Portfolio Performance

Since inception (15 March 2010) : +3.01%

July 2010 : 2.22%

BarclayHedge Currency Traders Index : +0.52% (as of 9 August 2010)

AlternativeEdge Short Term Traders Index : -0.42% (as of 9 August 2010)

Comments

July was a good month. Stocks around the globe rebounded, to the extent of more than 5% in some countries. The portfolio outperformed the currency traders index and the short term traders index last month. My experience in trading so far has taught me that "no one can effectively predict the direction of the market"; rather, increasing the value of the portfolio is a function of effective risk management. I had tried to repeat what I did in June last month (by increasing leverage), but there were a lack of opportunities in the market, as volatility dwindled through the month.

As expected, the market has turned inflationary. Wheat has touched a 2 year high as Russia banned exports. And oil prices together with equities have headed higher. Bonds prices on the other hand, have also returned positive returns. All this, is a result of money printing and the subsequent rise in asset prices.