The Model Portfolio Updates…
Hi PCA Fans,
So, I though we were screwed as the markets fell apart after we started this model portfolio near the all time highs in the market.
But, PCA did exactly what it was designed to do and strategically deployed cash into market weakness.
We had weakness… lots of it.
The software went on a buying spree all the way down and loaded the boat on shares on everything we owned.
Eventually we stopped buying as some of the holdings actually depleted the cash reserves for each holding.
We did NOT add additional money to keep buying.
As things turned out… we had one heck of a market rally off the lows and as usual, no one saw that coming either.
We started with 11 holdings at a cost of 357,929.00 and we have had numerous trades generated by the software.
Now we have only 10 holdings as I sold all of QLD. and took a 25% loss on the whole deal.
All told we are down about 1.4% on this whole portfolio and that is not too bad considering what people went through since we started this model portfolio back in August of 2008.
