Value Investment Fund – 12/31/25 Report

Each month, the Value Investment Fund reports its results through the last day of that period. The following is a report of all activity during the December 2025 period, along with the current financial status of the Value Investment Fund.

During December 2025, the Value Investment Fund had two transactions. The Fund earned two dividends totaling $1,348.65 as follows:

The Walt Disney Company      12/15/2025      $.75/Share   678.1999 Shares = $508.65
Wendy’s                                    12/01/2025      $.14/Share     6000.00 Shares = $840.00

No PUT Options were sold. No current positions were sold. 

Net Fund Balance on 11/30/25 = $306,096

Value Investment Fund
      Balance Sheet
           12/31/25

ASSETS
  Cash                                                                                                                            $17,271
  Dividends Receivable  (Disney)                                                                                        509
  Securities Portfolio              #of Shares           Basis         Market Value
     Target                                   700                $63,700            $67,725
     Lululemon                           300                   48,300             62,043
     Wendy’s                            6,000                   57,750             48,480
     Disney                                 678.2                70,031             76,494
     Essex Property                    200                   50,616             52,136
     Subtotal                                                    $290,397         $306,878                          306,878
TOTAL ASSETS                                                                                                        $324,658
LIABILITIES
Tax Deferral on Unrealized Gains/(Losses) of $16,481@28%                                          4,615 
NET FUND BALANCE                                                                                             $320,043

The following schedule reflects the cash reconciliation for the month:

Cash Balance on 11/30/25                            $16,234
Dividends Rcvble Paid                                     1,638 *Target’s Receivable of $798 & Wendy’s $840
Taxes @28% on Dividends Earned                   (601) *Paid Taxes on accrued earnings, including Disney’s outstanding receivable at year’s end.
Cash Balance on 12/31/25                            $17,271

The Fund currently has two open PUT Option contracts; the following schedule provides the current status:

Name                                        # of Shares        Strike Price      Expiration Date   Financial Exposure      Current Market Value            Status
Essex Property Trust                        400                  $240.00           01/16/2026             $96,400                             $260.68                        8.6% Safety Margin
Target*                                           1,000                   $85.00            12/17/2027             $86,000                              $96.75                       13.2% Safety Margin

*Target’s PUT Options are referred to as LONG PUTs due to the expiration date being 24 months out. Thus, the margin of safety is irrelevant in the overall risk status.

There is a strong possibility that the Fund will have to comply with the Essex Property Trust exposure. Essex Property Trust reported financial results for the third quarter of 2025 on Thursday, October 30, 2025. Through nine months, Essex’s gross profit margin is $48 million ahead of the same period in 2024. In 2024, the market price was $312 per share and rose to over $275 by the end of December 2024. The facilitator feels that the risk exposure for Essex is low, considering how much this aligns with 2024. The market price chart here illustrates the same time period last year.

After 6.25 years of activity, the Value Investment Fund is averaging a 24.9% annualized return.

During December 2025, the Value Investment Fund improved $13,947, a 4.5% improvement on the ending balance on 11/30/25. Act on Knowledge.