RSIC Fundamental Portfolio Review
August 2002
Although
the Fundamental Portfolio only started in earnest last year, the majority of
purchases prior to that date were made for fundamental reasons. I have
therefore included all purchases prior to the setting of the strategy to be for
the fundamental portfolio except for Atlantic Caspian and Templeton Emerging
Warrants. Parity is treated as having been in the Fundamental Portfolio until
August 2001 when it was transferred to the Speculative one.
Richard
W, 18 August 2002.
·
Overall
performance during the last year has been poor, with a net loss of almost £500
over the year representing a loss of 14.8% measured using the Internal Rate of
Return;
·
Despite
this, however, the portfolio has outperformed the FTSE 100 by 4.1%;
·
Since
the start of the club, all purchases made on grounds that would have qualified
the share for the Fundamental Portfolio have shown a combined profit of 19.5%.
Objectives
of the Strategy for the Fundamental Sub-portfolio are (not necessarily in
priority order):-
a)
To
achieve an average annual rate of return on investment across the portfolio
that beats the FTSE 100
Met - beat the FTSE 100
although still produced a loss in absolute terms.
b)
To
protect against significant losses and to increase market knowledge by
diversification across sectors.
Met - during the year, the
portfolio has held seven shares from six different sectors.
The
following purchases have taken place to date (current holdings valued at
realisable value):
|
Company |
Date Bought |
Price |
# Shares |
Cost |
Dividends |
Date Sold |
Sale / Current Price |
Proceeds / Current Value |
Gain / Loss (inc dividends) |
Gain / Loss % |
|
Science Systems |
21/10/98 |
145.80 |
500 |
£1,027.34 |
£11.05 |
23/02/01 |
583.00 |
£2,892.40 |
£1,876.11 |
182.6% |
|
ARM Holdings |
20/01/99 |
72.80 |
700 |
£509.49 |
£0.00 |
16/03/01 |
308.20 |
£2,145.40 |
£1,635.91 |
321.1% |
|
Workplace Technologies |
18/05/99 |
170.10 |
450 |
£765.26 |
£2.70 |
05/10/99 |
228.00 |
£1,026.00 |
£263.44 |
34.4% |
|
Total Systems |
22/12/99 |
79.50 |
1000 |
£810.98 |
£0.00 |
08/06/00 |
90.00 |
£888.00 |
£77.02 |
9.5% |
|
Parity[1] |
29/12/99 |
338.75 |
289 |
£998.88 |
£19.00 |
17/08/01 |
44.00 |
£127.16 |
-£859.95 |
-86.1% |
|
Cable & Wireless |
12/01/00 |
950.25 |
80 |
£776.00 |
£25.20 |
21/01/02 |
296.34 |
£237.08 |
-£513.72 |
-66.2% |
|
Tibbett & Britten |
27/04/00 |
613.00 |
160 |
£997.70 |
£37.12 |
20/09/01 |
616.00 |
£973.60 |
£13.02 |
1.3% |
|
Science Systems |
03/05/00 |
540.00 |
53 |
£286.20 |
£0.41 |
23/02/01 |
583.00 |
£306.59 |
£20.80 |
7.3% |
|
Delta |
28/09/00 |
120.00 |
810 |
£988.86 |
£64.90 |
19/10/01 |
96.10 |
£766.41 |
-£157.55 |
-15.9% |
|
Cable & Wireless |
16/11/00 |
897.51 |
85 |
£788.69 |
£14.03 |
21/01/02 |
296.34 |
£251.89 |
-£522.77 |
-66.3% |
|
Headlam |
29/12/00 |
138.50 |
709 |
£998.88 |
£134.36 |
|
260.00 |
£1,831.40 |
£966.88 |
96.8% |
|
Blick |
16/05/01 |
224.80 |
437 |
£999.29 |
£63.37 |
18/06/02 |
180.80 |
£778.10 |
-£157.82 |
-15.8% |
|
Logica |
29/05/02 |
226.39 |
346 |
£799.23 |
£0.00 |
|
151.50 |
£512.19 |
-£287.04 |
-35.9% |
|
Fulcrum Pharma |
06/06/02 |
12.65 |
4625 |
£599.99 |
£0.00 |
|
10.25 |
£462.06 |
-£137.93 |
-23.0% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
£11,346.79 |
£372.14 |
|
|
£13,198.28 |
£2,216.40 |
19.5% |
During
the previous twelve months the following purchases have taken place:
|
Company |
Date Bought |
Price |
# Shares |
Cost |
|
Logica |
29/05/02 |
226.39 |
346 |
£799.23 |
|
Fulcrum Pharma |
06/06/02 |
12.65 |
4625 |
£599.99 |
|
|
|
|
Total |
£1,399.22 |
The
following sales have taken place:
|
Company |
Date Sold |
Sale Price |
Proceeds |
Gain / Loss (inc dividends) |
Gain / Loss % |
|
Tibbett & Britten |
20/09/01 |
616.00 |
£973.60 |
£13.02 |
1.3% |
|
Delta |
19/10/01 |
96.10 |
£766.41 |
-£157.55 |
-15.9% |
|
Cable & Wireless |
21/01/02 |
296.34 |