The Sharpe Income category be found by clicking on that red ‘Sharpe Income’ tag next to this post title, or by clicking here.
We continue the discussion from the last entry.
First, a bit of house-keeping …
We began this project with $500. All in an effort to help out the small retail investor understand the importance of growing an income account, as opposed to a trading account. The following numbers are taken from our PDF that is attached below. Remember that the numbers are computed off of Friday’s close …
Sharpe Income Balance: $1,677.12
Sharpe Income YTD Return: – 5.51 %
Sharpe Income YTD Yield: +1.15 %
Sharpe Income Maximum Draw-down: – 13.05 %
IEF Benchmark Return: +1.90 %
S&P 500 Index Return: +1.52 %
Berkshire Hathaway Return (BRK.A): – 10.79 %
For the purposes of this particular project, this week I once again moved 92% of this weeks capital contribution towards the category reserved for purchasing capital gains assets. The remaining 8% of the capital contribution was placed towards the cash we have reserved to in the form of ‘dry powder’. Simply put, cash we hold that we can place anywhere, at any time for the purposes of the project.
Taken From the Attached PDF
The PCY dividend was paid today. But as the numbers are computed off of the close Friday, we will not count that dividend until we post next weeks numbers.
Now that we are done with the maintenance of the account for this week …
Last week, we discussed the concept of re-balancing one aspect of this project. We have talked for some time, that the ‘Sharpe Income’ project was working at ‘building a foundation’. Continuing that analogy forward, with 2015 winding down, where do we see ourselves with this project?
The link to the Google Drive Spreadsheet that you can view, that we will edit, build upon and refer to over time can be found at this link.
We continue the Sharpe Income project with this next entry.