Metamol Works
※April 1stst – December 31st2016 Compound interest performance figures represent all realized and unrealized losses and gains of the Company’s brokerage accounts after commissions, currency adjusted for the specified period as recorded by InteractiveBrokers. Index returns represent total returns including dividends. |
Dear Partner,
In Q3 2022, the total return of the S&P 500 Index was -4.88%, while our investments were -2.25% before fees and -2.88% after fees. At this point you will receive a report from Interactive Brokers detailing your balances, fees, holdings and performance for the past quarter.
International markets are much tougher this year than the US, with Hong Kong’s index down 50% from its recent peak and trading at levels not seen since early 2009 after falling more than 20% this quarter alone. It has become a thing.
With more than half of the portfolio in that market, it’s all you can do to stay roughly flat. The dollar’s historic rally hasn’t helped either, rising 40% against the yen and leaving Japan’s currency in its weakest position since his ’90s. The bear market is far worse than US equities, and hopefully it’s nearing dawn. Most of the companies we own are trading at all-time lows and are showing improved performance after years of bankruptcy, but now, regardless of the company’s performance, people are going to buy more and more stocks. I don’t want to pay
A pause in the yen’s depreciation and a temporary doubling of one of its positions has pushed it up more than 5% in the quarter recently. The company is a pipe trader in Hong Kong, and new construction activity in the recent quarter led to a sharp improvement in both earnings and profits, but then, like most other stocks, prices retreated. I can’t say I haven’t had the temptation to sell 2x quickly, but I believe the company is worth 3-4x its current price and has traded above that level many times in the past. . Only time will tell if the potential deferred rewards are worth it.
By design, we own an industry company that has endured the worst of times. With Hong Kong and Japan tourists down over 95% of his over the past few years and travel restricted by lockdowns, we own a handful of retailers that rely on both tourism and travel. I’m here. He owns a parts supplier for a large name brand whose sales have been hit particularly hard by recent cuts as Japanese car production has fallen by 20% in his three years.
If you believe it, there were no officially reported car sales in Shanghai, a city of 26 million people, during the lockdown this past April. His 2022 IPO earnings in Hong Kong are down 92% from 2021, but we own some of the biggest financial printing, IPO and corporate services companies in the city (although at the moment All priced as microcaps). We also have contacts with hotel-related service providers and construction companies, so we can guess how these industries are progressing these days.
The next few years aren’t going to be good for the market, but I hope the future looks brighter for many of the companies we own than in the recent past.
number one,
Aaron J. Saunders | Owner and Manager of Comus Investment, LLC. asaunders@comusinvestment.com
original post
Editor’s note: The summary bullet points for this article were chosen by the editors of Seeking Alpha.
