portfolio (Apple = 42%, Visa = 21% and Constellation Brands = 20%). I’m still comfortable with this concentration but may gradually transition to an S&P 500 index approach.

I’m still selling out of the money options to generate some income. I’ve taken a more conservative approach by going further out of the money than I usually do. With interest rates this attractive, there no need to take additional risk.

I’ve stayed away from merger arb plays this year as the regulatory risk is way too high. This used to be my primary source of generating income, but just have to adapt to changing conditions.

2023 Performance = +17.60% with the running monthly returns as follows:

January +8.04%
February -1.60%
March +6.31%
April +2.39%
May +1.02%