The Worth Funding Fund dropped in worth 11.35% from the beginning of the calendar 12 months. Even with this drop in worth, the Fund carried out dramatically higher than all different indices:
- The NASDAQ 100 misplaced 32.97%;
- The S&P 500 misplaced 19.44%;
- NASDAQ misplaced 33.1%.
Within the three and one-quarter years since inception, the Worth Funding Fund’s annual common return is extra than simply forward, it’s 57% superior to the NASDAQ 100. The ideas of worth investing generate excellent returns with minimal threat.
Worth Funding Fund – Standing on December 31, 2022
. December 31, 2022 November 30, 2022
. # of Shares Value Foundation Web Market Worth* Web Truthful Market Worth* Web Truthful Market Worth*
REITs
. – Essex Property Belief, Inc. (Tranche #1) 71.6846 $20,000 $210.92 $15,726.16 $15,119.72
. – Essex Property Belief, Inc. (Tranche #2) 77.7000 20,000 210.92 17,045.83 16,388.48
. – Essex Property Belief, Inc. (Tranche #3) 100.0000 22,221 210.92 21,938.00 21,092.00
. – Essex Property Belief, Inc. (Tranche #4) 180.0000 44,980 210.92 39,488.40 37,965.60
. Sub-Totals 429.3846 107,201 $94,198.39 $90,565.80
Leisure
. – The Walt Disney Firm (Tranche #1) 180.1801 20,000 $85.88 $17,454.04 $15,473.87
. – The Walt Disney Firm (Tranche #2) 200.0000 21,200 85.88 19,374.00 17,176.00
. – The Walt Disney Firm (Tranche #3) 198.0198 20,000 85.88 19,182.18 17,005.94
. Sub-Totals 578.1999 61,200 $56,010.22 $49,655.81
Banking
. – Wells Fargo 100.00 4,267.50 40.29 $4,695.00 $4,029.00
Dividend Receivables (Wells Fargo) 30.00 -0-
Money on Hand (Foundation, Positive factors, Dividends, PUTS) 1,615.11 161.02
Totals (Beginning Value Foundation = $100,000) $172,668.50 $156,548.73 $144,411.63
Accrual adjustment for taxes 4,974.17 7,957.01
Totals Web of Taxes (Recapture) $161,522.89 $152,368.64
This portfolio’s worth is AFTER TAXES of 28% on all realized positive factors. Whole taxes paid so far 25,924.50 28,323.59
Comparative Gross Return Since Inception $187,447.39 $180,692.23
Unrealized Earnings (Worth of Respective Market Costs Much less Value Foundation/Charges at Level of Sale) $(17,764.88) $(28,417.89)
*Web of transaction charges of $1.00 per share; thus the quantity within the schedule equals the precise market value per share at closing much less $1.00 per share.
Worth Funding Fund – Potential Obligations
The Worth Funding Fund’s present publicity associated to PUT choices is as follows:
- Union Pacific Railroad – bought in Feb 2020 with a strike value of $155/share and an expiration date of January 21, 2023 $20,000
- JP Morgan Chase – bought in Might 2022 with a strike value of $80/share and an expiration date of June 16, 2023 $20,000
- Norfolk Southern Company – bought in September (200 Shares) with a strike value of $145 and an expiration date of January 21, 2024 $29,000
- Essex Property Belief – Offered 12/30/22 (100 Shares) with a strike value of $170 and an expiration date of July 21, 2023 $17,100
- Union Pacific – Offered 12/30/22 (200 Shares) with a strike value of $145 and an expiration date of August 18, 2023 $29,200
- L3 Harris Applied sciences – Offered 12/30/22 (100 Shares) with a strike value of $150 and an expiration date of October 20, 2023 $15,100
- Marriott Resorts – Offered 12/30/22 (100 Shares) with a strike value of $90 and an expiration date of January 19, 2024 $9,100
*Whole monetary dedication = $139,500
Market costs on December 31, 2022 are:
- Union Pacific Railroad (Expiration on 01/21/2023) $207.07 (Strike Worth of $155.00) Present Deviation = 33.59%
- JP Morgan Chase (Expiration on 06/16/2023) $134.10 (Strike Worth of $80.00) Present Deviation = 67.62%
- Essex Property Belief (Expiration 07/21/23) $211.92 (Strike Worth of $170.00) Present Deviation = 24.66%
- Union Pacific (Expiration 08/18/23) $207.07 (Strike Worth of $145.00) Present Deviation = 39.35%
- L3 Harris Applied sciences (Expiration 10/20/23) $208.21 (Strike Worth of $150.00) Present Deviation = 38.80%
- Marriott Resorts (Expiration 01/19/2024) $148.89 (Strike Worth of $90.00) Present Deviation = 65.43%
- Norfolk Southern Corp (Expiration on 01/21/24) $246.42 (Strike Worth of $145.00) Present Deviation = 69.94%
*Deviations > 25% are thought of favorable.
Worth Funding Fund – Earnings Yr-To-Date
First Quarter Earnings:
. Offered Huntington Ingalls 03/07/22 Web Realized Achieve $5,557.05
. Dividends Earned (First Quarter 2022) 271.34
. Web Earnings from Gross sales of PUT Contracts 573.10
. First Quarter Earnings $6,401.49
Second Quarter Earnings:
. Web Earnings from Gross sales of PUT Contracts $3,908.57
. Dividends Earned 607.46
. Second Quarter Earnings $4,516.03
Third Quarter Earnings:
. Web Earnings from Gross sales of PUT Contracts $1,040.00
. Dividends Earned 654.26
. Third Quarter Earnings $1,694.26
Fourth Quarter Earnings:
. Realized Positive factors from Sale of Wells Fargo $7,623.19
. Sale of PUT Contracts (Essex Property Belief/Union Pacific/L3 Harris/Marriott) 915.00
. Dividends Earnings (Wells Fargo) 30.00
. Fourth Quarter Earnings $8,568.19
Whole Realized Earnings Yr to Date 2022 $21,179.97 (12.49% Realized Return to Date)
Taxes Paid to Date 2022 – $5,930.39 (28% of the $21,179.97 Realized Through December 31, 2022)
EOY Reconciliations/Abstract Studies
Lifetime Earnings/Fund Steadiness at Market Valuation
Preliminary Fund Capitalization $100,000
Realized Earnings (2019), 1 Qrt of Exercise 2,703
Realized Earnings (2020) 23,608
Realized Earnings (2021) 53,661
Realized Earnings (2022) 21,180
Sub-Whole Fund Worth Earlier than Taxes and Unrealized Positive factors/Losses 201,152
Much less Taxes Paid Lifetime to Date (28,324)
Much less Unrealized Positive factors/Losses at Yr-Finish (Tax Adjusted) (20,461)
Fund Steadiness if Cashed Out 12/31/22 (Web of all charges/prices to terminate) $152,360 *Matches Fund Steadiness Above w/Rounding Error of $2
Liftetime Earnings/Fund Steadiness at Value
Whole Realized Earnings Lifetime to Date: $101,152
Much less Taxes Paid Through 12/31/22 @28% 28,324
Web Capital Account Steadiness From Earnings $72,828
Preliminary Contribution 100,000
Worth Funding Fund at Value $172,828
Value Foundation in Investments $172,669 *See Above Value Foundation Column Standing at 12/31/22
Money in Financial institution 161
Worth Funding Fund at Value $172,830 *Spherical Error of $2
Worth Funding Fund Sumary Report – Earnings 2019 2020 2021 2022 Totals
Realized Earnings from Safety Positive factors $2,327 $22,277 $48,349 $13,181 $86,134
Realized Earnings from Dividends 376 904 2,451 1,563 5,294
Relaized Earnings from Sale of PUT’s -0- 427 2,861 6,437 9,725
Totals $2,703 $23,608 $53,661 $21,180 $101,153
Abstract of 2022
Calendar 12 months 2022 was profound within the quantity of general losses for all indices. No single index fund skilled an enchancment in worth throughout 2022. The Worth Funding Fund additionally skilled a lower in worth throughout the identical time interval. Nonetheless, its respective lower in Fund worth was considerably decrease than all different indices. It is a direct reflection of the first precept of worth investing – solely buy top quality securities. General, the Fund earned a 12.57% return on its authentic starting of the 12 months Fund stability of $168,430. It ended the 12 months holding three high quality investments – Essex Property Belief, The Walt Disney Firm and Wells Fargo. As soon as the market recovers, the present portfolio will dramatically outperform the opposite indices. Act on Data.
© 2023, David J Hoare MSA. All rights reserved.