Value Investment Fund – Fund Status 11/14/2020
Each week, the value investment fund is updated to bring the current status including any transactions during the past week along with the current balance associated with the closing values from Friday.
Here is the current status:
REIT Pool # of Shares Cost Basis Market Price* FMV
– Equity Residential 574.459 $30,000 $59.15 $33,979.25
– Essex Property Trust 48.9644 10,000 253.91 12,432.55
– UDR 606.9803 20,000 37.86 22,980.27
Sub-Totals $60,000 $69,392.07
Railways Pool
– Union Pacific 114.9557 $20,000 202.44 23,271.63
Sub-Totals $20,000 $23,271.63
Totals $80,000 $92,663.70
Dividends Receivable Norfolk Southern 92.39
Cash 23,008.66
Grand Total Investment Fund Balance (Net of Fees) $115,764.75
*Adjusted lower $1 per share to account for the cost of selling the position; in effect, the FMV represents the value after all costs (transaction fees) are covered.
This is Week 3 of the 2nd year of the fund’s existence and it has already increased $15,764.75 of the $30,000 goal for the entire year. The $11,913 increase over Week 2’s ending balance reflects the significant change related to both pools tied to the market’s recovery during the same time period. In effect, the announcement of Pfizer’s vaccine for COVID pushed the entire market higher. The DOW Jones Industrial Average increased 4.08% during this past week and the Investment Fund increased 11.47% during the same time period.
The differential is tied to the quality of the underlying investments. Per the fundamentals of value investing, when the market recovers, value investment stocks recover at a faster pace. This is taught in Phase Two of the education curriculum when a subscriber joins the Value Investment Club. Act on Knowledge.