This month was definitely not what I had hoped for. I essentially started Genesis at the very top of a market… within days of starting the mutual fund the entire sub-prime lending fiasco hit and the market tanked over 10%+. Although the markets have recovered a bit since the fiasco hit, my mutual fund hasn’t :-(. Genesis ended the month down 9.64% and has a NAV of $9.19.

Excuses, Excuses

Since my mutual fund was down within days, I decided to keep purchasing more stock while the prices went lower, effectively averaging my price down on some stocks. I rebalanced my portfolio three times this month, normally trying to have a minimum of 4.25% portfolio weighting within a stock. Only one stock was significantly larger, when I decided to take an 8% position in NAK.

I decided to sell GG, as I believed NAK would be a better place for my money. I also sold TNH as I had no clue why I bought that company to begin with.

Winners & Mostly Losers

My biggest winners were GRMN at 26.83% and WFMI at 10.32%. Coincidentally, these are two of the main stocks (well, options really) that I have been investing in for My Hedge Fund.

Of the 18 stocks my Mutual Fund now holds, only 4 are sitting with positive returns. The rest are negative. My worst performing stock is also the stock I took the biggest position in, NAK. Go figure. SLW, one of my favorite stocks is down 21.44%. I’ll be taking this as an opportunity to get in heavier on SLW.

My Mutual Fund Holdings

480 GRMN

1,080 WFMI

1,480 HCP

350 CMI

770 KO

7,290 UVE

1,050 GE

590 CNQ

1,390 MSFT

770 CNI

2,340 TTM

1,730 YHOO

2,240 PGH

1,820 CLMS

2,800 CNE

1,420 HTE

3,210 SLW

5,700 NAK

Let’s hope next month I do better. I don’t think I can do much worse as I did buy all the assets at the top…

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